Parents want to move with me to house with annexe

[buildersteagirl]

Parents in their 80's currently rent. They have asked if I would consider buying a house with an annexe or suitable rooms for them that they would rent from me. Whilst I would have approx 50k deposit once I sold my flat, I only work part time and couldn't get a very big mortgage.
Are there mortgage companies that would take their rental into account? They can obviously prove they currently pay rent and all bills with no problems.
It seems a perfect solution.
The current outgoings of the combined households more than cover the outgoings that a single property would be.

With the best will in the world, you parents are in their 80s - no mortgage company is going to take their rent in to account on a ? 25+ year mortgage.

With your combined rents, perhaps you could find somewhere to rent that fulfils your needs?

Unless you are living in a very cheap housing area, there is no way you will be able to afford a house + annex.

Are your parents privately renting or through LA or housing association ? Either way it's worth approaching LA and HA to see if they have any suitable accommodation for elderly. Alternatively LA will assess accommodation with regards safety features etc and then will install them - handrails, bath seats that type of thing. If it's the care side your parents are looking for, again approach the LA. make sure they are receiving all the benefits they are entitled too as well - Age UK are very helpful for this

Are you parents able to put in a lump sum in order for you to get the mortgage with a decent deposit?

No way we would be able to afford this without parents contributing to the deposit.

Don’t mean to be rude but you might not have your parents rent for too many years... you would also need to be able to afford the mortgage without their rent.

Sorry to say, you parents are in their 80’s. How many years are they feasibly going to be able to rent from you for? No mortgage company in their right mind is going to give you a mortgage on the basis of an 80 year olds ability to pay rent.

What happens when they aren’t around to rent it anymore? How are able to pay the mortgage then? Sorry OP don’t tbjjk it’s a go er

Would you then rent it to someone else when your parents move on?

It could work if it was a very rentable annexe and you were happy to be a landlord for the rest of the mortgage

What would happen if they need care?

I think the answer to your question is unfortunately no.

Even BTL mortgages on standalone rental properties usually have a clause about not allowing rental to close family members because they recognise the chances of non-payment of rent is so high.

Properties with annexes are really expensive- most people buying them have extra money from their parents as a deposit in order to afford it. If you’ve only got £50K and work part time it’s unrealistic.

Sorry, OP. I think you and your parents need a different, more achievable plan.

I think realistically you would be looking for a house with a downstairs bedroom and bathroom and would be sharing the kitchen and living room on that budget.
Do you get along well enough to live like that?
It would be a better future solution as you wouldn't have a ridiculous mortgage once they're gone.
My df's parents did this for her dgm.
They bought a modern house and converted and extended the garage.

How much do you earn/how much mortgage can you get, and how much are the houses you would need to accommodate them?

It's pretty unlikely that any bank would give you a mortgage based on rent from over parents in their 80s, so you're going to need to be able to get the majority of the mortgage using your own income. The other option would be if your parents put in a large lump sum to cover the difference.

You also need to think about how you will pay the mortgage and bills once they are gone. If they're in their 80s they might not live that much longer so you could be left paying for everything by yourself.