Buying my parents house, no deposit 20 July 2019 at 12:12PM edited 30 November -1 at 1:00AM in Mortgages & Endowments 1 reply 520 views

Emanddale

My girlfriend and I are going to buy my parents house as they are relocating to another country. The issue we have is we have no money for a deposit. We were wondering if it is possible to apply for a mortgage, and use a gifted deposit from my parents, which they would have from the sale of the house. For example, we purchase the property for 100k and then they transfer 10k of that for our deposit, so then we would have a mortgage for 90k. Does anyone have any experiences with anything like this? Any info/advice would be appreciated

MovingForwards

You want a vendors cash gift deposit, that means your parents are gifting your £10k of the £100k sale price, no money changes hands, your mortgage company are then lending you £90k.

Speak with a good broker as not all mortgage companies allow it.