Can I help my son get a mortgage?

lainyone

My son has a bad credit history and has been refused a mortgage due to a decree raised against him. He is married with 2 children and they now wish to move from where they are living now but are obviously finding it hard to find a way to make this possible.

My husband and I own a house of over 200k in value with only a few years left of our mortgage - could I remortgage to help buy a new house for them?

They are looking at new developments of around 130-140k and have the funds to cover it, so they would cover all costs including legal fees, its just that the bank wont entertain them.

any advice would be greatly apprciated.

Conrad

Yep you can remo and give them the money, assuming your earnings and ages are acceptable.

Or you try a 'dependant relatives mortgage' whereby you raise 25% deposit and then borrow 75% on the NEW home rather than your own. C&G do this, but it's a bit of a lottery calling a call centre so you'll need your witts about you.

herbiesjp

You can do this either by remortgaging the full amount, or by raising some funds for a deposit.

However, it then means that you are responsible for that mortgage/property.

A few lenders will let you buy this as a second property, as your son will be living there.

That is assuming you fit criteria i.e. age/income etc.

lainyone

thank you so much for you advice, however I believe I have been a bit silly here - both my husband and myself are retired and pay our mortgage from our pension, does that mean we could not remortgage as we are not 'earning'?

We would only take the mortgage out for 5 years (this would be a sufficient time for my sons decree to have been removed from his credit score.)

apologies if i have wrongly informed!