Multi way mortgage.

crb121283

Hi. Complete newbie here. I have a fairly unique situation where my parents are emigrating but my Nan lives with them in a separate granny annexe. I’m 36 and one of 4 children. Two of the 4 have mortgages. My parents need to sell before they go to realise their equity as they have an interest only mortgage. I’m looking into whether a lender would consider a 4 way mortgage for us to buy our parents house, to give my 86 yr old nan some security and not make her move ( she has other options but would prefer to stay where she has been for nearly 20 years). She receives a state pension, a small private pension and my deceased grandfathers BA pension. We have a cumulative income, as individuals, not including spouses and partners of around £150000. The house is valued at circa £380000. Does any lender consider a 4 way mortgage in this fashion and anyone know where to look. Also should mention two of us have fairly poor credit ratings due to illness in the past, but now back working full time. The idea being that we ensure our grandmothers’ security and also have a 4 way stake in a property when the inevitable day comes when she passes away. Thanks in advance for any help. 

MovingForwards

Yes there are lenders who would consider four people purchasing.

Whether the lenders would consider offering a mortgage to the four, when they are not living in it is a different story.

Whether the lenders would consider offering a mortgage to the four when two havebhad credit issues before, is a different story. Lenders don't see ratings or scores, they view the credit history eg missed / late payments, defaults, CCJ, IVA, bankruptcy etc.

Potentially, you would be able to get a mortgage and rent the property, or have a family member in it.

The two who don't have a mortgage, if they have never had a mortgage / owned a property, will be losing their first time buyer status, which could end up costing a lot more when they want their own place.

Would it not be best to consider buying a granny flat, within accommodation specifically for an older person, where there is someone on call 24/7, as that will ensure she enjoys the rest of her time and is being looked after.

Read up on the numerous threads where family have mixed money, purchased something together and then had a fall out when it's time to sell.

Oh, speak with a broker, a good independent whole of market adverse credit broker, if they do not ask everyone for all their credit reports (Clearscore, credit karma and MSE credit club - all are free!), Then walk away.