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Re-mortgaging to buy Mum out of an Equity Release Mortgage
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You made the mistake at the outset of assuming you would be purchasing a percentage ownership of your mother's home or that your money would not be protected.
The bank lends you money which is secured on your house (mortgage), you in turn lend that money to your mother and her debt is secured on her home as in post 4 (deed of trust, charge at land registry), she pays off the equity release company. That way you are not named on the deeds/ not a landlord/ don't own property you don't live in.
However if you need benefits in the next few years the state can still ask where the money you borrowed went. You will get your money back if the council force a sale for care needs because it is a a traceable and documented loan.
this is excellent advice and also avoids you being exposed to capital Gains tax for owning a house you do not live in0
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