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buying from family member

evening

I have been talking to my dad regarding to buy a flat off he owns which he bought for £40k but now worth around £85k.

He isnt wanting full price on it but should be willing to meet half way at like 60k which means gets profit aswell.

Now my question is, would a mortgage company allow this sort of deal or would they only accept full retail value of property.

This will be my 1st mortgage and willing to put down 10% deposit.

Comments

  • CLAPTON
    CLAPTON Posts: 41,865 Forumite
    10,000 Posts Combo Breaker
    mortgage companies will lend on the basis of the property value or the purchase price ... which ever is lower.

    you father will of course be liable for CGT based on the market value of the property
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