Mortgages and elderly relatives advice sought

Thrugelmir

exmachina wrote: »

I'm wanting to keep the property for the sake of the numerous grandchildren because I'm very concerned for their future given the social cleansing policies of the current government.

What on earth has your political views to do with helping your parents achieve the outcome they desire. Perhaps your real concern is actually that their inheritance will be frittered away if your parents have cash to spend. Once the equity in the property is released. Their money to do with as they wish.

hign10pines

comeandgo wrote: »

In a few years we will be in your parents situation, well nearly, we will be mortgage free and will sell, downsize and go on holidays with the equity released. I'd hate to think my children were hoping I'd forgo my holidays just to leave something for their children.

Exactly. My parents downsized as soon as I moved out, to a bungalow, they have since moved again. I see it as their house to do as they like. It is highly unlikely I will ever get on the property ladder but I'm not expecting my parents to keep their house just to help me.

What will happen if/when your parents need care? If they go into a care/nursing home they may have to sell the house anyways. Are you going to pay for private carers just so the house gets passed on to family?!

Kynthia

You've used the word obviously but it really isn't obvious why you want them to keep the property. It might be to you as you know the answer to the questions people have.

Are they only selling because they can't afford to pay off the mortgage? Do they actually want to sell and free up equity to spend on enjoying their life? Are you prepared to loan them the mortgage money or are you wanting to own part of their property? Are you willing to sell one of your properties to buy this one? Have your parents looked into whether they can extend the repayment deadline and start paying back the capital? Have they looked into some kind of equity release to allow them to keep living there? Have you discussed any of this with them and do you know if they'd welcome your help or are perfectly happy to deal with their house and finances themselves?

A lot of people make assumptions about what their family members want and need but are often wrong. We don't know whether this is the case or not with you. So as you can see there are many things that make it not 'obvious' and our original post saying your parents wanted and not needed to sell made it even less obvious. If you are able to clarify then that might help with peoples' advice.

onlyroz

exmachina wrote: »

No, it wasn't, that question was an appeal to emotion and not based on the actual questions regarding the mortgage.

I'm wanting to keep the property for the sake of the numerous grandchildren because I'm very concerned for their future given the social cleansing policies of the current government.

Why this specific house? If your parents downsize they will still have a sizable asset to pass on, assuming that they don't have to sell up to pay for carehome fees, and assuming that they wouldn't prefer to spend all their money on living the high-life in their twilight years.

Personally I'd prefer it for my parents to enjoy their retirement rather than spend it scrimping and saving just so that we can inherit all their stuff when they're dead.

bouicca21

I'm very grateful that nursing home fees did not swallow up my parents' estate in entirety and that I got a chunk of money. I hope to be able to pass on a similar chunk of money to my children, but I hope that they'd rather have me around, enjoying my retirement, just as I would rather still have my parents enjoying theirs.

OP still hasn't come back to say what his parents want, rather than what he/she wants ...

xylophone

What the OP's parents want to do seems perfectly reasonable and indeed is what many others have done in the past and will do in the future.

He might consider selling his existing buy to let and purchasing his parents' property?