Anyone currently receiving social security disability payments has been through a lot. And given the time it often takes to get approved for benefits, it may have been difficult to save money, as time without benefits is likely time out work with no steady income.
Buying a House on SSD
But if someone is in a position to make a large purchase such as a home, they are able to pay for it with their social security disability benefits. Qualifying for a loan can be equally difficult if someone had to wait out benefits, as it may have affected their credit score were they forced to miss payments on other items or past housing.
If the individual’s credit score is good enough to qualify for a loan, they may use the social security disability benefits as their source of income. Making payments is also assisted by the fact that they are likely to receive back payments to the time that the disability was found to have begun. This lump sum can often get someone in a better position to pay for the things they need.
Social security disability also has no asset limit for individuals, meaning they are able to own whatever they want while receiving benefits. This clears the way for a house purchase should they be approved.
Buying a House on SSI
The scenario is not the same for Social Security Income (SSI). Individuals receiving SSI are able to own the home and land they live on, but any other property will be considered an asset. And according to SSI rules, an individual cannot have over $2,000 in assets and continue to receive payments. If the individual is married, they cannot have over $3,000 in assets.
Given these stipulations, the likelihood of someone purchasing a house while on SSI is low. If they are making some income that is within the allowable SSI range, then they may be able to buy an affordable house.
Owning a home can be a source of freedom for an individual. Being disabled shouldn’t deter that dream. If you are disabled, but have been denied social security disability benefits, please contact the professionals at Tabak Law today. The consultation is completely free. Tabak Law has years of experience and has assisted thousands with their social security disability benefits.