Buying with a relative who wont live in house?

Shamish

Does anybody know if it's possible to buy a house with my mum getting a joint mortgage but she wont live there or contribute to the mortgage?

Me and my wife have an informal offer agreed and though i'm in a profession which is well in demand (nursing) i cant get a mortage due to my temp contract (Well not from clydesdale anyway have meeting with nationwide Monday) but my wife can but not up to the value of the house we want (20k below the asking price) My mum and dad were saying they'd be a guarantor but i dont want to put my mum and dad's house at risk should anything ever happen, they've paid off there mortgage completely. My mum was saying she could maybe take out a new mortgage in joint name with my Wife. Does anybody know if this is possible? I know of buy to let but this would be different IMO anybody able to advise?

This is in Scotland incase of any differences in the rules.

Thanks

Scotchnan

Offer 20k less than asking then.

Do you have a big deposit?

antrobus

There isn't really any difference between (a) becoming a party to a mortgage with someone else and (b) becoming a guarantor of a mortgage for that same someone. You're still liable to pay the whole whack should the someone fail to do so themselves.

Shamish

antrobus wrote: »

There isn't really any difference between (a) becoming a party to a mortgage with someone else and (b) becoming a guarantor of a mortgage for that same someone. You're still liable to pay the whole whack should the someone fail to do so themselves.

Yeah but wouldn't want my Mum and Dad's house being liable and them losing it.

Shamish

Scotchnan wrote: »

Offer 20k less than asking then.

Do you have a big deposit?

Only 5% and a half decent credit history. Dont think we will get it but going to find out on Monday no doubt. Aparently because we are getting it under the value the loan to mortgage value will only be 86% but we will still have to give the deposit.

Shamish

Anybody? Thanks

Yorkie1

I doubt it will be possible owing to the mixed address details but you need to speak to an expert i.e. a mortgage broker.

If you get a BTL, you will breach the T&Cs because you'd be living there. If you got a residential mortgage, your mum would be breaching the T&Cs by not living there.

Why are you speaking to individual banks rather than a broker? Each one can only advise on their own products and you will end up with lots of searches if each one carries one out - impacting your credit record negatively.