Buying parents council house

pumabhoy

I want to buy my partner's mum's council house. I realise that it will be in her mum's name for 3 years before the deeds can be sold/transferred to me. My question is:-
Can I have a solicitor draw up legally binding agreement (so that if we fall out or she decideds to be awkward) she has to transfer the deeds to me?

wigglygiggly

Isn't it five years now? I know they changed it a couple of years back around here anyway. Can't answer your question about tranferring it to your name though but if you buy it from her then the property will be yours anyway.

pumabhoy

Thanks wiggly
The worry I have is that if we fall out and she doesn't transfer the deeds after the 3 (or 5) year period I'm left several £££££ out of pocket and no house to show for it.
I really need the piece of mind of a legally binding agreement but am unsure if such an agreement can be made.

Timmne

Should you really be dealing in a transaction where you don't wholly trust the seller (whether it be your mum or joe Bloggs)?

I would get out and buy somewhere else if you have any concerns....

Sorry I can't help on the actual question though!!

margaretclare

Hang on! This is MUM'S council house, not yours. She's the one who has the right-to-buy, not you!

Sounds as if you just want the concessionary price that she can pay for it. I think if I was Mum I'd buy it at the concessionary price, and then, if you wanted to buy it, I'd charge you full market value.

And where is poor Mum going to live in 3 years' time if you plan to buy her house off her?

Margaret

pumabhoy

It is my partners mum but I see your point margaret. She can't afford to buy it. I was going to buy it and charge a lower rent than she is paying now. This gives her more disposable income each month and is better off. Ownership of the house would be transferred to me after 3 years and she would continue to live there for as long as she wanted. It would be put into the agreement that she would stay in the house for as long as she wanted.
I just need to know if such an agreement could be made to protect all parties.

margaretclare wrote:

Hang on! This is MUM'S council house, not yours. She's the one who has the right-to-buy, not you!

Sounds as if you just want the concessionary price that she can pay for it. I think if I was Mum I'd buy it at the concessionary price, and then, if you wanted to buy it, I'd charge you full market value.

And where is poor Mum going to live in 3 years' time if you plan to buy her house off her?

Margaret

lynzpower

is there any chance at all you and your partner could split up?

I dont understand whats in it for you here? Surely if shes still working she could be living here for many many years until she departs over to the other side?

What if you get into financial difficulty?

Wont you want a mortgage later for somewhere you will live?

Or are you hoping to pay cash for her home?

BTman

I think it's very wrong and immoral.
The right to buy is to help the like's of your mum to own their own property, not to make some BTL wannabe money...

BTman

edit, double post, sorry..

lisyloo

Speaking from the legal side you would need to protect yourself from her dying of going into care.

If the deeds are in her name and she leaves the house to you in her will the the house may still have to be used for debt before you inherit it.
Also she is free to change her will at any time without you knowing, so even if you did set it up you can't guarantee the result.

If she goes into care then the house may be used to pay for her care.

Also lender will want the mortgage and deeds in the same names. So if she's buying it she will have to have a mortgage on it and I suspect that won't work with her income.

I would walk away from this now if I were you.
There are too many risks.

I think there are some moral concerns but that's for you to decide really.

pumabhoy

I have enough savings to cover the mortgage and the mother will be paying less rent than she is now.
It basically comes down to me lending her the money to buy her house but instead of paying the lump sum back, she transfers the house over to me in 3 years time and continues paying a lower sum of rent for as long as wishes to stay there.