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Home owners loan without going by to let
Sam_Brown_2
Posts: 2 Newbie
We need to raise 25K on our current mortgage (C&G) in order to use as deposit on new home. They suggest we take out one of their 'home owner loans'. We have 2 questions.....
1. C&G have said if we declare the money will be used for a second property they will turn our mortgage into a buy to let (which we wish to avoid).
They have also said we do not have to delcare what we want the money for.
This seems contradictory!
If we do not delcare that we will use the money for buying another property ( which we will use as family home) will we be doing anything illegal?
2. Is this the only way to raise 25K when we have no other savings or equity ( other than the 38K in our property which we currently are allowed to let as long as the lease is no longer than a year)?
Are there for example any options is raising money on parents' homes - either tied in or not tied in to our own mortgage?)
Many Thanks
1. C&G have said if we declare the money will be used for a second property they will turn our mortgage into a buy to let (which we wish to avoid).
They have also said we do not have to delcare what we want the money for.
This seems contradictory!
If we do not delcare that we will use the money for buying another property ( which we will use as family home) will we be doing anything illegal?
2. Is this the only way to raise 25K when we have no other savings or equity ( other than the 38K in our property which we currently are allowed to let as long as the lease is no longer than a year)?
Are there for example any options is raising money on parents' homes - either tied in or not tied in to our own mortgage?)
Many Thanks
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