Hi, we have a unique financial situation. I turned 65 last February and my husband tuned 66 last March. Late last year I accepted redundancy and my husband retired in April.

We decided to sell our mortgaged apartment in Sydney which we lived in but could not afford once we retired. 

With the money from the redundancy payment and drawing on superannuation we purchased a block of land in regional NSW where will build our new home. We relocated and are renting near this land and while we build.

We also have a house, which we have owned for over 40 years and was our family home. We have a mortgage on this house, which estimate is about 80% of the current value. Our son and his family live in this house and due to his financial circumstances we receive no or little rental income.

The remaining money we received from the sale of the apartment (once the mortgage was discharged) is currently offset against the above mortgage on the family home. However, we will be drawing on this money once we commence building our new home.

We will then sell the family home and pay off the mortgage on that house, this will give us a small amount of remaing money as a nest egg.

We currently have no income coming in to live on and pay the rent, and are confused as to how Centrelink would assess our assets given the land and money we have offset against the mortgage.