OMG my father in law gave us an amazing offer today

[RosieLeaLovesTea]

OMG my father in law gave us an amazing offer today. He lives part time in HK and has made some property investments and sold some. Today we had a video call and he is offering to pay off our mortgage! Wow! What an amazing offer.

Our mortgage is not that high because we bought a doer upper 10 years ago and have been doing it up. It’s risen in value so we have a good amount of equity.

My DH have been talking about moving to a more expensive house in an area with better schools.

If we did this we could probably afford to rent our house out and make some decent money on it because the mortgage is low.

What he would give us would be approx 50% of new house value and we would she a bigger mortgage than now.

I am struggling a bit with the choice cause being mortgage free at 43 feels so freeing!

What would you do?

@thisplaceisweird

Probably not show off about it on a site where many of the users are struggling to get through the next hour.

Yep

All faux breathless naivety. Awful.

@thisplaceisweird

Probably not show off about it on a site where many of the users are struggling to get through the next hour.

Don’t read it then. What a jealous post.

I would be concrete on the your relationship with him and what he expects
Is he from hk as I believe, sorry if I'm saying the wrong thing... That people in hk do seem to feel they need to help their children more?
But will you also be looking after him in his old age?
Will be want to interfere boss you around.. Be rude etc.
If your absolutely certain it's all OK.. Go for it.
You can do so much with the spare money, invest, invest, invest.

Why read this then if it upsets you??

Woohoo op. That is wonderful news. Thank goodness for kind people like FIL.

Ignore all the sour individuals on here, jealously is just one of their many problems.

Do what you feel is best but I would certainty recommend you take financial advice.

Avoid early repayment charges, consider BTL but do the sums properly and then consider the full picture with a new larger mortgaged property.

Only you know your risk profile.

If he gets the tap on the shoulder within the next seven years you will get screwed for a large tax bill by Charlie and Camilla...

@thisplaceisweird

Probably not show off about it on a site where many of the users are struggling to get through the next hour.

Are you serious? Struggling to get through next hour, meanwhile browsing mumsnet 🙄

What a fantastic offer! Could you rent yours out and rent another one in the more expensive area to remain mortgage free?

@thisplaceisweird

Probably not show off about it on a site where many of the users are struggling to get through the next hour.

Really! Most people on here brag about their 100K a year salaries.

You married well. But if his father is a gazillionaire why has it taken this long for him to spend money on you both or has he always been generous?

NeedsCharging

I think that's a great thing for him to do OP.
I would much rather read about your FIL than the 100s of "my FIL is horrible" threads that are always on here.“

This.
Do bear in mind the 7 year thing with inheritance tax that a PP raised. Depending on the figures, you could find yourself with a bill.

What’s wrong with people’s overall bitterness and general struggle to be happy for others?

@PotteringAlong

How old is your father in law? If he’s likely to die in the next 7 years I would think carefully about inheritance tax before I spent it all.

So I would probably take off the amount I would have to pay in IHT just Incase and use the rest to pay off as much of the mortgage as I could. I would always go mortgage free rather than moving to a bigger more expensive house.

Sorry, someone may have made this point, but It is the deceased person's estate that pays Inheritance Tax, not the benefiiciaries.

My DF gave us some money with which we paid off a small mortage
I had no qualms about this as he had invested/wasted £300,000 in my brother and his stupid shop (failed), while we were living hand to mouth

He also gave me and DB money as he got more elderly as part of Inheritance Tax planning.

What’s the catch? Apart from money laundering and inheritance tax.

This is so lovely and 100% what we would hope to do for our kids.

The IHT is relevant - but hopefully he's got at least 7 years in him!

OP already rents out a property, so presumably is aware of the pitfalls and costs involved in beong a landlord.

I would be taking expert advice about what could happen in case of divorce. OP,Is the house in joint names currently ?

being

Gutted for you.

Apart from money laundering
What makes you assume it’s money laundering ??

Mortgage free.

Then see where you’re at in 6months.

What a lovely surprise- lucky you OP!

@EmKayEm

If he gets the tap on the shoulder within the next seven years you will get screwed for a large tax bill by Charlie and Camilla...

yup...lifetime gifts....inheritance tax if applicable will apply at 40% and then the sliding scale....we had to cough up as late aunt gave us 9k each and passed away a few years later so was taxable....

If this happened to me, the last thing I’d do is post on MN.
What an odd audience!
Tell your mates - surely they are more likely to be happy!
The poster who has been criticised for being negative is right. Life is tough for many people, some not eating & struggling to keep warm.
It’s lovely this has happened- but come on…