Buying a house for elderly parent

buttonmoon1984

Hi, my elderly mother has been renting for a number of years and unfortunately the landlord is selling the house so she has to move. I am looking at buying a cheapish house/flat and renting it back to her to give her some security whilst enabling me to make some equity on the property along the way. I don't intend on making any profit from her. Does anyone here know things I may need to consider should I decide to do this? Many thanks

Caz3121

will you be a cash purchaser or require a mortgage?
additional SDLT
all the landlord responsibilities

Grumpelstiltskin

Also does she claim any means tested benefits? Renting from a close family member is a no no in those circumstances.

Saying she has to move has the landlord gone through the correct procedures? Only a court can evict her.

Albermarle

buttonmoon1984 said:

Hi, my elderly mother has been renting for a number of years and unfortunately the landlord is selling the house so she has to move. I am looking at buying a cheapish house/flat and renting it back to her to give her some security whilst enabling me to make some equity on the property along the way. I don't intend on making any profit from her. Does anyone here know things I may need to consider should I decide to do this? Many thanks

From a care/peace of mind perspective, you might want to look at specific retirement properties where there is a warden/help on hand in case of problems.
However these properties tend not to increase in price in line with the market, and often decrease.

RAS

Check out over 55 providers in the area, or even your area. It's very variable but possible. 

Someone one I know found themselves at risk of homelessness when their own mother went into care and they didn't meet the exemption. Another family member checked the requirements for over 55 accommodation local to them and because the family member had a close connection in their own locality, they were able to bid for a flat for the person facing homelessness, with a secure tenancy. It meant an unexpected relocation but it's made a huge difference and they are somewhere they prefer to their mother's place.

_Penny_Dreadful

buttonmoon1984 said:

Hi, my elderly mother has been renting for a number of years and unfortunately the landlord is selling the house so she has to move. I am looking at buying a cheapish house/flat and renting it back to her to give her some security whilst enabling me to make some equity on the property along the way. I don't intend on making any profit from her. Does anyone here know things I may need to consider should I decide to do this? Many thanks

You might not intend to make a profit but HMRC might decide otherwise if you’re letting a property at below the market rate to a connected person. 

If your mum requires benefits to cover the rent the council might declare it a contrived tenancy. 

Has your mum considered applying for over 55’s accommodation from the council? 

theartfullodger

Landlord selling property does not mean tenant must leave   .Only a court the bailiffs can do that.

Has she been served any valid notice? Checked it's valid?

Is she on local council housing waiting list?  They may have properties reserved for elderly. (I'm 76)