Paying Parents Mortgage - Struggling to get new home with partner

marksoton

acouplefrommk wrote: »

I'm writing this post to try and seek some advice on your own experiences or opinions, as I currently feel quite stuck on options to move forward with.

To summarise my situation, I'm currently on my parents mortgage as a joint application with my mum but am solely paying this for the past 8 years to help as their income is relatively low. Not living with parents but renting with my girlfriend and with both of us close to hitting 30, we're wanting to progress to the next steps, considering a family, establishing our foot in the ladder and with that, would rather have a mortgage/asset of some sort together.

I'm currently earning £55000 basic and my partner £17900, with that, our combined income rules us out of applying for help-to-buy schemes or shared ownership options together let alone with my name already on my parents mortgage. Most of our income after paying the essential bills is taken away on work related costs or maintenance of the car so it doesn't leave us with much options for saving.

I've considered releasing equity in the existing mortgage to help contribute to a deposit for us by £20000, but that would still only contribute towards a 5% - 10% for a worn down 1 - 2 bed home in Milton Keynes as my stamp duty would be very high due to it being classed as purchasing a second property.

Another passing inkling was wether it would be an advisable option for me to remove my name off my parents mortgage but still send them money to cover this? Would this legally allow me to solely apply for help-to-buy schemes or shared ownerships?

We were wanting to understand if we're indeed quite stuck on saving the conventional way, or if there are any alternative routes or 'loopholes' that could help us get on the ladder without waiting another 5 - 10 years for a moderately saved deposit.

Thank you for taking the time to read my post, any help would be greatly appreciated.

What you're doing, is taking the p155...

Marvel1

When you read your income alone at £55K I'm shocked how you cannot afford to do, this is based on my that was £17K when I started in 2007 solo and now just under about £20K, again solo and coping just fine.

Then you want on that wage help to buy but cannot due to the income level, sorry to sound harsh but this is good as should be for lower incomes levels.

AFF8879

Your parents sound selfish. I appreciate I don't know their or your situation but they are both working, how can they allow themselves, morally, to pass the burden of their mortgage to their child? I can't imagine any parent who would let their children do this for them, if they were too ill/frail to work then it's a different matter but as you say they are both in jobs.

How long have you been solely paying the mortgage? As if you can prove your mother hasn't contributed then it wouldn't matter that she was named on the mortgage - she wouldn't be entitled to any of the benefit on a sale of the property.

Not that for one minute I suggest you kick your parents out, but downsizing IS an option (I know you think it isn't). They can buy a 2 bed flat. Parents in one room, teenagers either share the 2nd or one sleeps in the living room. Is it an ideal living situation? No. But your parents need to take some more responsibility.

glasgowdan

Wow, as above, I can't imagine my son paying my mortgage. It's just wrong

Double wow...you can't save on a 73k income.

Lots of things you're not telling us here I suspect

csgohan4

Another reason money and family shouldn't mix.


Your parents are not children and should have known about saving and not sponging off their children, you. Now they have more children and you effectively paying for their lifestyle too.

exiled_red

Based on the wages you mentioned, you and your partner should have a combined take home pay (after tax) of over £4k a month so how much are you paying in rent and mortgage payments and what else is your money going on?

I'm not saying that it should be easy to run your own flat and pay your parents mortgage but you should be in a very strong finanical position with your combined earnings.

Person_one

exiled_red wrote: »

Based on the wages you mentioned, you and your partner should have a combined take home pay (after tax) of over £4k a month so how much are you paying in rent and mortgage payments and what else is your money going on?

I'm not saying that it should be easy to run your own flat and pay your parents mortgage but you should be in a very strong finanical position with your combined earnings.

The OP mentions Milton Keynes, perhaps this means they want to be in commuting distance of London? If they're paying rent in the SE, plus a mortgage on a property in the SE, that's a substantial amount every month before any living costs, pension, etc.

Cakeguts

I would suggest that your parents sell the house and downsize into rented accommodation. They don't need to live in a 3 bed house a two bed flat would do. I don't see why you have to house your two siblings. Your parents decided to extend their family after you so it is their job to work out how to pay for that not you. 8 years is long enough to carry these people. They have had 8 years to do something about the situation they find themselves in and it seems as if they haven't made any changes to their lifestyle. Time for them to sort their lives out and let you move on with yours.

mrginge

Personally I think it's great that you've decided to help out your parents.

But as you have found you have done so at greater personal cost than just the cost of their mortgage.

Your option, as with everyone else who wants to buy a house and has no BOMAD to assist is to reduce all your unnecessary expenditure and save up.
55k salary should be sufficient to achieve this even with your extra commitments.
Other people have managed this on considerably less salary.

Good luck and again, well done.

Thrugelmir

How about upscaling to a property where you can all live?