1st Start Mortgages by Bank of Ireland

hommer11dog

Hi

I have a 1st Start Mortgage from the Bank of Ireland, this allowed me to borrow 4 times my Dads salary plus 1 times my salary, the result of this is that my Dad is named on the Mortgage and is guarantor. The problem is that when it comes to changing the mortgage to just me and the wife’s name will my Dad be liable to capital gains tax on any share of equity, if this is the case how can I get around it.

Thanks

gallygirl

hommer11dog wrote:

Hi

I have a 1st Start Mortgage from the Bank of Ireland, this allowed me to borrow 4 times my Dads salary plus 1 times my salary, the result of this is that my Dad is named on the Mortgage and is guarantor. The problem is that when it comes to changing the mortgage to just me and the wife’s name will my Dad be liable to capital gains tax on any share of equity, if this is the case how can I get around it.

Thanks

There was a similar question in the Sunday times today. To cut a long story short you should be ok. You need to be able to prove why he was on it - so keep the details of the scheme, also you need to prove it was your property, you were paying bills, mortgage etc. Basically, if you can show he was only a guarantor you will be fine.

herbiesjp

I could be wrong - but i thought one of the benefits of this Bank of Ireland scheme is that the parent does not go on the title deeds to avoid this exact problem. Give them a quick call to double check.