My mum wants me to get a mortgage with her, advice please

Emmia

Debbie9009 said:

If your Mum has had an offer of 180k on this house and it really will be worth 320k when renovated then it needs a lot of work doing, and unless your Mum has a track record of renovating properties and knows lots of good tradespeople then there are many many ways that this could go very wrong.

The question to ask yourself is if it could be worth 320k after the work has been done then why aren’t investors/ builders etc interested in buying it ? You say it has been on the market for x years, then if it could really be worth 320k then it would have sold quite some time ago.

This house is likely to be a major money pit, so chances of your Mum being about to give you some of the profit is very low, as it’s likely there won’t be any.

As others have said if you are planning to go travelling then you are unlikely to get a mortgage, and please don’t be tempted to lie on the mortgage application when it asks if you know if your circumstances are going to change, if you do that and get caught then you can add mortgage fraud to the list of complications, not something you want, especially if you want to purchase a property for yourself at some time in the future.

I don’t think anyone on here is going to say this would be a good idea, I would use your wanting to go travelling as a way to say no.

I suggest if Mum has a track record of renovating properties for substantial profit, she wouldn't need money from her daughter - a bank would lend the money, or she wouldn't need a loan in the first place 

WellKnownSid

amnblog said:

5. The mortgage broker sounds like a idiot trying to get a deal at any cost

I wondered whether the Mother had been to one of these  get rich quick property investment seminars and had met one of their tame scammers 'advisors'...  They won't be too worried about minor details like an exit plan.  Either that or far too much 'Homes under the hammer'

Newbie_John

Don't do it.

It just all doesn't add up. House has been on sale for years, now for £220k, your mum offered £180k and it was accepted.. as mentioned earlier a lot of property developers probably seen it and turned it down - so I wouldn't rely on sales people saying it could be worth £320k.. or maybe if you put £150k into it the yes.

But let's see what happens, you agree, house is purchased, then it needs £100k to make it livable, the inheritance comes in - all gets spent towards the house, your mortgage remains, few years later you would like to buy your place - and you can't as you already have residential mortgage taken - all other options are much more expensive, you need to pay stamp duty, higher interest rate.. all for £30k?

It does really feel like FOMO on your mum side, if house has been on sale for years - why do you assume it won't be for sale when inheritance comes in?