buying a house for parents

[ruggief]

Hiya,
my second question for today, is there a lender that will allow me to buy a property for my parents to live in? I know that I can't do a a buy to let as they don't allow me to rent to relatives and can't do a residential as I can't sublet,, Help please, this surely must be a common thing but I'm googling without success? Many thanks

[sandyRoe]

If you were charging a fair rent why couldn't you let the house to relatives?

[ubasses]

Is there enough equity in your own property to remortgage and buy for them as a cash buyer? That could be one way round it.

[ruggief]

Thanks for both answers so far. BTL mortgage lenders all the ones I've looked at (and there's dozens) all stipulate you can't rent to family members, even if it's done through a management company. I don't know why exactly but they all say that. I wish there were enough equity in my house that would have been ideal but sadly not.

[buildersmate]

If you have a reasonable amount of equity in your own property, why not increase your own mortgage and use the funds released to finance the property for them.

[Smowball]

So if you own a house then you have to live in it? Why not just let your parents move in? Does it actually matter who is in it if it is paid for?

[ruggief]

For the purpose of a buy to let mortgage yes it does matter that's the reason for my question. They stipulate you cannot let to family members. This is why I'm struggling as per my question. I don't have equity in my house so can't take out an equite release loan

[NOX]

You could always disregard the terms of your buy to let mortgage like everyone else. Once a mortgage is granted you become a simple repayment- as long as they are met no-one gives two hoots whose living where, plus they won't know anyway- they're not going to come around and knock on the door and say
''Scuse me is the guy who owns this house your son?'.

[bednobs]

have you been to a broker?

[Smowball]

Agree with Nox, I was saying the same thing. as long as they are getting their money I dont really think they give a monkeys who is living there.

[ruggief]

Thanks for all answers unfortunately it does matter, it is written into the deeds of a buy to let mortgage by the solicitor that you cannot let to a family member, you can't override this, That's the reason for my question, buy to let is not a possibility and neither is residential as you can't sublet.

[jewellerjim]

you can actually apply for a residential mortgage and then ask permission to let. Most lenders will do it but it may affect your rate and you will have to pay a fee.