Dad is selling me a £200,000 flat for £150,00 PLEASE HELP

Alexfreeman84

Hi money people!

I need some advice I don't know where to start.

My dad owns a few flats and wants to give me a leg up on the market by selling me it a cut price. Would it be easy for me to get a mortgage? I have 10k to put down dont know if this old be enough?? Please I need help !!!!

ACG

There are a couple of lenders who will allow it (even without the £10k), but not too many i dont think. Probably worth a chat with a broker.

Lou67

If your dad is in the business of selling properties, then he should have all the info for you, but £10K deposit on a £150K flat is nowhere NEAR enough. I would say you would need at least £35K. Not sure how old you are, but if you're young (under 25,) and single, I would steer clear, and rent for now...maybe with some pals.

katejo

Alexfreeman84 wrote: »

Hi money people!

I need some advice I don't know where to start.

My dad owns a few flats and wants to give me a leg up on the market by selling me it a cut price. Would it be easy for me to get a mortgage? I have 10k to put down dont know if this old be enough?? Please I need help !!!!

It is impossible to answer this without knowing your salary/ income and whether you have any other debts / loans to pay off . Where are these flats ?

Thrugelmir

Alexfreeman84 wrote: »

My dad owns a few flats and wants to give me a leg up on the market by selling me it a cut price.

Suggests he checks the tax position first. As may be an expensive giveaway.

holly_hobby

If your Dad (and not his property company) owns the flat, you can purchase this under whats generally termed a Family Discounted Purchase.

In such a case, and for those lenders that accept this business (of which there a quite a few, inc high st guys), they will actually use the difference between the market value of 200k (or whatever if values up at if a lesser sum), and the actual pch price of 150k (ie 50k) as the effective deposit (plus of course you can throw in your extra 10k if you wish).

Of course your status and income shall have to be acceptable to the lenders criteria, but assuming all is ok, this is a super easy enquiry for an experienced broker.

Take a copy of your credit ref agency reports to a whole of market broker who'll gladly assist.

With regards to Dads (or his corporate) tax implications of selling at under value, his accountant will advise ( I won't go into here to save muddying the thread re your own enquiry)

Hope this helps ...

Holly