Right to buy mortgage

Steady_Eddie_3

Hi, I'm new to this forum and was hoping someone could help me. My parents live in a council house and I would very much like to purchase it for them. They both have the right to buy the property and they are currently paying rent to the council. Is there anyway I can get a mortgage on their behalf? I have searched online but the information is a little confusing. It seems the problem I have is that I dont live at the property? Surely there must be a way my parents can transfer their right to buy to me? If it is not possible can anyone suggest a way I can firstly get round the council problem and secondly what sort of mortgage I could get, bearing in mind my parents would be living in the property rent free. Could I buy it, pay the mortgage and sign it over to them?

Any help greatly appreciated!

McKneff

Big fat no Im afraid.

Only the people who are tenants can buy LA houses under the right to buy.
And rightly so.

They would have to have their names on the mortgage.

Im sure more people will be along to say more

CloudCuckooLand

There is a reason they put rules in place about who lives there, to be able to exercise right-to-buy. To stop all the council housing disappearing into private hands. Others will need the council property when your parents don't.

Depending on the age of your parents, it could actually be a really bad idea. They lose security of tenure, becoming dependant on your ability to pay the mortgage, which is not guaranteed.

They also become liable for all maintenance costs, even those instigated by the council in respect of the estate in general with potentially high charges.

The property, being in their names to obtain the discount, would be an asset the council would call upon when one or both of them has to go into care, so you may well never inherit it anyway...

It might be very money-saving to try to make use of the discount, but its not your discount and if the parents cannot afford to raise a mortgage themselves, then its not going to be possible.

If you want to help them out, how about paying their rent?

Steady_Eddie_3

Thanks for the help. You have pretty much summed up what I thought. The reason I wanted to buy the property was just to give them something back. I have been very fortunate in life and I'm in a position to help them like they helped me when I was young. I'll have to come up with something else! Thanks again.

GMS

Could you not raise the funds to purchase the property from your own home?

If so you would not leave them under the control of your ability to pay a mortgage. All risk would be on your own property.

beecher2

Steady_Eddie wrote: »

Thanks for the help. You have pretty much summed up what I thought. The reason I wanted to buy the property was just to give them something back. I have been very fortunate in life and I'm in a position to help them like they helped me when I was young. I'll have to come up with something else! Thanks again.

You could pay their rent for them? Seems an easier solution

Steady_Eddie_3

beecher2 wrote: »

You could pay their rent for them? Seems an easier solution

I already do pay their rent, I was just hoping I could buy them the property as they have never owned their own house.

beecher2

Steady_Eddie wrote: »

I already do pay their rent, I was just hoping I could buy them the property as they have never owned their own house.

Can't see what benefit it would be to them to lose their secured tenancy and be responsible for the maintenance of the property if they're already living rent free.