LamieRobertson
Not awoke
Or alternatively give them your house and get on ya bike up north
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[Finance] Best way to help kids get on property market
- Thread starter Wardy's twin
- Start date
Or alternatively give them your house and get on ya bike up north
Pevenseagull
Anti-greed coalition
- Jul 20, 2003
- 19,609
you can give them whatever you want ....as long as you live 7 years after the gift there is no tax, taper relief kicks in ........I think ..........(this is not financial advice) my understanding is that in the first few years there is a potential 40% liability for the person receiving the money (subject to IHT) ...then it reduces .............. you could cover them if your estate is enough to attract IHT using a 'gifts inter vivos' policy ... but in practice they don't offer good value for money.
We haven’t got to make this party political. There were colossal rises in SE England property prices 1997 to 2010, a huge influx of overseas investors, and the golden age of buy to let landlords. Overall, part of a huge resi property boom 1995 to very recently.
LamieRobertson
Not awoke
Russians and Chinese investing in London..but distorting the market elsewhere? Really?
...yes we have the free market championed by the Tories..but remind us what efforts the last Labour government did regarding this?
House are often perceived as an investment as against a home ..and until that changes ...more investment in houses to rent ..a greater balance between supply and demand ...builders not allowed to sit on land banks(?)...etc etc
B-right-on
Living the dream
I agree with you though i am a baby boomer myself. My eldest (now 29) moved out at 18, moved back home again at 20 and then saved for nearly 2 years and had £10,000 cash in her account, she drove an old banger, only went out one night a week, worked overtime as much as she could and so on. We took out some of the equity in our house for her and got her a nice little flat in Lancing around 6-7 years ago. Needed a LOT of work which I can do (new kitchen, bathroom etc..). She met her now husband 5 years ago and sold the flat last year and bought a 3 bed semi in Shoreham having made some cash out off the flat, enough for the deposit.
I dont understand parents who wont help their kids if their kids want to get set up on their own (I know a few kids happy to still be at home on theri 20's and 30's). I didnt get help from my parents, but then things WERE different then and i didnt need the help. It wasnt easy but then what is?.
Sure my daughter has issues in life, but owning her own house isnt one and they are set up in that way which as a parent is one less concern for your kids.
Official Old Man
Uckfield Seagull
I gave my Daughter the deposit for a flat out of Brighton. I had to sign away any rights to the property or rights to my money back. As she was single but had a boyfriend I also made sure he had zero rights should he move in. The flat was £90K but it is a start and over the next 20 years I expect her to sell and move up.
I was given three grand to help me with my deposit on a 57K mortgage by the olds. I was grateful. These days with properties here starting around 250K, I'd need to front my lad about 175K because he has no savings and a crap income. And after that there is a real risk he won't be able to keep up the repayments (job not secure). The bar is high.
razer
Well-known member
Barclays do a mortgage called Sure Start. You put the 10% deposit in an account and they provide a 100% mortgage to your kid(s). If the mortgage is repaid for three years continually, you get your cash back plus interest and your kids have a mortgage. Job done. Did it with both my kids two years ago and in twelve months I get all my money back to spend on sweets.
It seems there's no way that you'd consider yourself "conservative" and yet you're harking back to a way of life from several decades ago.
There's no way any government will see citizens in their late 30s and onwards live in actual poverty as these are the people who vote. 18-35s do not vote and are responsible for the existence of a Tory government and Brexit with their shit ambivalence.
Society always finds a way. As humans we always want to look after our children, yet we cannot do that if we are giving them everything on a plate. I'd let them work out the issues when they get to the age where reality bites, as they clearly cannot be bothered to sort out democratic change while they're young.
Buying a house is not a right - it's an earned privilege
Thank you for that. I know your posts and respect your perspectives. My current position is indeed to hold back for bail outs till, he 'settles'. His car insurance is a bit high after he was banned for a year, for example
You are right of course. The little bugger has dual citizenship (UK and Canadian) and could easily flit off to Vancouver, but he's got his mates and his computer games. Lovely lad but look into his eye and you see softness and vulnerability and disengagement. I sometimes still take him to Albion games. He sleeps in the car on the way and on the way back. We used to go to all the games together, all over England, when he was a teenager. Carlisle, tick. Torquay, tick. These days I'll invite my middle brother, or offer it to one or two of my lovely NSC chums.....sad really.
Its the guilt. I never stop wondering what more I could do. Me and his mum divorced in 92 and she took him back to where he was born (Vancouver). That lasted 5 hellish years, till she could no longer cope. Then he moved back here, age 12. Got into a great school.....but not intereted in working.....'horizontal Nick' was his nickname at school....and I bought him his first console <sigh>
Anyway, no point trying to rewind time.
Fortunately Mrs T (my dear beloved of 6 years) is kind and wise, and her and my relationship with sonny Jim is good, but my urge to do mad things with my cash on his behalf is thankfully kept in check. He does ask occasionally when he needs, but he seems a million miles away from life's combat. **** me, I was twice divorced, running my own reserch lab and fighting the Lawson bust (negative equity) when I was his age. Computer games? yeah, right. Kicking adversity in the bollocks, more like.
My son's batty mother is now saddled with babysitting her grandkids in Vancouver - she has two older kids - which somewhat amuses me. Some of the older lags on NSC met her 20 years ago. Some of the old lags on NSC met my son many times, too, and know what a lovely lad he is.
Ahhhhh......bollocks.
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Beach Hut
Brighton Bhuna Boy
Interesting subject as preferred option is to give each of my two a "long-term loan" to get them on the housing market which will be written off at some point.
Are there tax implications to this and if they split up from their partners could the partner be entitled to 50% ?
Are there tax implications to this and if they split up from their partners could the partner be entitled to 50% ?
Whoislloydy
Well-known member
My friends parents loaned him money to get on the property ladder, when applying for his mortgage they just asked for a letter from his parents confirming it was a non-repayable gift (he was paying them back but they don't need to know that) i guess the mortgage company wan't to know you're not having to pay off anyone else?
B-right-on
Living the dream
Not having a go at your son HWT, but at his age you must have had a half decent job and been able to get the mortgage. Your suon sounds like he has 'other priorities' in life and working/getting set up on his own.
My wifes brother is still at home, never moved out and he's 45. Works part time and plays the guitar, piano and generally does - well I dont know but its pretty much SFA. My FIL (now passed away) would go nuts over him in frustration to get him to 'do something with his life'. Didnt work. I put up a new fence for the MIL last week and last summer remodelled their back garden into a low maintenance one as the MIL is mid 70's now and not too sprightly on her pegs, my BIL did sod all to help. Sometimes you have just got to accept that people are different and some just dont have the drive and push of others.
True.
GT49er
Well-known member
..........and we're safely out of the EU......................
That's my approach ... I've said to them when they are ready I will 'lend' them £xxK each but I want them 'settled' (not defined that) and to see them make some contribution too (if they save SFA then they don't get it)
I doubt I'll get anything back but if they win the lottery, or sell for a huge profit who knows? No tax implications unless you peg it. As for partners a property can be owned with different shares so that's what I would suggest if the deposits/contributions weren't equal but I might stop short of insisting unless they got caught up with scroats (which they won't) and if they did I wouldn't give them the £'s until they were scroat free anyway
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