Hi
My parent has a property valued 650 with a loan of 400 with suncorp. Parent has suggested i buy a 70% share but at a discount ie i get a loan for 300k (155 equity) and therefore parent maintains loan of 100 (equity 95). This will be more manageable for them.
I have capacity to get a loan of this size so no questions around that.
What im wondering,
Is this a feasible situation? Would a bank allow this, me becoming a tenant in common and part paying out parents loan? Do i have to stump up a cash deposit or could the bank look at the equity id gain -if the latter would this mean a bigger loan eg 300k plus 20% 'deposit'?
Would the bank do any financial checks on my parent in this situation?
Thanks for any thoughts.
My parent has a property valued 650 with a loan of 400 with suncorp. Parent has suggested i buy a 70% share but at a discount ie i get a loan for 300k (155 equity) and therefore parent maintains loan of 100 (equity 95). This will be more manageable for them.
I have capacity to get a loan of this size so no questions around that.
What im wondering,
Is this a feasible situation? Would a bank allow this, me becoming a tenant in common and part paying out parents loan? Do i have to stump up a cash deposit or could the bank look at the equity id gain -if the latter would this mean a bigger loan eg 300k plus 20% 'deposit'?
Would the bank do any financial checks on my parent in this situation?
Thanks for any thoughts.