The dwelling or building to which the application relates will be ignored.

The value of one dwelling only of the following is ignored:

• A dwelling acquired for occupation, for up to 6 months or longer if that is reasonable to obtain possession and commence occupation or
• Any dwelling in respect of which the relevant person has commenced legal proceedings with a view to occupation, for up to 6 months or longer if that is reasonable or
• Premises which are being repaired or altered before occupation, for the period that it takes such repairs or alterations to be done.

Any lump sum attributable to the proceeds of sale of any dwelling formerly occupied as the home will be ignored to the extent to which it is to be used for the purchase of:

• The dwelling or building to which the application relates, or
• Any dwelling which is intended to be occupied as the home (but someone may not take advantage of this provision if already benefiting from any of the exceptions numbered 1 to 3 above).

A relevant person may have the value of any premises which he is taking steps to dispose of ignored, for 26 weeks or longer if reasonable, but if so neither of the above exceptions may also apply.

Also not treated as capital are the value of:

• Premises occupied by a partner or relative who is over 60 or incapacitated
• Any dwelling occupied by a former partner if not divorced or estranged
• Any dwelling formerly lived in as the home occupied by a former partner who is divorced or estranged and who is a lone parent
• Any dwelling formerly lived in as the home which is now not occupied as a result of divorce or estrangement, for up to 26 weeks only.

The value of capital connected with property

• Compensation for damage to or loss of a home
• Money acquired for essential repairs or improvements
• Money which was deposited with a housing association as a condition of occupation of a home and is now to be used for the purchase of another.

Housing Renewal Grant Regs 96 Sched 4