Buying parents home below market value

Annisele

Zapdoos said:

They have enquired about moving back onto a fixed rate repayment mortgage but unfortunately they cannot afford it despite their financial situation improving over the last couple of years.

I wouldn't be quite as blunt as others have been, but I'm completely failing to see how it's in your parents' best interests to give you a gift of £615k - £290k. But I'll leave that there - I want to push on the "enquired" statement you made.

How much enquiring have your parents done, and of whom? If they've just asked their own lender if they can have a fixed rate, I'd suggest that before agreeing to make such a large gift to you they should try a whole of market broker who specialises in helping people with poor credit. It's possible that there is a solution with a different lender even if there isn't one with the current lender.

In the short term, what does your rental payment look like compared with the market rate in your area for renting a room? If you're paying less than market rate but can afford more, could you help out in the short term by upping your rental payment?