Family springboard equity mortgages

ch-ching

Can anyone offer any advice regarding these types of mortgages. I only found out about their existence yesterday. Our situation is this: We are a married couple who both work, we have 3 kids and have been renting for the last 10yrs. My parents have a large house worth in region of £425k and their mortgage is due to expire imminently so there is plenty of equity. We are unable to save a deposit and get on the property ladder and feel this may be a way forward. TIA

minimike2

They would need 10% of the purchase price of your property as cash to put down as a surety for three years. Their equity has no bearing, unless they plan to borrow against it in order to help you.

amnblog

This does not seem like an obvious product for you unless your Parents have cash as well as Equity in their property.


If however, your Partners are prepared to assist you, consult a Broker.

kingstreet

There were several products in the market before the Barclays SpringBoard where a charge was taken over a parent's property, rather than over savings.

Not sure if they still exist, but consulting an independent broker who can look into these options for you would be a good idea.

IIRC they were offered by smaller lenders, not the high street chains.