Buying a share in my Parents Property

Vegas17

I currently live with my parents (who are both in their 70's). I can't afford to buy a house so my parents suggested that I could get a mortgage for my 1/3 share of their house (this money would then be split between my two brothers). My parents own their house outright and would continue to live here with me.

Is buying a 1/3 share of my parents house something that is possible?

bris

I doubt a mortgage lender would allow to to purchase part of a property. What would happen if you default? The lender would not be able to reposses without the proper and no doubt complicated charges being in place. This would mean evicting two elderly pensioners, not the publicity they would want.
There is also the problem of "depravation of assets" to consider if they ever need to go into care, not something you may be concered with now, but you never know what the future will hold for them.
You could get a secured loan on the property but it will be expensive, and a sub prime lender giving your parents age. This would be risky as these lenders would have no problem kicking you all out to reposses.
It's a bad idea and one to avoid, as you still live there then it makes no difference to you, let your brothers wait for their inheritance.

hunnie

It is fairly straightforward to add or indeed remove people from house deeds when a house is owned outright.
The complication for you is the age of your parents and the fact the you want a mortgage.

beckythemadcow

Surely you would need a mortgage for 2/3? This would then give your siblings 1/3 each. Or have I misunderstood?

PasturesNew

What are you trying to achieve? Buying 1/3rd of your elderly parents house doesn't seem to benefit anybody whatsoever.