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Help! How can we buy our first house?

Posted on 3 January 2013 by Sophie


Hello, we have tried getting a mortgage on our own but do not earn enough to secure one. We have found a house we love for a good price- my father is willing to get the mortgage in his name and we rent it back from him. We will pay the initial 10% deposit towards the purchase price. What type of mortgage do we need to secure in order for this transaction to be legal and above board; without incurring too many costs by way of tax etc.

Sophie,

There may be some easier alternatives to your proposal that would be worth discussing. These options include, Parental Assistance mortgages, your father standing as a guarantor, and all three of you going on the application.

Also without knowing the actual figures involved it is a possibility that you may be able to secure a mortgage in your own right. As John Charcol is an Independent, Whole of Market broker, we have excellent relationships with those lenders who still manually underwrite cases, and can therefore look at each application on its individual merits.

I think it would be worth having an initial chat with one of our consultants to discuss your options in more detail. If you would like to do so, please let me know and I'll arrange for one of them to contact you.

Regards,

Simon

simon.collins@johncharcol.co.uk

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Answers provided in response to Ask the experts are based on the information provided and do not constitute advice under the Financial Services & Markets Act. They reflect the personal views of the authors and do not necessarily represent the views, positions, strategies or opinions of John Charcol. All comments are made in good faith, and John Charcol will not accept liability for them.

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