Will it re possess?

[happyhappymummy]

I was wondering if anyone had any experience or legal knowledge for me please?
I have a joint mortgage of 135,000 with my soon to be ex husband.
He left almost 2 years ago and we had an int only mortgage, he paid half of his each month and no maintainance. This was fine as we still had our home.
Now he pays £9.98 a week as he has a different job and he lives with his new gf. He doesnt pay anything towards the mortgage. I dont work so dwp pay the int for me.
Now the int period is up and they want capital, I dont have it.
The mortgage compant have agreed to accept int only until the end of may, then they want capital.
I have a friend who is interested in buying the house to cover my mortgage and arreas.
The question is do I hope for a miracle and keep paying the int only obviously building arreas and it going to court. Will the judge help me?
Do I sell(if she wants it) find rented. If I can as not many places accept dss. It wont be our home, never will be. Never be able to buy again.
Supposed to be going to college sept but cant work aswell, so do I find a minimum paid job and work to pay his share and my share of the mortgage?
I have no clue what will happen if it went to court, its not like Im paying nothing. Will it re possess?

I don't know much about mortgages but deal in repossessions.

What is the value of the property, is there any equity in it? Do you know what your apr (what interest rate) is?

Have you been to see an independent mortgage broker? It may be that they can help you remortgage your property, paying off the old mortgage company and allow you to stay in it, but given the current lending climate, and your limited income this is probably not be the case, unless you have a guarantor, and even then it is still v hard.

It is not advisable to allow a repossession to take place because they add court fees to the costs and if there is a difference between the price they sell the property for and the amount you owe, they can still chase you for it, years later. If would be much better for you if you have no choice to privately sell the property yourself, but make sure you get proper valuations and get a good price.

It is also worth speaking to the council and getting yourself on the housing register - you will need to explain your circumstances and must declare that you currently own a home but cannot meet the repayments due to the break down in your relationship.

Finally have you had any legal advice about the finances of your marriage breakdown? Is there anything in the pot (pensions, saving etc) that might make a difference?

BTW if you are paying all the interest then there are no arrears, the capital just remains the same and is not being paid off. If there is a suggestion that arrears are building, then it seems likely that not all the interest repayment required is being met, and it does seem like a sinking ship. Sorry.

Also discuss all your options with the mortgage provider. If you are meeting the interest only payments and have children in the property they may let the situation continue, though not indefinitely.

I know someone in the same situation as yourself (but not married) and the mortgage provider said they had to remortgage and start repaying capital as well as the interest. They also extended for 6 months. Unfortunately thats where the similarity ends as this person has sold the property to a close relative, but remains there indefinitely paying half the new mortgage, so I dont know what would have happened if this hadnt occured.

YesMaam.. Thankyou :) Property is valued at 147,500 and we owe 135,000 including arrears that have built up over a year as we both struggled meeting payments. I know that repayments should be 650 and dwp are paying 380.
Int is 3.99
No savings etc.
Im not in a good position for someone else to give me that mortgage. We are in arrears and I dont work.
My mortgage company have give me til the end of May and said that they only allow arrears to mount up to 6 months and August they say this is the case. Then it will go to court. People are saying well the judge wont see you and 3 children on the street. At least they are receiving something its not like nothing is being paid. Its easy for people to say this but I have no clue the truth.
My friend knows my situation and said how much would you want to stop repossession and I explained 135 plus solicitors and its pushing her budget but she wants to look at it. Then last night her text was my brother has just bought a house like your for 118. This must of been a repossessed house cos Iv just had mine valued and its in good condition. Iv explained to her I dont want to make anything I just want to walk away with no debt. I couldnt drop it any more.
The houses just arnt selling.
I think its time to let it go now. I was hoping I could sell and live with my mum for a year so I can continue my course at college and then be in a better position to rent.
Sneeze.. Thanks Iv spoken to my mortgage provider so many times and Im really on my last option now. Everyone is telling me to sell. I worry if I cant sell.
I just cant believe my ex can walk away and not have the worry and its like Im living in fear all of the time. Just not knowing is awful.

If your ex is still on the mortgage and deeds and you are joint owners he is still liable for half the debt on the house. Not quite sure where this leaves you though, as you are pretty much at the end of the line

Are you entitled to legal aid via a solicitor, as you should also be looking at divorce and some kind of clear financial settlement. Legal Aid may be coming to an end in autumn this year, so you should try to get your marital situation sorted out asap and this should include the financial side.

If the house is repossessed the mortage company are legally obliged to get the best price possible, but any shortfall and you and your H would have that debt still, so it is worth putting the house on the market just to see if you can clear the debt? Again your H must be involved as you both need to agree to the sale. If they took you to court and you were paying the interest only and had children and the house was on the market, the judge may let you stay for a defined period, but its not something that is advisable as the outcome is not predictable.

I think you need a solicitor and legal aid regardless at the moment, especially as £118K would not cover your debt. You need advice tailored to your situation.

Would your ex agree to sell? Best bet is to hope it sells quickly & leave you debt free. If you aren't working, HB will pay for you to rent somewhere.

sneeze.. Thanks! Yes I am entitled and im awaiting the decree nisi. Last time I spoke to my solicitor she said sell as someone has to pay that mortgage and if im not working its impossible.
I will have to sell, hope to sell. This is why I thought take the opportunity with my friend.
RedHelen.. Yes he wants to sell

You are doing the right things happy and I hope you manage to go to college as your life prospects and family/personal wellbeing would be helped if you ended up with a good job, not to mention a boost to your self esteem! Its crap at the moment but my relative, similar situation re house, is so happy and settled 18 months down the line, after an absolutely hellish time

Before selling to your friend, ask for a couple of estate agents to value the house and give advice on the prospect of selling and price. What your friend is offering is low and I think you may be left with some debt (50/50 with stbx though).

sneeze.. Thankyou :) I hope so too!
Glad to hear about your relative, it gives me hope :)
Yes I have decided to put it up for sale anyway now if she does want it though I feel I should maybe take her offer as Im worried I wont sell and the estate agent said to me be prepared to drop a lump if I want a quick sale. Im hoping I can get 140,000 from my friend and then I may have a grand to put in the bank. Even if I dont then debt free is better.
Thanks again :)

See an estate agent pronto and see if they agree to put it up for a fixed price which will cover your debts.

It sounds like your friend might actually try and muck you around and knock you down, possibly as you are completing which would not be good.

Good luck

YesMaam.. Im going to do that. I want to walk away with no debt. Thanks :)

My friend offered me 118,000 :s