Am I able to take a mortgage out for my mother?

missxbeth

Hi all,

My mother has recently sold our family home due to my parents divorce. Mum is now interested in a property in a village round the corner.

My mum has no source of income as she is a full time carer for my sister and therefore relies on carers allowance. We will have a 80% deposit but will need an approximate £30,000 mortgage. Am I able to get the mortgage for her, either through buy to let or an actual mortgage?

Also, is it possible for me to transfer my mortgage over to my mum in the near future?

I'm sorry if I come across as quite naive - this is all rather new to me!

Thanks

McKneff

Easiest way would be for your mum to lok for something she can afford with the amount of money she has now.

holly_hobby

You could seek a regulated BTL arrangement, there are a number of lenders that will look at this.

However, as it is regulated, it means that affordability will be based on your income, it also means that if you want to later pch your own home with a mortgage, then this commitment will be included in the affordability assessment on your own mge app.

Some lenders will accept carers allowance, so that Mum can apply in her own name, however if this is her only income it mat not be sufficient for her purposes.

You could both jointly apply, but again as I stated above, if you do this, the commitment will affect you in the longterm - you'll also be exposed to a greater (solely in your name) or lesser (in joint names) to CGT on disposal.

Your broker will advise.

Hope this helps

Holly