Inherited property but first time buyer

Seatleonfr21

Need some advice and guidance. My dad passed away few weeks ago and left myself and my brother the family home 50/50. 

My brother has his own property and wants me to buy him out to keep the property in the family. I’ve never had a mortgage and have savings in a LISA that I wanted to use towards buying my first home. 

I’ve come round to the idea of buying the property but my issue is because I own 50% already I’m being told my mortgage will be treated as a re mortgage to buy my brother out. 

What does this mean for my LISA can this still be used towards the mortgage to reduce payments without losing my 25% bonus or Is there such a thing as a first time buyer remortgage for situations like this…..

Keep_pedalling

Do really want this house? If not don’t let him bully you into doing this. Hanging on to a house for sentimental reasons is rarely a good idea. If he wants to keep it in the family then let him buy you out, otherwise insist on selling it and splitting the proceeds so you can buy a home of your choice.

If you actually did this how is he going to feel if you sell it in a couple of years time?

sammyjammy

When you say you've come round to it it sounds like you've been talked into it, do what is right for you, if your brother wants to keep it in the family let him buy it.  Don't forget if you buy it it saves your brother money as well so take this into account with how much you agree to give him for his share.

Sorry can't help on the LISA front.

Keep_pedalling

You will not be able to use the LISA to buy out his share. You should avoid having the property put in your name while it is still under ownership of the estate so you don’t lose your first time buyer status and the ability to use your LISA.

prettyandfluffy

Far better to buy the home you choose and want to live in, you can put some of the proceeds from your inheritance towards it.  Why not suggest to your brother that he buys you out? If not, it goes on the open market.

Flugelhorn

far better to sell up and buy what you want. even if you did buy brother out, you might find he still considers it partly his house. 

GrumpyDil

As above, do not let the house be put into your name unless you are happy to lose the first time buyer element of your LISA