Buying a second home

Bigspenderlowearner

Hello everyone, this is my first post (or at least that I can remember) so apologies if this is in the wrong forum!
My husband and I are in the process of buying our first home however my mother has now expressed an interest in selling her property and buying somewhere for us all to live together as she currently lives on her own and is struggling. If we were to do this I think we would potentially use the money from the sale of my mothers house to pay off the mortgage on the house we are buying, then use the remainder as a deposit on somewhere for all of us and probably rent out the first house. I just wonder how complicated this could turn out to be? Would it be a little more straight forward to just keep the mortgage on the first house and use all of the money from my mothers home as a deposit on the second house? Would the fact the money for the deposit on the second house is coming from my mother affect the mortgage application?Would we require an additional deposit for our portion of the home as the mortgage would be solely mine and my husbands? 

TIA for any advice anyone can give ☺️

[Deleted User]

Do you want to run a lettings business and all the hassle that entails?  I definitely wouldnt get in to that just now as a hobby.

Your question from a mortgage point of view isn't that hard.  A lender taking 2 incomes and deposit from someone who lives in the property but not named on the mortgage isnt for every lender but enough take it to class it as a fairly easy transaction.   You can also choose to keep your property as a buy to let if you really want to.  
All your options are possible. The best option is completely up to you and your family. 

Also speak to someone about any tax/gift/care home liability stuff by doing this

Greymug

Is your husband thrilled with the idea of living with his mother in law?