Equity from a shared property.

Collaros

Hi,
I’m looking for some advice and help/guidance please.
I own 1/3 of a home which is mortgage free and valued at around £350k.
The other 2 owners, my sisters, are not in a position to get a mortgage to buy me out.
I am looking to purchase a property with my partner and so am looking at borrowing money against the first property.
Is this possible?? How do I go about it??

Many thanks and look forward to your advice and help.

C.

csgohan4

not generally possible, if you default how are the lenders going to get their 1/3 share back?


sell the property so everyone get a clean break? Generally not good to mix money and family

Tom99

[FONT=Verdana, sans-serif]Might be possible if your sisters agreed to each be liable for the whole mortgage in the event that you did not pay up. You could have a deed of trust which sets out that the whole mortgage was to be repaid from your 1/3rd share.[/FONT]
[FONT=Verdana, sans-serif]Do you have another home which you are selling, otherwise you will be liable for +3% stamp duty?[/FONT]
[FONT=Verdana, sans-serif]Why can't you mortgage the property you are buying?[/FONT]

Collaros

No never had a mortgage or another home.
The property, the old family home, was left to us in a will.
My partner and I can get a mortgage, but not enough to buy what we want and need and my 2 sisters are unable to obtain a mortgage to even buy me out of the property.
So looking at other options as to how i can get my money out or use it as a deposit / equity against another property.

Thrugelmir

Who lives in the property? Why have you all decided to retain the property?