Gifted Deposit from parents - liklihood of getting a mortgage?

superchickadee

Hi,

I was hoping for some preliminary advice before I got a broker in. This is the story:
I moved from my last house and couldnt sell it so I rent it out.
My parents (very kindly) bought the house we wanted for us, as we intended to buy it from them this year when dh's credit score would be clear.
We got a good deal on this house and hopfully it will be valued at a lot more than we paid, especially since we've rennovated it.

If my parents sold it to us for the market value, but only expected what they paid for it back, would this be classed as a gifted deposit and if so, are there many mortgage companies who would offer a mortgage on this basis?

Just hoping it would reduce the interest amount because the LTV would be 90% or lower.

Any advice, comments or suggestions thoroughly welcomed please!!!

Thanks in Advance

Thrugelmir

superchickadee wrote: »

as we intended to buy it from them this year when dh's credit score would be clear.

Clear of what?

Your signature suggests a high level of debt too. Which may also be an issue.

Crashandburn

Gifted deposit between immediate family members is easy to do. Most will accept this.

Issue will be persuading the valuer to get to the true market value as he may only allow a little increase from last years price.

Good luck

GMS

Make sure the proposed new lender is happy to advance 90% on a second property. Some restrict the LTV.

What rent does your rental property produce and what is the mortgage payment? Do you have consent to let or a buy to let mortgage?