Right To Buy Help

Hippysunshine

Last year (Feb 2018), my Mum and I completed our right to buy from Aspire Housing.

We have a joint mortgage with Halifax and pay 50% each. The mortgage is fixed for 5 years at which point, the mortgage will be fully paid off.

I know that if we looked at selling the house within 10 years of buying the property, we would have to offer the house to Aspire for them to have first refusal on buying it back and within the first 5 years would have to pay a percentage of our RTB discount back.

What if, my Mum wanted to buy my half off me and I moved out...?
How would that work with these RTB rules?
How would she buy it from me so that I have the money to buy another place?
What would we do with the current mortgage?
Would she need to get a different mortgage? and can she have one at 60 years old?

We are pretty new to mortgages so any info/advise would be much appreciated.

Thanks

ACG

You could do a transfer of equity and take your name off the mortgage/deeds.

Your mum would have to speak to your lender to see if they will accept her on her own.

60 is fine but she would need to have an income now and until the end of the mortgage which is enough to pay the mortgage in the eyes of halifax.

In short everything rests with Halifax or another lender if you are happy to pay the early repayment charges to leave halifax.

Hippysunshine

Thank you for your reply.

Ok, so we do a transfer of equity and remove my name from the deeds and keep my mum as sole owner, with Halifax's approval for my mum to continue the mortgage payments on her own?

But then how do I get my half of the house in order to buy another house?

Sorry if this is a total newbie question, this situation is a lot to get my head around for a first time buyer.

ACG

You speak to halifax, see if they will accept your mum as a sole applicant.
If so, you then transfer the mortgage over and at the same time you instruct solicitors to do the transfer of equity.

If your mum wants extra money to pay to you, she needs to ask halifax for a further advance at the same time as applying to have you taken off the mortgage.

If you/your mum calls Halifax to explain what you want, they can tell you the process and what needs to be done.

MrCH

ACG, can this really happen?

Person buys council house with there mum
One year later try and take the equity they’ve gained from RTB out of the property?

chanz4

can see aaspire objecting