Help need advice on mortgage problem

dannyb123_2

Hi Guys,

I got a mortgage

Gorgeous_George

So they did equity release by letting a grandchild gift them £70K. Who pays the mortgage - if it is them then that is the rent that you are receiving.

How much of the £70K do they have left? Maybe they could repay the mortgage in full. Otherwise, I'd be looking to convert the £70K to BTL mortgage and charge rent to cover 125% of the interest on the mortgage.

GG

wodgerdodger

Suggest you approch the current lender on Grandparents house, some Lenders will take current mortgage into consideration and deduct annual cost of this mortgage as a loan payment.It would reduce your borrowing capacity and you would probably need to put down a 25% deposit on new home but you can only find out when you give them the figures.

A whole of market Broker may also be ble to assist and know which Lenders currently look favourably to aggregate debt situations. Typically the existing Lender should be your first port of call as they have track record etc etc

Conrad

C&G and otthers can consider a second resi mortgage. Doing one right now in fact!