Help From Parents

debtfreeby2013

sorry, 1 more question with relation to the Guarantor mortgage. Can it only be based on one parents income or can it be done on their joint? If so, would I be better off choosing my dad as he earns more than my mum?

poppysarah

debtfreeby2013 wrote: »

£5000 of it is a grant, £1900 is a loan so it is mostly income.

My main suggestion to you - having read your bright sig - is to clear your debt and save like mad.

Don't go any further until you have lived debt free for 2 years and have saved your own chunk of money.

When you have done that you will be in a fit state to discuss mortgages.

debtfreeby2013

poppysarah wrote: »

My main suggestion to you - having read your bright sig - is to clear your debt and save like mad.

Don't go any further until you have lived debt free for 2 years and have saved your own chunk of money.

When you have done that you will be in a fit state to discuss mortgages.

I understand what you're saying but as I am already renting in the private sector and I know I can get a far better property for lower monthly payments I feel that, if my parents are willing to help in terms of a deposit, then this is my best option.

At the moment I'm spending money on a property that is riddled with damp I can do nothing about, god awful decor that I can do nothing about and having to find a new place to live only 8 months later, plus am paying more than the cost of a mortgage. If I can get help with a deposit from my parents then it seems to make more sense than paying more money for the 'privalege' of living in someone elses home.

PS adapted my sig slightly as it was very out of date, hehe.

jennifernil

debtfreeby2013 wrote: »

sorry, 1 more question with relation to the Guarantor mortgage. Can it only be based on one parents income or can it be done on their joint? If so, would I be better off choosing my dad as he earns more than my mum?

Joint income like any other mortgage I would have thought. Didn't arise in our case as I was not earning.

poppysarah has a good point though, you really should clear your debt first and save some.

Can you not stay home like your brother, save the rent, agree some "bed and board" with your parents?

Mortgage is not the only cost when you own your own place.

poppysarah

debtfreeby2013 wrote: »

I understand what you're saying but as I am already renting in the private sector and I know I can get a far better property for lower monthly payments I feel that, if my parents are willing to help in terms of a deposit, then this is my best option.

At the moment I'm spending money on a property that is riddled with damp I can do nothing about, god awful decor that I can do nothing about and having to find a new place to live only 8 months later, plus am paying more than the cost of a mortgage. If I can get help with a deposit from my parents then it seems to make more sense than paying more money for the 'privalege' of living in someone elses home.

PS adapted my sig slightly as it was very out of date, hehe.

And bright.

Get a dehumidifier.

it's not more than the cost of a mortgage you could get though. It's basing your parents finances into your not yet stable wind.
If you see what I mean.
UNless parents pee money don't use their money or security to buy a house for you.

debtfreeby2013

jennifernil wrote: »

Joint income like any other mortgage I would have thought. Didn't arise in our case as I was not earning.

poppysarah has a good point though, you really should clear your debt first and save some.

Can you not stay home like your brother, save the rent, agree some "bed and board" with your parents?

Mortgage is not the only cost when you own your own place.

I've tried living at home but it doesn't work. They would take me back in a heartbeat but we don't get on very well when we live together and they understand this which is where I think this latest idea has sprung from.

This isn't something I would rush into nor would my parents even consider it if they didn't think it was viable. It is just a bit of a pipe dream at the moment but thought I'd ask on here to see what the options were. The logistics of the finance are yet to be considered but would be looked at fully if we all thought it was a workable idea.

debtfreeby2013

poppysarah wrote: »

And bright.

Get a dehumidifier.

it's not more than the cost of a mortgage you could get though. It's basing your parents finances into your not yet stable wind.
If you see what I mean.
UNless parents pee money don't use their money or security to buy a house for you.

I had a humidifier but it was useless as the damage to the outside of the property is allowing water to seep in through the walls, the dehumidifier can't work quick enough.

I do see what you mean but if my parents were happy to lend the deposit/be guarantors then that's up to us to work out the logistics of it, right? As I said, this is all just a pipe dream at the moment and has only been thought up in the last 2 days but I just wanted to see what options were available so we could discuss it and look at whether or not it was viable. It's certainly not a done deal.

tom9980

You are so excited by the prospect you are forgetting the most important thing..... after university what job will you be doing and where will it be located? you really should finish uni and have those debts paid off before you and your family entertain this idea. I dont see a bank accepting you as a part time worker who is a student anyway especially with all the debt.

jennifernil

If it's a guarantor mortgage, the student's income does not matter, the lender has the assurance that the guarantors will pay.

jennifernil

tom9980 wrote: »

You are so excited by the prospect you are forgetting the most important thing..... after university what job will you be doing and where will it be located?.

This, to me, is the important bit. Would you be able to stay in the area and keep the property a sensible length of time?

If there is a chance you might have to move for work, better for your parents to buy it as a BTL in the first place, as long as it would be easy to let and be a sensible proposition. You need to look at prices, cost of mortgage, all the upkeep etc, and compare that with the rental it would command.