Would like to sell our house to son

[CEDDERS]

Hi there,

My son is in armed forces and currently lives in rented accommodation supplied by MOD. He wants to get on housing ladder so that he has somewhere to live with his family when he leaves armed forces. After looking around locally where we live he has asked whether we would be interested in selling our house to him as he hasn't seen anything else suitable. He is willing to pay market value of £150k and we have a £20k balance to pay off mortgage. We would like to move into a small bungalow in near future but have not started looking yet and don't want to jump at first one we see.
What are the issues with us selling house to son as his main residence and remaining as rent paying lodgers using one of rooms until we find a suitable property to move into.
My son will need a mortgage to buy our house so I would also like to know if potential lenders might have an issue with this arrangement.

[pawncob]

No problems if you sell him the house (at M.V.) and remain as lodgers temporarily, paying a fair rent.
Mortgage companies may have a problem with the arrangement, but as it's all family, I wouldn't tell them!

[maths]

Assuming your house is your sole or main residence then stay in it until you find a property to move into.

Then sell to your son.

No capital gains tax on any gain you make if it's your residence.

No problems re rents, mortgages etc.