Remortgage for equity release

Liyana

I own a house with both my parents, who are 61 and 55 years of age. I am 33 and was wondering if we could lease some equity on the property to then use to purchase another property.

The catch is, its ex housing association, so we only own 25% of it, which is worth approximately £260,000. The outstanding mortgage is approximately £70,000. Our mortgage rate is a variable one at 4.75%.

The questions i would like to ask, is how much could i release from this property if i were to only remortgage? HSBC loan calculator estimated £150k +, but not sure if this is correct.

Also, would the new repayment be in addition to the current one, or would the new one just supersede the current one?

antrobus

Maybe I've got the wrong end of the stick here; but if the house is worth £260k and you own 25% of it, your share is worth £65k. Hence if they have a £70k mortgage you have no equity at all.

somethingcorporate

They cannot surely have an ex-LA property worth £1m??

Who owns the rest OP?

Liyana

The 25% we own is worth £260k, so the entire house is worth £1m+.

Thrugelmir

The proposed use of the funds will be questioned.