Want to help daughter buy house - advice?

barnsleynanna

My husband retires in December 2016. I'm 10 years younger than he is, but plan to retire at the same time, as we have quite a large funding coming in from private pensions..... However, I digress ! We don't have a mortgage and our house is worth circa £80k. My daughter and her partner have three children, with another due soon and I doubt they'll ever be able to get onto the property ladder. Hubby and I have a static caravan and we plan to stay there for 9 months of the year. We want to sell our house and let my daughter and her partner use the £80k as a deposit on a home valued at around £200k. We will then stay with them 3 months of the year, when the van closes. What is the best way to go about sorting a mortgage and would our name need to be on it?

Keekles

It depends on your attitude to the £80k - are you going to want to see it paid back?

If not, the easiest option would be to gift them the deposit following the sale of your property. However if it is gifted, you'll have no claim over the £80k should they ever need to be repossessed. There are options in terms of securing your investment, however it does reduce the lenders available to them.

amnblog

Might be smarter to buy it yourself, let them stay there and pay you rent.

You trust your daughter but do you trust her partner?