Helping my parents

Cardiac69

My parents want to release some money from their house.
We don’t want an equity release scheme due to cost
I can’t remortgage my house due to annual salary not allowing a further increase on my mortgage of £250,000
Can we transfer ownership of their house to us and remortgage against their house for the money and then give it back to them.
Does anyone offer this service, their house is worth £700,000
Or is there another option anyone knows about

Keep_pedalling

They would be mad to give away what appears to be their only asset, and you are highly unlikely to get a mortgage on a home with your parents living in it.

Best option would be to downsize.

ER will not cost them anything, but will put a big dent on your inheritance.

Cardiac69

I agree with downsize but they won’t
They don’t want to do ER as it will effect inheritance (there concern , not ours)
Is there any option of them renting off us if remortgaged and inc rent in amount taken then given back.
So buy to let type.

jennifernil

Cardiac69 wrote: »

My parents want to release some money from their house.
We don’t want an equity release scheme due to cost
I can’t remortgage my house due to annual salary not allowing a further increase on my mortgage of £250,000
Can we transfer ownership of their house to us and remortgage against their house for the money and then give it back to them.
Does anyone offer this service, their house is worth £700,000
Or is there another option anyone knows about

if they are asset rich but cash poor, then if they need more cash the only way is to downsize or use equity release, They do need to be realistic here, they cannot live beyond their means.

getmore4less

How much are they trying to release?
What do they want the money for?
Do they income to support an interest only debt?

There may be other options.

Is the current property practical and remain practical as they get older.

Verix

If they have an income there are potential mortgage options to them which don't have interest that rolls up.