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Buying parents house
slcxt47
Posts: 1 Newbie
I’m after a bit of advice please. We are currently living in my parents house (they live elsewhere) paying rent until we were in a position to buy a property. We have come to love the property and have been here for 6 years. We are now certain that we’d like to buy the house we’re in and my parents have offered to provide a deposit but the deposit is tied up in the house. Is there anyway we can release funds on the house or get a short term loan until the property sale goes through? We have no other property assets.
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Comments
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You don’t need to release funds to provide a deposit. This would be treated as a concessionary purchase.1
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@slcxt47 You can buy the house from your parents at below market value. It's called a concessionary purchase. The difference between the price they charge you and the market value of the property will be treated as your "deposit" and you'll raise a mortgage for the restslcxt47 said:I’m after a bit of advice please. We are currently living in my parents house (they live elsewhere) paying rent until we were in a position to buy a property. We have come to love the property and have been here for 6 years. We are now certain that we’d like to buy the house we’re in and my parents have offered to provide a deposit but the deposit is tied up in the house. Is there anyway we can release funds on the house or get a short term loan until the property sale goes through? We have no other property assets.
Not all lenders will offer mortgages for concessionary purchases so you may want to consider using a broker when it's time to buy so this (and other background details) can be considered and placed with an appropriate lender.I am a Mortgage Adviser - You should note that this site doesn't check my status as a mortgage adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.
PLEASE DO NOT SEND PMs asking for one-to-one-advice, or representation.
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Will need a CGT assessment when they sell yo you.
They could have sold it to you 6 years ago and been the lender(no tax on the rent that way) till you were in a position to get a mortgage0
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