Mortgage Advice - Family House
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Prestonion
Posts: 16 Forumite
Hi
Just looking for some general advice how the best way to solve this situation would be.
We are buying my wife's relatives house who passed away last year. The house has been agreed to be sold to us for 120,000. We currently have a 2 year fixed mortgage with Tsb. We have 112000 remaining on the mortgage with 16 months remaining. Our house is valued at 135000.
The house is currently in 3 people's name in the will, and my mother in law will buy the other 2 out whilst we have work done to the house (update throughout, extension and additional bedroom paid with inheritance money) It has been mentioned that it could be put into our names straight away but I am confused how we would get the mortgage to pay back our mother in law once our house is sold. I don't think we can port our existing mortgage as we would be borrowing less so would incur the early repayment charge anyway so may as well get a new mortgage?
The house once renovated could be worth upwards of 180000.
Any help appreciated, if any more information is needed then I'll try my best to answer
Just looking for some general advice how the best way to solve this situation would be.
We are buying my wife's relatives house who passed away last year. The house has been agreed to be sold to us for 120,000. We currently have a 2 year fixed mortgage with Tsb. We have 112000 remaining on the mortgage with 16 months remaining. Our house is valued at 135000.
The house is currently in 3 people's name in the will, and my mother in law will buy the other 2 out whilst we have work done to the house (update throughout, extension and additional bedroom paid with inheritance money) It has been mentioned that it could be put into our names straight away but I am confused how we would get the mortgage to pay back our mother in law once our house is sold. I don't think we can port our existing mortgage as we would be borrowing less so would incur the early repayment charge anyway so may as well get a new mortgage?
The house once renovated could be worth upwards of 180000.
Any help appreciated, if any more information is needed then I'll try my best to answer
0
Comments
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There are a dozen ways for you to trip up here and you will be well served by getting professional advice from a good broker.I am a Mortgage Broker
You should note that this site doesn't check my status as a Mortgage Broker, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.0
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