Advice (where to go next) wanted please:)

I-Promise-To-Try

Hi All, I'm in need of some advice and this is the first place I thought that may be able to help me

A property is for sale near to my dad, and he is interested in purchasing it. It is marketed at offers around £120k. It requires modernisation etc as an old lady lived there previously. I would estimate that once modernised it would be worth at least £150k in todays market (we are thinking of offering no more than £100k if we go ahead).

My dad is 60 years old, in good health as far as we know and is in full time employment. He earns approx £25k (or more) per year and has no desire to retire in the immediate future. He currently owns a house worth approx £150k, and has only a few years left of his very small mortgage. He also has a small secured loan with only a few years left to run. He has no savings.

He is thinking of purchasing this house, doing it up (I have the funds to do it up), and then either selling it on or, depending on the market, renting it out to me (I currently rent and pay £650 per month to my landlord - would rather pay it to my dad iykwim!)

So my question is - would my dad have any chance of obtaining a mortgage (buy-to-let?) - or a loan? - he would be prepared to secure it on his current property if necessary?? He has a perfect credit history - whenever he goes into his bank they try to offer him a guarenteed loan of up to £25k!

Thrugelmir

Offers around £120k is a good clue as to its value once renovated. So before sourcing a mortgage think it through some more.

Why don't you buy it yourself?

snugglepet20

Hi if your Dad can find a mortgage in the current market etc I think they will only give you one that is 5 years long i.e until he is 65. I am on a joint mortgage with my Mum (similar situation to yours but I pay the mortgage and it is my house I don't rent it off her) and my mortgage was for 13 years as that is when she turns 65.

Have you thought about this option, you can get on the housing ladder and then later have his name taken off when you are established/earning more? Also don't pay too much for the house drive a hard bargain as doing places up always costs more than you think!