Funding renovations

[IDrinkAndISewThings]

Hi, please excuse my complete ignorance of this field, I'm asking for a friend as I've never been fortunate enough to be mortgage free!

My friend and her mother own a lovely home in a popular seaside location, mortgage free. Now the property is on the market at around £300k, and hasn't moved in 2 years, as it's needing a lot of work (re-wiring, roofing work, out-dated decor etc.)
They're considering staying put now and trying to do the place up, but they don't have any savings and are completely in the dark about what their options are regarding raising the money for the work.
They're waiting for tradesmans quotes to come back, but I reckon £20,000 probably wouldn't be unreasonable. My friends mother is on benefits / doesn't earn as she isn't able to work, and my friend earns around £1300 a month, so very limited incomes. The house is in my friends mums name only, and friend has two full siblings and a half sibling who may wish to be considered down the line re inheritance etc.

Where does she start!?

Many thanks!

Sounds complicated.
I personally would think dropping the asking price of the house would be a better solution than getting into debt to fund renovations - £20k does not go far, and is likely to increase.
It would make more sense to get a buyer, even if they get less for the house than they hoped for.

Doubt 20k which touch the sides to be honest. You could easily spend that just on a kitchen, a complete redecoration and new flooring thought. Never mind plumbing, electrics, plastering etc

Drop the price, new electrics however necessary won't add to the price, they are better getting £275k

If it's not friends house and just her Mums then why don't they ask siblings if they want to get involved/invest if they are going to inherit?
DH's has a building company and our last renovation cost us just under 30k (electrics etc) and we had no labour cost.

Could the mother consider releasing equity in the house?
I'm not advising it it's just something I saw advertised recently

Given the state of the place,

the refurb will cost loads more than 20k. Maybe 50k+ Given that they have no contingency or much disposable income, it’d be better to sell for a realistic price.

I agree that £25k won't go that far.

She could release equity. However my understanding is that once the money is realised into her account her benefits will stop and she'll be expected to use that money to live.

Only other option is to get the siblings to chip in an equal amount to cover the costs. But this could be a nightmare as unexpected costs come up and some siblings might not be as open to these new costs as others.

Personally I'd just drop the asking price by £25k and see if there is any interest.

Personally in these circumstances I would drop the price. Once you start on these type of repairs you never know what else will crop up. I know from hard experience that they'll probably be looking at £50k at least. Much better to drop the price to sell it, and try and buy a house that doesn't need much work.