EXPERTS
Q My parents have generously offered to help my partner and I with the deposit for our first home. We’re a close family and I don’t want to upset them, but I’m wondering if it would be sensible to get our agreement in writing. What would you advise? Jordan Armstrong, Nantwich A The “Bank of Mum and Dad” has never been busier. According to a recent report by the Building Societies Association, more children than ever are relying on parental support to get on to the housing ladder. While it’s great that your parents can help, it’s important that everyone knows where they stand. The first thing to establish is whether this is a gift or a loan, which must be disclosed on any mortgage application.The latter may affect the lender’s decision as most don’t like secondary borrowing. Gifting is more common as it’s more straightforward. However, either way a conveyancer has certain obligations to the lender that they must do by law.These include checking the identity of the donor/s and proof and source of funds – ie where the money is and where it is from. If it’s a gift, your conveyancer will ask your parents to sign a gift letter stating that they do not expect to be repaid or to have an interest in the property. In the case of a loan, you would typically need to sign a promissory note outlining how you intend to pay it back. Assuming you and your partner will be buying the property jointly, your conveyancer should also advise you both to sign a Q I’m looking to purchase a shared ownership home in London with my partner, however, accessibility would be an issue for us as my partner is a wheelchair user. What would be the best option for us as we’re looking to buy next year? Simone Darby, Sydenham I understand that finding a suitable home in London can be challenging, especially when accessibility is a concern. Fortunately, many new build developments now include a proportion of homes designed to be wheelchair adaptable.These homes are specifically designed with inclusivity in mind to ensure the home can easily be altered to meet accessibility needs.Wider doors and hallways, bathrooms that can be easily altered into wet rooms and additional space in living areas and bedrooms are some of the key features that these homes have. As you plan to move in 2025, it’s crucial to register for upcoming developments that meet your accessibility requirements. I recommend considering the upcoming St Olave’s development in south east London, which will offer one, two and three bedroom shared ownership homes, launching in early 2025.We have a limited collection of one and two bedroom ground floor homes within this development that have been designed to be wheelchair adaptable. Located in Zone 2, homes benefit from their proximity to the step-free Canada Water underground and Overground station, the beautiful Southwark Park and the River Thames. By registering early, you will stay informed about the latest updates on the development and the necessary steps in your homebuying journey. If you and your partner are interested, our St Olave’s development page – peabodynewhomes.co.uk/stolaves – Wheelchair-friendly home The bank of mum and dad
would be the best place to start. On the page, there is a link where you can register for the wheelchair adaptable homes that will put you and your partner in a prime position to become a homeowner at St Olave’s. The about us section of our website, peabodynewhomes.co.uk contains further reading about wheelchair adaptable homes. I wish you and your partner all the best on your homebuying journey. For more details, visit us at: peabodynewhomes.co.uk/stolaves or call the sales team on 020 3936 9047.
Lawrence Mayne
declaration of trust. This can protect your interests, for example, in the unfortunate event that your relationship breaks down and you’re forced to sell, as it allows you to stipulate that, as you put more money in, you will get more out. People often feel uncomfortable talking about financial matters but, rest assured, this is the standard process for any transaction with the Bank of Mum and Dad. If you don’t discuss it with them now, then your conveyancer will have to, which may also mean a longer wait to move into your own home. Something I’m sure neither you nor your parents would want.
John E Jones
First Time Buyer August/September 2024 123
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