Second charge / declaration of trust -parent loan?

Pixie5740

Usually the solicitor also acts for the lender, not always though. If the solicitor knows some of the money is a loan and some a gift to your son but not DIL then it will be disclosed to the lender.

MEM62

Fraj1 wrote: »

and a loan of 30 k from me to both of them.

I am open to be corrected if I have missed something but, as far as I believe, you cannot borrow for a deposit.

AnotherJoe

MEM62 wrote: »

I am open to be corrected if I have missed something but, as far as I believe, you cannot borrow for a deposit.

Allow me to correct you

Depends on the lender and the loan. I loaned my daughter the deposit but it's done with a loan agreement and a second charge,and the condition of the loan is that it does not need to be repaid until the house is sold. Not all lenders will like this, but Santander were OK with it.,

Fraj1

This is interesting. As it is Santander my DIL has had the mortgage approval from I phoned them to enquire. They said that they do not accept second charges and that they would ask for me to sign a document to say I had gifted the money to her and had no financial interest in the property when she discloses that some of the money has come from me. I said I knew of others who had done it with Santander and he said policy is changing all the time and it is not possible now! Have also contacted the mortgage broker who is contacting the two solicitors and am waiting for him to get back to me but this one looks like it's not going to have a happy ending! Thanks for your input.