Buying into a house with family
Discussion
Wise or not?
Brother in law interested in buying a place, rather than renting.
He is fantastic with money, no worries there.
Basically I stump up the 20% deposit, and we get a shared mortgage for the remaining 80%.
Therefore at the outset I would have a 60% share.
The wife reckons if the brother in law then paid 60% of the monthly mortgage, we could call it 50/50 over time, or come to some other arrangement so he could up his share from the initial 40% to 50%.
Would be getting a solicitor involved, and signing a contract to the effect that neither party can decide to sell without mutual agreement, and we intend to keep the property for minimum five years at which point either party can opt out giving first refusal to the other party (i.e. option to buy out other party before going on market)
Are we completely stupid?
PS the reason I would be paying full deposit is to give him a chance to buy furniture etc, and he is covering legal fees.
Brother in law interested in buying a place, rather than renting.
He is fantastic with money, no worries there.
Basically I stump up the 20% deposit, and we get a shared mortgage for the remaining 80%.
Therefore at the outset I would have a 60% share.
The wife reckons if the brother in law then paid 60% of the monthly mortgage, we could call it 50/50 over time, or come to some other arrangement so he could up his share from the initial 40% to 50%.
Would be getting a solicitor involved, and signing a contract to the effect that neither party can decide to sell without mutual agreement, and we intend to keep the property for minimum five years at which point either party can opt out giving first refusal to the other party (i.e. option to buy out other party before going on market)
Are we completely stupid?
PS the reason I would be paying full deposit is to give him a chance to buy furniture etc, and he is covering legal fees.
Mike400 said:
Wise or not?
Brother in law interested in buying a place, rather than renting.
He is fantastic with money, no worries there.
Basically I stump up the 20% deposit, and we get a shared mortgage for the remaining 80%.
Therefore at the outset I would have a 60% share.
The wife reckons if the brother in law then paid 60% of the monthly mortgage, we could call it 50/50 over time, or come to some other arrangement so he could up his share from the initial 40% to 50%.
Would be getting a solicitor involved, and signing a contract to the effect that neither party can decide to sell without mutual agreement, and we intend to keep the property for minimum five years at which point either party can opt out giving first refusal to the other party (i.e. option to buy out other party before going on market)
Are we completely stupid?
PS the reason I would be paying full deposit is to give him a chance to buy furniture etc, and he is covering legal fees.
Nightmare waiting to happen.Brother in law interested in buying a place, rather than renting.
He is fantastic with money, no worries there.
Basically I stump up the 20% deposit, and we get a shared mortgage for the remaining 80%.
Therefore at the outset I would have a 60% share.
The wife reckons if the brother in law then paid 60% of the monthly mortgage, we could call it 50/50 over time, or come to some other arrangement so he could up his share from the initial 40% to 50%.
Would be getting a solicitor involved, and signing a contract to the effect that neither party can decide to sell without mutual agreement, and we intend to keep the property for minimum five years at which point either party can opt out giving first refusal to the other party (i.e. option to buy out other party before going on market)
Are we completely stupid?
PS the reason I would be paying full deposit is to give him a chance to buy furniture etc, and he is covering legal fees.
Wait until he misses some payments which you have to make up, but he still goes on holiday with his wife.
Don't do it.
Vesuvius 996 said:
Mike400 said:
Wise or not?
Brother in law interested in buying a place, rather than renting.
He is fantastic with money, no worries there.
Basically I stump up the 20% deposit, and we get a shared mortgage for the remaining 80%.
Therefore at the outset I would have a 60% share.
The wife reckons if the brother in law then paid 60% of the monthly mortgage, we could call it 50/50 over time, or come to some other arrangement so he could up his share from the initial 40% to 50%.
Would be getting a solicitor involved, and signing a contract to the effect that neither party can decide to sell without mutual agreement, and we intend to keep the property for minimum five years at which point either party can opt out giving first refusal to the other party (i.e. option to buy out other party before going on market)
Are we completely stupid?
PS the reason I would be paying full deposit is to give him a chance to buy furniture etc, and he is covering legal fees.
Nightmare waiting to happen.Brother in law interested in buying a place, rather than renting.
He is fantastic with money, no worries there.
Basically I stump up the 20% deposit, and we get a shared mortgage for the remaining 80%.
Therefore at the outset I would have a 60% share.
The wife reckons if the brother in law then paid 60% of the monthly mortgage, we could call it 50/50 over time, or come to some other arrangement so he could up his share from the initial 40% to 50%.
Would be getting a solicitor involved, and signing a contract to the effect that neither party can decide to sell without mutual agreement, and we intend to keep the property for minimum five years at which point either party can opt out giving first refusal to the other party (i.e. option to buy out other party before going on market)
Are we completely stupid?
PS the reason I would be paying full deposit is to give him a chance to buy furniture etc, and he is covering legal fees.
Wait until he misses some payments which you have to make up, but he still goes on holiday with his wife.
Don't do it.
It wont work. Trust me, just trust me.
I've got 60,000 reasons why.
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