- Key issue:
- Deposits
- Case study:
- Parental Help
- Date:
- 2006-04-04
- Mortgage amount:
- General
Outcome
Cross securing an investment property in preference to cash gift
Detail
Parents wishing to assist with deposit may do so with cross securing an investment property .In case in question parents had limited cash resources ,their daughter had not saved the 8% deposit but cross securing the investment property was used as a vehicle to overcome the deposit requirement.Parental guarantee also required in case in question due to limited income of daughter. Parental main residence was not cross secured. Lenders happy to review cross security and parental guarantee in three years time.
