Lift shared equity scotland

Ap1988_2

Hi I am new to the forum so firsty hello.
What I am querying is I am currently a lift shared equity property owner in edinburgh.
I am looking to go as a joint applicant with my mother to allow her to buy her council house.
I have been told this is not aloud by lift as under their t&c's you can't own another property.
My question is how would they find out if I proceeded?
My mum has been a tenant for 30 years and is struggling with rent payments and would not get a mortgage based on her income alone.

kingstreet

AIUI you can't be party to another mortgage when you apply for a shared equity scheme, but the rules say nothing about you taking out another mortgage after that.

Please re-read the rules and post back exactly what is said.

For example, this is the clause in the Firstbuy rules;-

You must not already own a home or be named on a home mortgage. If an applicant has their name on a mortgage they will need to provide evidence that it is in the process or it has been removed.

Ap1988_2

Excellent thanks for that. Is this accessible online?

kingstreet

I can't speak for your specific scheme. You'll need to establish the body which looks after post-sale issues for SO/SE etc. in Scotland.

In England, it's myfirsthome.org.uk and I've just had a look on there and found this, in the HomebuyDirect/FirstBuy section, which is also shared equity;-

In addition the buyers’ charging document and mortgage deed prevent you from buying a second home. This also means that to purchase another property you must first of all repay your loan, either by staircasing or selling your HBD property.

So it is specifically mentioned in the rules, if you can find them!

I can't say if this applies to you, or not, I'm afraid.

Ap1988_2

Ok, so if this is the case via my scheme which they have told me verbally.How would they find out?

googler

The Lift rules are on the Scottish Govt's website (or a factsheet-based version of them)

http://www.scotland.gov.uk/Topics/Built-Environment/Housing/BuyingSelling/lift/FTBOMSEP/OMSEinfoleaflet

"The property that you buy (under LIFT) must be your only home. Although it should be suitable for your current housing needs ...

As the Open Market Shared Equity Scheme is aimed at low to moderate income households, you will be assessed by a registered social landlord who administers the scheme in your area to see whether or not you qualify. To allow this to happen, a form of ‘means testing’ will be carried out. You will need to show that you cannot buy a house suitable for your needs without help from the Open Market Shared Equity Scheme."

So ... you needed help from us, the taxpayer, to buy this shared ownership house, but you now have enough disposable income to buy a stake in another one?

Ap1988_2

To assist my mother (the tax payer) in purchasing her residential property for over 30 years your honour

Ap1988_2

Also I would rather have my question answered if possible. I would rather not enter a debate. Appreciate your thoughts none the less.

comeandgo

Are you allowed to assist a council tenant to purchase if you are not a tenant there too?

Ap1988_2

The office told me it is feasible if I go on the council tax for 6 months. For people on the morale high ground to confirm, I am merely querying the idea as my mum can't afford her council rent as its increased I am only entertaining avenues in which to help her.

googler

If you have the available funds to be a partial mortgagee, is there anything to prevent you merely giving your mother a contribution to her rent every month?