Buying a flat for son to pay mortgage on

jimjames

lemonpopsicle said:

Our son will be moving to London in September for a new job. We are wondering whether it might be a good idea for us to buy a flat, using the equity in our home (c. 300k), and he pay the mortgage. We are retired, and have no mortgage. He won't be able to get a mortgage for a couple of years, as his income won't be sufficient (in training). Thanks

Are you intending to take out £300k mortgage on your property and then use that to buy a property for cash in London? So no mortgage on the London property? If you gift it to him then he'd be able to buy it and not pay the additional stamp duty