Buying A House For A Relative To Live In -

: You act as the bank, lending the money directly to your relative at a minimum interest rate set by the IRS, known as the Applicable Federal Rate (AFR). 2. Understand Ownership and Legal Structures

Depending on your goals and the relative's financial situation, you can structure the purchase in several ways: buying a house for a relative to live in

: This is a specialized conventional loan option that allows you to buy a home for an elderly parent or a disabled adult child who cannot qualify for a mortgage on their own. : You act as the bank, lending the

: Typically requires the home to be a certain distance from your primary residence (often 50+ miles) and may have higher rates than a primary mortgage. : You act as the bank