Buying council houses

Fire_Fox

Ianardo wrote: »

Thanks guys.

To be honest I see it as an investment. It wouldn't really effect my mum much as she pays a nominal rent anyway.

Clapton-Would my mortgage provider allow me to borrow the money on the value of my house and give it to my mother?

You can't invest in your mother's council house, only named tenants have the right to buy and if they sell within five years there are penalties. You have no legal right to take advantage of your mother's discount - what you are suggesting is basically fiddling the system.

Ianardo_2

I understand all the maintanence issues but didn't take into account the costs of her future care.

I was just thinking about buy to let and thought this may be a cheaper, less hassle option. Maybe not

Ianardo_2

Wooooh! ease up guy's, she suggested it to me

Boozer

Ianardo wrote: »

Wooooh! ease up guy's, she suggested it to me

Dont worry about some comments, i even said it was fiddling the system only a few days ago, but that was a woman wanting her neighbour to buy her council house and then give it to him after 3 years, some people do see it as taking advantage of the system, in your case i do not see it as so bad.

The maintenance side of things could be an issue, how will your mum feel when her neighbours get a new kitchen and windows and everything else? are you going to do the same for her when the time comes?

My BILs mother has lived in her council house for 35+ years and i say he would be crazy not to buy it, although discounts now are not as good as they once were.

Running_Horse

Ianardo wrote: »

Wooooh! ease up guy's, she suggested it to me

There was a recent discussion here (can't be bothered to search for you) from a woman and her brothers paying the mortgage to buy their mum's property and suddenly realising their investment would come to nothing when she needed care. As she claimed to be doing it for her mum rather than herself, I suggested she would have been better giving her mum the equivelant sum directly.

The general consensus on this board when these discussions come along is that elderly council tenants are better off keeping renting securely, so they can transfer to more suitable accomodation when the time comes. I'm surprised the tone of replies has been as polite as it has. You and your mother are of course free to enter into any financial arrangement you both wish. Just make yourself aware of any unintended consequences that may harm your mother's welfare and make your investment worthless.

Ianardo_2

Thanks Boozer

My grandmother rented her council house for 74 years until she died. It was the first house built on the estate. I lived with her there for 10 years and it pains me to see it in its current state occupied by people who think the world owes them a living! grrrr

As far as the maintanence the council have recently done a major refurb so everything is more or less new.