Part and part mortgage

Tiatodd

I currently own 50% of my mum and dads home which is mortgage free. They each own 25% which in turn comes to me on their death. The house is worth approx £175,000. My home is worth approx £190,000 and currently has a mortgage on it in my late husbands name. I need to remortgage for approx £145,000 to remain in the house and clear his debts. Can I use the equity in my parents property to aid getting a part and part mortgage. Mum and dad are happy for their shares to be used also if needs be.

MWT

I'm sure one of the brokers will comment shortly, but I suspect you'll have problems using a part-owned, occupied, residential property as a repayment vehicle...

How far away from being able to pass 'affordability' for a normal repayment mortgage are you?

kingstreet

Why not simply remortgage the property you live in? What are you hoping to achieve by dragging your parents' home into this?

MWT

Affordability, insufficient/no life insurance and a need for capital raise/debt consolidation given a recent change in circumstances would seem like the likely answers, but lets wait and see if the OP wants to share more details to assist those able to help.

Tiatodd

Exactly as MWT said really. I was hoping as I part owned another property this shows how it would be repaid at the end.

[Deleted User]

you may be able to use another property as a repayment vehicle for an interest only mortgage.   However this doesnt impact the actual affordability assessment as the majority of lenders will require you to pass affordability on a capital repayment basis anyway.   There are a few exceptions to this rule but generally you will need be able to borrow enough regardless of the repayment method