K
kml224
Guest
Hi,
Can anyone please advise on the following situation?
Built house with parents a few years ago. They paid for their share with proceeds of sale from family home, I got mortgage for my third share. I was a first time buyer(if you think it's hard for 'young couples' to get on the proprety ladder, think about us poor singletons
)
My parents are now looking to release equity from the house (valued at 900,000). My mortgage is 141,000 euro. They spoke to Seniors money about equity release. They will give my parents the money to pay off my mortgage i.e removing me from ownership of the property and will be able to loan them 1% of the house value each year. This doesn't really suit any of us as my a) my parents will be 'borrowing' 141,000 with no cash to spend and b) I will be back to square one without FTB status.
We feel our only other option is for me to increase the my mortgage to 250,000. I will keep paying for my share of the mortgage and they will get the extra 110,000 euro. I am currently paying approx. 800 euro/month for 141,000, and they will pay the remainder (approx 400/month).
I'd really appreciate any comments on this suggestion or if any one has a better option it would be great to hear it. Also any advice on whether there are any tax/legal implications on this additonal sum for me or my parents on this would be good,
thanks
Can anyone please advise on the following situation?
Built house with parents a few years ago. They paid for their share with proceeds of sale from family home, I got mortgage for my third share. I was a first time buyer(if you think it's hard for 'young couples' to get on the proprety ladder, think about us poor singletons
) My parents are now looking to release equity from the house (valued at 900,000). My mortgage is 141,000 euro. They spoke to Seniors money about equity release. They will give my parents the money to pay off my mortgage i.e removing me from ownership of the property and will be able to loan them 1% of the house value each year. This doesn't really suit any of us as my a) my parents will be 'borrowing' 141,000 with no cash to spend and b) I will be back to square one without FTB status.
We feel our only other option is for me to increase the my mortgage to 250,000. I will keep paying for my share of the mortgage and they will get the extra 110,000 euro. I am currently paying approx. 800 euro/month for 141,000, and they will pay the remainder (approx 400/month).
I'd really appreciate any comments on this suggestion or if any one has a better option it would be great to hear it. Also any advice on whether there are any tax/legal implications on this additonal sum for me or my parents on this would be good,
thanks