Mortgage secured with 10% of parents property?

martin195

Hi all,

My mortgage advisor had advised me of a very new product on the market but I was in such a hurry today I didn’t quite hear his explanation of who offered it.

Basically my partner has adverse credit, this is causing us a few problems getting a mortgage, I myself have good credit but can only get a good loan amount with both of our salaries combined.

The product he mentioned basically was, my partners parents could help us by securing 10% of one of their rental properties values against our mortgage with us only putting down a 5% deposit.

He is also their mortgage advisor and he also mentioned it didn’t seem to matter if there was already a mortgage on the property? When I’ve googled it however it seems that a product matching closely to what he explained called “family link” requires the property to be completely mortgage free?

I’m a tad confused... I’d call and ask but it’s going to have me thinking all this long weekend now... I’m sure he said Kingsway or something like that was the lender

Thrugelmir

Using another mortgaged property to secure a debt throws up any number of possible complications and difficulties. The finer detail needs to be seen.

martin195

I was just trying to establish if anyone had heard anything about it, my advisor had only mentioned it in detail.

He is also my partners parents mortgage advisor so I’m sure he will be aware of the small print involved