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myusernam
Posts: 1 Newbie
Hi
My mum wants to sell her house and move to North Wales. She has a 30k mortgage and her house will sell for around 80k. She has around 20k in savings. That leaves her about 70k.
She's looking to buy a house for around 120k in wales but the bank won't play ball as she's a bit too old!
So she wants me to use my credit to borrow the difference and essentially she will pay the repayments.
What's the best way to structure this? Should I buy the place outright and be her landlord (already have one rental property so may incur a lot of tax) or should I borrow the money and lend it to her, effectively making me the bank? Or could I borrow the money, buy the house and then sell it to her at a lower amount with her repaying the difference by some more tax efficient route?
Just to confirm she is totally trustworthy, will be able to make repayments, will live in the house until she dies etc etc.
Any advice would be great.
Ta
My mum wants to sell her house and move to North Wales. She has a 30k mortgage and her house will sell for around 80k. She has around 20k in savings. That leaves her about 70k.
She's looking to buy a house for around 120k in wales but the bank won't play ball as she's a bit too old!
So she wants me to use my credit to borrow the difference and essentially she will pay the repayments.
What's the best way to structure this? Should I buy the place outright and be her landlord (already have one rental property so may incur a lot of tax) or should I borrow the money and lend it to her, effectively making me the bank? Or could I borrow the money, buy the house and then sell it to her at a lower amount with her repaying the difference by some more tax efficient route?
Just to confirm she is totally trustworthy, will be able to make repayments, will live in the house until she dies etc etc.
Any advice would be great.
Ta
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