Is there a mortgage out there for us?

riverboat2001

hermanmunster wrote: »

what has mum retiring got to do with selling second property - I reckon she could stay put! - maybe that will put lenders off

Long story as short as possible.

My Mum works two mins from where she is living in my flat.
My Nan was in a care home a five minute bus ride from my flat.

Hubby and i live in Mum's place, value about 400k owned outright by my Mum.
Very same situation, we both work a five minute drive from here, and Hubbys Children and Grandchildren live fairly close by.


So plan is (hopefully) we move out and Mum moves into her own property, and the flat is sold to near enough clear our mortgage. (obviously i understand flat may drop in value, but a two bedroom garden flat in central London should be fairly safe)

hermanmunster_3

Fair enough - complicated though! So you and mum have swapped houses effectively

riverboat2001

hermanmunster wrote: »

Fair enough - complicated though! So you and mum have swapped houses effectively

Pretty Much

There are two other options which would pan out...

Mum moves in with us, we sell the flat and become cash buyers. But really who would want to move back in with their Mum..We would drive each other crazy:D

The other option, is to stay put and keep paying the £1000 into the savings account that we have been doing for the last six months to raise a better deposit.

getmore4less

Looks to me like a better plan would be to wait 2 years before buying the new place. Save having mums place empty for 2 years.

Is mums place suitable for her long term, maybe another option is to sell that and then buy something for Mum in 2 years that will see her through.

riverboat2001

Very good questions, that we have thought of ourselves.

Well yes, but Mums hasn't decided exactly when she is going to retire.
She's one of the "old school" workers, stays late and does the work of three people, plus she feels she should help the firm find and train a suitable replacement. (big ask in my opinion)
Our plan would be new place is a five minute drive from Mums place so we can pop in to make sure place is okay, and stay the occasional night. Also Mum would come out every weekend.

Unfortunately Mum wants something detached and big (like the property she owns) but she likes London life (as opposed to here out in the country) So i don't honestly know what she's going to do. I'm not really sure she knows what she wants to do.

She has got somewhere to stay once the weather gets warm, and has said she will move out if i ask her, but she has been so good to us over the last few years, that i couldn't do that to my Mum. I'm happy to go at her pace.

getmore4less

riverboat2001 wrote: »

Very good questions, that we have thought of ourselves.

Well yes, but Mums hasn't decided exactly when she is going to retire.
She's one of the "old school" workers, stays late and does the work of three people, plus she feels she should help the firm find and train a suitable replacement. (big ask in my opinion)
Our plan would be new place is a five minute drive from Mums place so we can pop in to make sure place is okay, and stay the occasional night. Also Mum would come out every weekend.

Unfortunately Mum wants something detached and big (like the property she owns) but she likes London life (as opposed to here out in the country) So i don't honestly know what she's going to do. I'm not really sure she knows what she wants to do.

She has got somewhere to stay once the weather gets warm, and has said she will move out if i ask her, but she has been so good to us over the last few years, that i couldn't do that to my Mum. I'm happy to go at her pace.

To me that says all stay where you are till mum makes up her mind a lot can change in two years, you have enough properties between you so not a real issue on rise/falls, buying an extra one does expose to the risks of falls and you will need to keep an extra place going, what are the running costs of Mums place each year.

You might also want to investigate IHT issues, mum is well over her nill rate band, so unless there is a nill rate band to transfer to her from a spouse there is a tax bill in the future.

riverboat2001

Mmmmm, i have had a chat with Mum about IHT, she's been quite cagey about it.

I'm the only living relative, but i have half brothers and sisters on my Dads side of the family. We're not very close but see each other for a catch uup once a year.
Dad died about 15 years ago.
I was under the impression that mum was going to leave everything to me. But i'm not greedy and have no issue with recieving nothing. Indeed i told her she should leave some money to my half brothers and sister.
I see Hubby and me having our own place and being mortgage free with good pensions at some point in the future. Who couldn't be happy enough with that?

ps she works for solicitors, so maybe that has all been sorted out anyway.

getmore4less

You can do some basic research if you want.

Was dad maried to mum when he died thats key to getting any nil rate band transfered.

Depends what he left and to who and any trusts, do you know this.

One of the reasons you need to know her plans is because they can impact yours significantly and it might be easier to consider all the senarios.

Because with the houses, saving and pensions you could be looking at over £1million of assets between you.

riverboat2001

getmore4less wrote: »

You can do some basic research if you want.

Was dad maried to mum when he died thats key to getting any nil rate band transfered.

Depends what he left and to who and any trusts, do you know this.

One of the reasons you need to know her plans is because they can impact yours significantly and it might be easier to consider all the senarios.

Because with the houses, saving and pensions you could be looking at over £1million of assets between you.

They were together for about 20years and bought the old four storey run down Victorian terrace we lived in (complete with the sitting tenants) - think they paid 10k for it!
They married about 5 years before my Dad died (purely for tax reasons i think)
He left everything to her.

riverboat2001

Well, we went to see the Mortgage Advisor, we where in there for a good hour or so answering all her questions.
She is confident that she can get us a mortgage, and also appears confident that we can somehow use some of the equity in the flat.