Mortgage questions

TwoYearToMove

I currently live with my elderly mother, and we rent a large flat. By the end of next year I want to buy a place but I can only afford a 1 bed flat. We will treat each of the main rooms as a living room/bedroom for each of us.

1) Are there any mortgage rules when buying a 1 bed flat that stops more than one person living in it?
2) In regards to the help to buy scheme for 21-23 that launched today. Is it only for new builds? And can someone who is self-employed also qualify?

MovingForwards

1. No.
Q. Is your mom contributing in any way or is it all from your pocket and single application?

2. Yes and Yes.

There's always the option of moving a little further out to get a 2 bed property.

Q. Is it council / housing association or private rental?

davidmcn

TwoYearToMove said:

1) Are there any mortgage rules when buying a 1 bed flat that stops more than one person living in it?

Not generally, but your lender would want to know that your mother would be living with you (their attitude to that isn't going to depend on the size of the property).

TwoYearToMove

MovingForwards said:

1. No.
Q. Is your mom contributing in any way or is it all from your pocket and single application?

2. Yes and Yes.

There's always the option of moving a little further out to get a 2 bed property.

Q. Is it council / housing association or private rental?

Private rental.

TwoYearToMove

TwoYearToMove said:

MovingForwards said:

1. No.
Q. Is your mom contributing in any way or is it all from your pocket and single application?

2. Yes and Yes.

There's always the option of moving a little further out to get a 2 bed property.

Q. Is it council / housing association or private rental?

Private rental.

Missed the first question. My mother gets housing benefit which contributes to our current situation, but I would be the only person paying the mortgage.

MovingForwards

Do you think you can charge your mom rent and have it paid by HB when you buy the flat?

I asked about the current property as if it was a council / housing association I would have added further comments.

TwoYearToMove

MovingForwards said:

Do you think you can charge your mom rent and have it paid by HB when you buy the flat?

I asked about the current property as if it was a council / housing association I would have added further comments.

On reflection, I think the most likely thing is I'll have to rent longer and have more for the deposit for a 2 bed. I was hoping the help to buy scheme wouldn't just be for new builds.

kingstreet

The new 95% guarantee scheme is not designed for newbuilds. The HTB equity loan scheme re-launched in December is newbuild and FTB only.

TwoYearToMove

kingstreet said:

The new 95% guarantee scheme is not designed for newbuilds. The HTB equity loan scheme re-launched in December is newbuild and FTB only.

And self employed people can also use the 95% guarantee scheme ?