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DWP and Inherited property

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9 months 5 days ago #287784 by zak
DWP and Inherited property was created by zak
Hi,

I joined this site to help with my PIP and UC form but have just realised something else Im hoping you'll be able to help me with as I'm very worried, Just some basic help would be good if anyone has any knowledge on this. If not please can you refer me to where I can get help on this

My mum died in Sept last year. Since then I have been very ill with depression, so am just now, whilst potentially applying for UC (I'm on housing benefit and Working tax credits) realised I have not let the DWP know about this. There is a reason for this:

My brother is living in the house she left to the both of us. He is 53 has severe clinical OCD and has had it for all his adult life. He lived there with my Mum for 20 years. I asked him about selling after my Mum died but he won't or can't as the house is all he's got and his OCD means it would be impossible. I spoke to some lawyers who said it would cost thousands to try and get him to move, would not necessarily succeed owing to the fact he has lived there for so long and has mental health difficulties and hasn't worked for years. I think he's on ESA

I then forgot about it while I try to recover from depression.

He is the executor but has not been through probate, he is very incommunicative.

My worry now, after looking at the UC form is it asks about owned property, and I have not declared this to DWP as I didnt realise I needed to as obviously I haven't or wont be receiving any money from it or have any access to it in any way.

Do you only have to report once money is recieied, or when you inherit the house (though in reality I haven't inherited anything as I have no access to it at all)

I've just read that they disregard an inherited house when there is a relative living there that is incapacitated with limited capability for work, which he is, though I think that refers to a second home not an inherited property I don't know.

So what do I do now?

- Inform DWP of the situation?
- Ask my brother to complete probate?

I'm very worried they'll want me to pay back benefits from the last 5 months (working tax credits and housing benefit)

Thanks
The following user(s) said Thank You: Faith

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9 months 4 days ago #287802 by Gordon
Replied by Gordon on topic DWP and Inherited property
z

A second home can be an inherited property, it just means property that you own that you do not live in.

Yes, this can be disregarded but you need to get trained advice to confirm that this is the case and ultimately, only a DWP Decision Maker can decide that it is to be disregarded.

Gordon

Nothing on this board constitutes legal advice - always consult a professional about specific problems

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9 months 4 days ago #287812 by David
Replied by David on topic DWP and Inherited property
If your brother has LCW ( you say he is on ESA ) then when the time comes your share of the house won't be counted as capital.
SCHEDULE 10 Capital to be Disregarded
"Premises occupied by a close relative of a person as their home where that close relative has limited capability for work or has reached the qualifying age for state pension credit"
www.legislation.gov.uk/ukdsi/2013/978011...hedule/10?view=plain

For legal purposes the DWP won't be interested in your potential inheritance until the will has gone through probate and the executor of the will has received the Grant of Probate. You could then inform the DWP but they will probably say that you are not in possession of any inheritance until it has been distributed by the executor. This is because the executor has to pay off the deceased's liabilities ( debts ) first and this reduces the amount that goes to the beneficiaries.

If your brother is not well enough to apply for probate then that is a valid reason for delay.

Nothing on this board constitutes legal advice - always consult a professional about specific problems
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9 months 4 days ago #287815 by zak
Replied by zak on topic DWP and Inherited property
Ok thanks, do you have any where you can signpost me? Thanks

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