Parents splitting.

J273

Hi guys...New here ,not sure if im posting in the correct section or not?

Not sure if this is going to be possible but i thought id ask here for any advice.

My parents are splitting after being married for 30 years they are both in their 60's and both retired.

My mums moved out and its just me and my dad at home.

The house has been valued at £110,000 with no mortgage left....My dad don't want to lose the house and id like to help him out if possible.

I only earn £800 p/m full time.....Do you think its at all possible for me to get a joint mortgage with him and buy my mother out of the house.

I don't think its possible due to my dads age and my income.


Do yo think it will at all be possible to get say a £60,000 mortgage with a £10,000 deposit i have.

Any help would be much appreciated.

Many thanks

grogdog

you dont need the deposit so you may only need to raise 50k but i would get a valuation as it is ok saying house is worth 110 but would it sell for that may only be worth 80-90 so you may need less money, the income may be tight especially if you have any other commitments but should be doable. contact an ifa and take it from there.

opinions4u

Based on your income alone, things are looking a little tight to be honest.

Joint incomes with Dad's pension etc would probably be something you could do.

BUT:

1) What if Dad dies - how would you afford the mortgage?
2) What if you meet that gorgeous blonde model you've always dreamed of and want to move out? Having your Dad's debts all/partly in your name will restrict the amount you can borrow in the future for your future.
3) Many solicitors offer a free half hour consultation. Take advantage of one of these and explain your circumstances to them. They may draw out additional difficulties to those I've mentioned.

I'd suggest the best way of doing this is for Dad to raise the mortgage in his sole name and for you to pay him rent for half the bills (including mortgage) while you live there. His age shouldn't preclude him from doing this - you don't say what his income is though.

See a couple of mortgage brokers to work out the best deals and research rates/offers at comparison sites like https://www.moneysupermarket.com. Expect to pay around £650 a month for a 10 year term, £350 a month for a 25 year term (these figures are a very general guide - there's a lot more out there!).

J273

Ok thankyou.


Yeah i don't really fancy taking out a mortgage even if i could to be honest.

My dad has just over £1000 a month income from pensions .etc.

So don't you think his age + only pension income would be against him?..that's the only reason really i thought of going into a joint mortgage.


Theres a little way to go yet with the divorce ,,,but trying to find out as much as i can really.

Thanks

mic200202

His age isnt really a prob as he is already retired - some lenders will go to age 85 without too much difficulty, as long as he can demonstrate affordability and prove his pension income. You could help by paying him some rent. The terms of the divorce will settle how much is needed - bear in mind though the split of equity may not be 50/50, and also there could be a claim on part of his pension income as part of a settlement.This may affect his borrowing and affordability.

koexelek

J273 wrote: »

Ok thankyou.


Yeah i don't really fancy taking out a mortgage even if i could to be honest.

If I was you, I wouldn't unless you had to either.

It is great that you are prepared to help out, but doing so could cause you major problems if you eventually decide to buy a place of your own

marshallka

What about equity release. Don't know much about it but remember a lady up our road did it to pay some to her daughter. Seems a little dodgy to me but frees you up from the mortgage and you get your home. Its not something to be taken lightly though. There are lots of bad reports on it after googling it.

J273

That's great ,thanks all

Much appreciated.

There is a while to go but as given me some ideas as to my options nearer the time.

Thankyou