Barclays Springboard Mortgage

gemm83_2 · 22 May 2017 at 2:13PM

Hi I was just wondering if anyone can give a bit of information as Barclays and their literature is about as useful as a chocolate teapot!
My Husband and I (38yo and 34yo) met later on in life and due to our single circumstances have never saved for a deposit, and due to paying ridiculously high rental prices in the South East, have been unable to save the deposit required nowadays.
Our Landlord has just increased our rent (for the 3rd year running), and my In-Laws have finally had it and have offered to help us out.
They own their own property and have said that we might as well have our inheritance now whilst we need rather than wait until they..well…depart!
They notice the Springboard Mortgage from Barclays and have asked us to look in to it.
Now, I just popped into my local branch and they had NOTHING on paper or in a brochure to explain what it actually entails. My InLaws money is all tied up in the house and they are not “cash rich”, so are unable to offer us the cash to put into a savings account to act as a deposit (I know this much).
The term Equity Release was mentioned….and that struck fear in to my heart as I have heard some VERY scary things about it with people losing ALL their money, and actually having to pay amounts back after death.
I am very grateful to my InLaws for offering the help, but do not want to put them, or their hard earned money at risk.
Is anyone able to offer some advice? I do understand an appointment would need to be made at some point, but at least if we had a rough idea of what we should expect at least we can make an informed decision as to the best way forward.
Thanking you in advance!

kingstreet · 22 May 2017 at 2:35PM

Springboard involves relatives putting their savings into an account which the lender takes a charge over.

You appear to want a product where the lender takes a charge over the relatives' property.

Speak to a broker about options other than Barclays as that doesn't suit.

dimbo61 · 22 May 2017 at 4:27PM

The springboard Mortgage from Barclays needs a 10% deposit paying into a savings account with Barclays for 3 years ( it pays 1.75% interest )
You can then get a 100% Mortgage from Barclays at 2.99% fixed for 3 years

Thrugelmir · 22 May 2017 at 7:10PM

From the Barclays website

For the property buyer
Apply for a Family Springboard mortgage of up to £500,000 on a property in the UK, without a borrower deposit
Pay a fixed rate of interest for 3 years – when that ends we’ll move you to a LifeTime Tracker Mortgage
You retain full rights over the property – your helper isn’t a guarantor
Not available for New Build properties

For the helper
They open a Helpful Start Account with 10% of your purchase price at the same time you apply
They get their savings back after 3 years with interest, as long as you keep up the repayments
If you miss repayments, we may retain their money for a further period

Number75 · 22 May 2017 at 11:25PM

My stepdaughter found everything she needed to know on the Barclays website.

I'm aghast at you describing meeting someone in yours 30s as "later in life" - way to make someone in their 40s feel old!

Are you and your husband not now jointly paying a lot less in rent than you were when you were renting on your own?

Gemm83 · 23 May 2017 at 7:05AM

Apologies!

It's just all out other friends got together in their teens/early 20's...we just feel a bit like late starters!

My husband lived with his parents until we moved in together 6 years ago and I had only lived in rented with my ex and that was in Newcastle...paid £350 for a 1 bedroom flat. Now we are paying £1000 for a 2 bed!

I work for the Police and have now got in contact with a broker who advertises through our staff on line notice board. Will see what he comes back with!

Again, apologies! &#55357;&#56852;

getmore4less · 23 May 2017 at 7:24AM

gemm83 wrote: »

[They own their own property and have said that we might as well have our inheritance now whilst we need rather than wait until they..well…depart!

If it is all tied up in a property they live in that is not going to be a straightforward task as they don't have anything to give you.

LadyGMadameToThee · 25 May 2017 at 5:28PM

Have you both considered that the better option is for you to move in with the aforementioned Inlaws and live rent free for a year or so to save up all your cash??

Barclays Springboard Mortgage

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