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Living in a home your family own?

Hello

We are in Scotland. 

What does the law say about living in a property that is owned by a family member who will be paying the mortgage and letting us live there?  

This would be in the event we were refused a mortgage to buy said property from my family member. 


How would it work?  Would we have to be down as care of ? Since its neither our mortgage or a tenancy? 

Thanks 😊 

Comments

  • 74jax
    74jax Posts: 7,930 Forumite
    Part of the Furniture 1,000 Posts Name Dropper
    Our daughter lives in one of our properties. All bills in her name, not care of. 
    Forty and fabulous, well that's what my cards say....
  • hazyjo
    hazyjo Posts: 15,476 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    Will you be paying them any rent?
    2024 wins: *must start comping again!*
  • Slithery
    Slithery Posts: 6,046 Forumite
    Eighth Anniversary 1,000 Posts Name Dropper Photogenic
    Do the relative's mortgage conditions allow this?
    A residential mortgage requires the person who owns the property to live there and most BtL mortgages don't allow renting to a family member.
  • No they won't live there they will live across the road in the home their spouse has purchased. Family members still going to be paying mortgage and council tax as normal. We are in private rental hell right now. It's a fight right now trying to get a place because every place we view has loads applying for it. 
  • veggielove
    veggielove Posts: 50 Forumite
    Part of the Furniture 10 Posts Combo Breaker
    edited 19 February 2022 at 10:29PM
    So I guess it's a no then 🤷  gosh how frustrating. Thanks for the replies. 
  • SuseOrm
    SuseOrm Posts: 518 Forumite
    Third Anniversary 100 Posts Name Dropper
     I don’t see why it would be a no,  I have a very small residential mortgage on a property with permission to let and they have no problem with my daughter living there.  
  • Oh really? OK thats cool. Maybe we should ask? 
  • macman
    macman Posts: 53,129 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    edited 20 February 2022 at 10:34AM
    I think the keyword above is 'a very small mortgage'. No sane lender is going to allow this, because in the event of a default they would have to evict the family members before they can sell the property.
    But you have nothing to lose by asking. If allowed, it would become a BTL mortage at a higher rate of course.
    No free lunch, and no free laptop ;)
  • Ah right I see. Well then it would not be an option I doubt they will change their mortgage to a more expensive one to help us out. 
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