Unwell, unemployed and about to be repossessed

[Desparatessusie]

My job was terminated last December ( I refused to take overseas money into my personal account) Fellow directors are now in prison. At the time I felt very unwell but thought it was the stress, it wasn't. I had developed a life changing condition that means I will end my days in a wheelchair. I can no longer walk without aids. I'm late fifties.
I never received my final wages, notice or holiday pay. Neither did my colleagues. We all have tribunal awards which have not been paid. The offices are mothballed.
I contacted my mortgage lender to request an interest only arrangement. They refused. I didn't have a job so I didn't meet their lending criteria. They offered a three month repayment holiday.
I did manage to pick up a couple of months consultancy which I did from my sick bed and duly paid my mortgage with it. However I ve not been able to secure another job. I can't work locally as I can't stand or sit in one spot. My GP is happy to medically retire me.
We've now got to six months repayment holiday and the building society have started the process to repossess the house. I have 25% equity.
This would not buy me a house where I live.
I have a final salary pension due in 12 months but it's got a 90%, penalty for early payment. I have a few shares but they are locked until December 2025 when a company I helped found will be sold.
I've no assets that would raise sufficient funds to pay off the arrears. No jewellery, cars, art etc.
I have two adult DC at home and commuting to university. The older has his finals next year. They fund their selves. I have no other family who could help.
I don't know what else I can do.
Any advice or signposting would be gratefully received.

This! Repossession means a huge amount of fees so get the house on the market today. Inform your mortgage company that you will be selling it to repay the mortgage and see if they'll give you a further mortgage holiday.
Then apply for all the benefits you can and start looking for rental.

Do you have space for a lodger?

Sadly no space for a lodger.

I think that you should consider contacting your nearest CAB for advice. They should be able to point you in the right direction. But it does sound like you need to get your house on the market sooner rather than later. You'll feel more in control when you have a plan.

I think you should tell your oldest that he needs to contribute from now onwards - eg a set amount starting on his next payday and on every payday after that. If he refuses to contribute, give him a deadline for moving out eg 4th January.

Once your oldest has moved out you can get a lodger.

OP, I'm in the building trade, if you have enough from the sale consider a mobile home - especially if you can own the plot.
The modern ones are super efficient to run, can be as spacious as any bungalow, and cheaper than conventional homes.

or

consider a property of non standard construction, ie a REEMA house, they tend to sell dirt cheap, they do have some issues, but having worked on plenty there is no risk of them falling down. For example, where I live in the south west a conventional 4 bed would be £400K plus, a REEMA of the same spec would be £100K - they are not very pretty, but they are a home.

I'd be OK in a two bed. Small and secure is fine with me. We live near to my DDs uni. She is disabled and has special needs.

I bought this house as I had a really good job that I loved. Sadly I got made redundant. No real redundancy as just under two years service. I took the dodgy job because I wasn't thinking straight just grateful to be offered at 58 with student DC. We did get paid initially.

Thank you all for helping. I am trying some wonder drugs but they are not working yet. Or not enough for the consultant to continue with them.

What is your house value? With a 4k mortgage it sounds high so 25% could still be a decent chunk.

You will be better to start the selling process yourself regardless of it will be eaten in fees and sold for whatever the bank needs to recover their share.

You sound like you have high earning potential but that these jobs don't suit your disabilities.

You are receiving 2k a month which is more than many people get paid.

I don't mean to sound harsh, I know this kind of adjustment is brutal but I think you just need to accept change and things will be better.

You have a final salary pension to come and could perhaps have more success with a WFH job a level down and would still qualify for PIP. That's a high income.

Have you explored part ownership in a less expensive area? Where can you move that allows your kids to complete uni?

If one is moving out you need less bedrooms even if someone has to sleep in the living room to start with.

It's time to let go of your current life and see where your new one could be. You may find somewhere that better suits your disabilities and allows you to drop down the stress levels. Trying to hold together the impossible must be having a detrimental impact.

Put your house on the market asap

Go to the council

I would personally consult step change or the CAB also and tell them you cannot pay

If you get rid of useless DC you do...

I'd insist on him paying or he leaves so you can get someone in who can.

You may mean well but it’s clear that you don’t actually know what you’re talking about.

DLA is for children and PIP is for adults. You can’t claim both. There’s also no housing element to ‘kick in’ because UC don’t pay peoples mortgage. I don’t think it’s helpful to comment things when you don’t seem to know how it all works

Yes it's adult disability payment now (in Scotland) - the DLA for adults

UC pay mortgage interest

They pay my colleagues who lost her job

Laurie, OP is in England not Scotland, where the benefit systems are different.

Just stop.

www.gov.uk/support-for-mortgage-interest

Support for mortgage interest

I'm in the south near to a big university. DD is at that university.
DS another university close by. He finishes next year and is moving out for a job.

I could possibly have enough after selling for a non standard construction or shared ownership. We have some of these 60+ only properties near by. At 59 I'm not sure they'd flex. My DD needs to accommodate her support dog so that may restrict any rental.

There are retirement properties for over 55’s in the South East. Try those?

contact estate agents and your house sold asap. Stand up for yourself with your DS.

So my local council has properties only for retired people plus the age restriction is reduced if you have disability

When do you turn 60?

@AnotherEmma I turn 60 next December.

Are there almshouses in your area?

Op would not get Universal credit if the proceeds from the sale of her house are more than 16k.

No almeshouses.
Some private estates.

Depends if OP intends to use the proceeds to buy another property; if she does they can be disregarded for a set length of time (6 months IIRC).

Would shared ownership mean you get housing benefit equivalent on the rental part?