Posting for general advice. My parents are early 70s, and remortgaged their house to release some equity. Long story short, they are now struggling to meet both the monthly payments and their living costs. (Not a lavish lifestyle: more to do with changes in their pension.) I loaned them some money a while ago - no rush, no interest- which went into home improvements. Their plan was to increase the house, sell and downsize. They now are reluctant to do that and are looking into an equity scheme instead to free up money. I am very worried about this, as the penalties for settling early or selling the house within a certain timeframe are mammoth, and at their age, I feel it’s too risky an arrangement.
So - I am considering whether I could pay off the remainder of their mortgage in exchange for a share of the house. (I live abroad and own no property.) I know I will need to get a legal agreement drawn up, but just trying to plan ahead in terms of how I might be able to structure this and protect my money/ what risks I need to think about. Or if it is a wholly stupid idea.
Really appreciate any thoughts. Thank you.