right to buy info needed please

sweety

Hope someone can help - want to help my aged parents to buy their council house of 40yrs+.....i dont want to be on the right to buy discount, just help to pay, as who will take 73 yrs old people on a mortgage these days?!!! Whats the procedure for this, as if i have to pay the mortgage then will i have to be on the right to buy paperwork? or do my parents fill that form in, then we get a separate deeds to house letter completed? Just want to help them pay for somewhere they finally want to buy really...

Thanks for any replies

sweety

xxx

poppysarah

Why do they want to buy? What income will they pay for their mortgage with?
Do they have the money for repairs?

Discount isn't that big. And how will you fund a mortgage on a house you don't live in and can't get benefit for?

BitterAndTwisted

At their age and considering the cost of upkeep on a family home I reckon £40k-worth of discount isn't worth their while even if they had the cash to pay for it outright

Mrs_Bumble

The only people that can be on the mortgage are the people that are named on the right to buy paperwork, so if you don't appear on the right to buy paperwork you can't get a mortgage for it.

Why do they want to buy at their age, they won't get any help with mortgage payments at all and would have thought it would be better for them financially to continue as they are?

Richard_Webster

The only people that can be on the mortgage are the people that are named on the right to buy paperwork, so if you don't appear on the right to buy paperwork you can't get a mortgage for it.

And you can only be on that paperwork if you live in the house with your parents. If you don't live there you can't be a joint owner with them, and if you can't be a joint owner then you can't get a mortgage on the house.

Even if you could find the money to buy it by, say, re-mortgaging another property, and you entered into an agreement before or within 5 years of the purchase whereby your parents agree to transfer it to you, then immediately that agreement takes effect the discount becomes repayable to the Council! So that loophole has been stopped up!

sweety

Thanks everyone - maybe the kudos of finally owning the property isnt worth the hassle, financially too. Just a quickie on the subject in general, what if they won the lottery and could afford to buy outright....would the people on the right to buy form still be the people to appear on the deeds, as they would probably want to will the house to grandkids and so might want their names on the house deeds(gikids are 18+).....

Long shot but things do happen and someone will win tonight!!!

sweety

xxxx

Running_Horse

You're pinning your hopes of a council RTB discount on winning tonight's lottery?

If I was in their situation and won the lottery, I'd give some money direct to the grandchildren instead of an inheritance, then give up the house to someone who really needed it.

sweety

good points of course, but any thoughts on the names to appear on the deeds being the ones on the right to buy form?

thanks again

sweety

xx

BitterAndTwisted

Forgive me if I've misunderstood but it seems to me that there is a question you want to ask but you haven't asked it yet and are skirting round it. What is your question, please?

Mrs_Bumble

If your parents are looking to sort out the inheritance for the children and grandchildren, the most efficient and effective way is to draw up valid wills and possibly trusts.

If your parents did win the lottery and pay cash for their property and then put the deeds in someone else's name this will raise potential problems for them. Say for instance the person named on the deeds got married and then divorced the property they are named on the deeds of will count as assets for any settlement with the potential for your parents to be homeless.

Likewise any financial problems that the person named on the deeds had and the house could have charging orders, bankruptcy registered against it etc, potentially putting your parents at risk of becoming homeless if an order to sell were achieved.

sweety

Not skirting aroumd anything - just typing as the thoughts come into the head. Sorry if the last bit wasnt clear, but do the names on the right to buy form have to be the ones to appear on the house deeds. i do not want to appear on the form tho am eligible to do so......and dont really want to be on the deeds either,so do i have to or not? if i want to help pay for the house?

cheers

sweety

xxx