Help to buy when inheriting 50% of house?

Mikela78

My father passed away, and so i am inheriting the house I live in, 50% of it, with 50% my brother.
I want to try buy him out but cannot afford a mortgage.(Even if someone was daft enough to give one to me)
£500 a month is probably my limit. House is worth 160k.

Are there any help to buy schemes that could help to buy my home?
Most schemes I've seen are for buying your council house or new build.

Thanks in advance for any help.

dimbo61

So the house is worth £160,000 but you already own 50%
If your brother is happy to sell his share to you can you not get a mortgage for £
80,000 ?
If not you both need to consider selling the property and buying something cheaper

Bossypants

£500/month on an £80,000 loan doesn't seem totally out there to me, are you sure you couldn't get a mortgage? It might be worth seeing a broker, just to be sure. There are companies who will deal with people in exceptional circumstances sometimes.

xylophone

https://www.moneysavingexpert.com/mortgages/best-mortgages-cashback/

HollySocks_2

Theres the Help to buy for first time buyers.
But you may already be excluded.
I inherited half a house a few months ago. My brother had the other half. We both agreed to sell it.
Im not now classed as a first time buyer apparantly as i techincally had a property, or half of one. I checked on some helpline and the said i would be excluded.

Rosemary7391

I cannot think of any scheme that wouldn't count already owning half a house as sufficient help!


£500 a month is probably enough for an £80k mortgage at current rates though. Why do you think you can't get a mortgage?


Is your brother wanting to sell to get his 50% or do you have some time to work on this, save etc?

Mojisola

HollySocks wrote: »

Theres the Help to buy for first time buyers.
But you may already be excluded.
I inherited half a house a few months ago. My brother had the other half. We both agreed to sell it.
Im not now classed as a first time buyer apparantly as i techincally had a property, or half of one. I checked on some helpline and the said i would be excluded.

If the house stayed within the deceased's estate until it was sold, you didn't own it.

If you changed the ownership at the Land Registry, that would be different.

Mikela78

Mojisola.
I think this is where I will have the problem.
I don't technically own it.
But I've lived here for a while so it is my only home.
But also it isn't for sale on open market. That may affect some schemes.

AdrianC

Mikela78 wrote: »

I don't technically own it.

Yes, you do. You and your brother are joint owners. (Or, rather, will be once the estate is settled.)

Are there any other assets that are due to be distributed 50/50? If so, then you can ask your brother to offset those against his share - so if there's £20k of other assets, then you only need to find £70k to buy him out.


You don't say a word about your employment status and income... That's what's going to determine whether you can borrow. £80k at 50% loan to value is about as low-risk and minimal a mortgage as is out there. Plugging your details into the MSE best-buy mortgage tables gives £310ish for the next two years, then £450ish. If your income justifies it...

Don't forget that, as well as getting the mortgage, you need to be able to maintain the property. What'll happen if the boiler goes bang the week after you buy the other 50% from your brother? Or the roof starts to leak?