Would I be entitled to Rent Allowance as a "homeowner"?

[ailbhe]

I purchased a house with my then partner. We separated a year ago and I moved out. The house is currently up for sale. I rent privately and he pays the mortgage. My interest in the house is protected due to a legal document signed by us both last year. The house is in negative equity at the moment.

There is a possiblity I may lose my job in the next few months. I know I could apply for One parent Family allowance (my ex is not my daughters biological parent so no legal obligations or issues re: family home).
I am happy enough to stay in the house I currently rent but couldn't afford to pay the rent on it from OPFA until I find more work (especially in the current climate). It is within the limits of rent allowance though it is a 3 bed as opposed to a 2 bed.

Anyway, my question is, as I technically own a home, would I be eligible for rent allowance.
I know I cannot apply for a council house, affordable housing etc. Is it on a case by case basis? I cannot go back to live with my ex as we are not on speaking terms and his new partner lives in the house. Well, I can, but it would not be in anyones best interests. I would end up having to apply for mortgage interest relief and there would be issues about whether we were "co habiting" or not. He has a well paid job so that may affect my ability to claim anything if we were deemed to be co habiting and he is not going to support me or my daughter.

 

[gipimann]

It's not an easy one to give a definitive answer on, because the legislation and guidelines on Rent Supplement doesn't cover all scenarios and situations.

Under normal circumstances if you own a property that you could use for your own accommodation needs, you couldn't claim rent supplement on another, but your situation is rather different so would have to be considered as an exceptional case.

For example, your share of the house could be means-assessed as an investment property - capital value less outstanding mortgage.

Just to note that this is only an opinion on how it might be dealt with, I couldn't say for certain that this is what would happen.