These days, a significant proportion of first time buyers are helped out buy parents - particularly with the deposit. Many parents now have a significant amount of equity tied up in their property and are willing to help out.
Subject to financial status there may be many ways that they can help with the deposit or even the mortgage.
Ways they can help are:
- Giving money
- Lending money
- Paying for particular costs (stamp duty, furniture, professional fees etc)
- Equity release
- Taking cash out of a pension
- A joint mortgage
- Guarantor mortgage
- Other specialist mortgages
- Accessing cash or income from their pension
- Harnessing borrowing power of salary if working.
It may well be worth approaching your parents and asking them how they might be able to help with a deposit or mortgage.
Contributed by Helen Adams, Managing Director of www.FirstRungNow.com
See Also: Help for First Time Buyers (0)