Kilmainham Apt
Registered User
- Messages
- 16
I just point out my Dad fell into arrears when sick so no life insurance to pay off mortgage.
He had stopped paying insurance premiumSorry, could you explain that?
Do you mean that because he was in financial difficulty he stopped paying the insurance premium?
Being sick or being in arrears on your mortgage is not relevant to mortgage protection as long as you are paying the insurance premium.
Brendan
To be honest Brendan there's no point in filling all that out, we've reached the end of the line she's been in court numerous times, the only option is for me to buy the house in 2022 thats when the debt is due. They're happy she's paying the interest and has cleared arrears, the banks solicitor has been very understanding and has spoken up for her. She has representation, all this is going on a long time. I have the means to get a mortgage and buy the house then, it's just the all the tax implications I'm unsure of.For something as serious as this you need to provide this information.
Information required for mortgage arrears and negative equity questions
Thanks yes my mother would live in the house until the end of her days. My mother can't pay mortgage and we've gone through all options with lender and the organisation who have been advising her. I was afraid revenue could go after her for living rent free when technically I'd have to get a buy to let mortgage but I won't receive rent. Apart from not want her to end up homeless, I want to buy the family home to keep it for my kids now my Dad has died, it means more now.You want to buy the house worth €350k for €240k. On the face of it that is a gift of €110k from your mother to you and would use up part of your inheritance allowance. If your mother kept some type of right to live in the house that could justify a lower price but might cause problems getting the mortgage.
But will you inherit anything more in any case, from what you have said your mother hasn't the means to pay the mortgage off.
Allowing your elderly mother to live rent free in house you own could in theory create a tax liability, but I don't think Revenue would be interested.
Myself and spouse own 3 houses
I would sell one of my two investments but there's hardly any equity in them so just not worth selling, they're not even back to what I paid for them. We would work everything out with siblings as no one wants her homeless. I have no problem when the house is sold getting my percentage back and the remainder can be divided. I"m the only sibling in a position to buy it. We have a very good income and our main home is worth 800K and has very little mortgage left, my two investments have maybe 100K in equity max. and then after I pay CGT it's pointless selling them.It's very hard to give meaningful suggestions without the full story, but this screams at me...
Sell one of the houses and lend the money to your mother to redeem her mortgage.
Leave the house in her name so that any increase in value will be exempt from CGT.
In theory Revenue could consider an interest free loan to be a gift, but it's unlikely that they would be too bothered.
Brendan
YepAm I right in saying that your mother owes the bank circa 240k and they only way you could stump up the money to pay off the bank is to get a mortgage, and the only way to get a mortgage is buy your mother house ?
If we knew your mother's age...
I was afraid revenue could go after her for living rent free
They want full payment of balance in 2022 so without getting a mortgage myself and buying house, I can't lend my mother that amount of cash. No other way to get it other then a mortgage
Brendan, he mentioned that she's 67 in post # 4.
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