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Stuck here, what do we do?

8 replies

rurals · 19/02/2018 14:00

My Husband bought a house a few years before we met, and over the years we have tried to sell it (we never ended up having children so it is just us in a four bed house that is way too big for just us) it is in a rural area with one tiny shop around the corner and the nearest town is around 12 miles away. Each time it has been on the market it did not sell, no offers, hardly any viewings etc, as an example, the last time it was up on the market it was valued at 140k, we reduced the price to 90k to get a quick sale and it still didn't sell. (Not looking to make a profit at all, just wanted to clear the mortgage so we could start again and couldn't even do that) Also looked into one of the "we buy any house" places and they ended up offering 40k.

When the recession hit we both got made redundant, and had to claim jobseekers, it ended up taking almost a year to find work, we got so behind on the bills/mortgage that we almost lost the house, we are still trying to catch up with everything, we just can't afford to live here anymore, once all the bills/food are paid and petrol to get to work for the month we have nothing left.

The house now needs stuff doing to it, all cosmetic such as decorating, new carpets etc and we would need to do all this before getting it back on the market, but we simply can't afford it, things always come up, like we only got paid last week and then the home heating oil ran out so already thats £200 down this month.

My family seem to think we can just walk into the bank, hand them the keys and skip off into the distance without a second thought, but we are trying to think realistically and do this right.

Someone else said we might be able to transfer the mortgage to a smaller property, is this possible?

If we stay here we will lose the house anyway, what options do we have?

OP posts:
JoJoSM2 · 19/02/2018 14:07

Could you put it up for auction?

Also, is your mortgage the best deal possible? It sounds like you might have a fair amount of equity- perhaps it would be possible to remortgage to a better rate?

Alternatively, could you rent it out and move in with family or something to get out of debt?

juneau · 19/02/2018 14:15

How much do you owe on the mortgage? If you put it up for auction would you probably be able to clear that amount? Since you're desperate to get rid of the house and move on this would seem like the best option, if practicable. I think I'd be booking an appointment with your mortgage advisor to review your current mortgage and also to ask for their advice on how to get rid of the property and clear your debt to them asap, if that is your overarching wish.

NurseryFightClub · 19/02/2018 16:43

You can put a reserve on the auction, in case you need a certain amount to clear mortgage?

Angryosaurus · 19/02/2018 17:00

If you are in negative equity (based on a realistic sale price) and can no longer afford the mortgage I would look into bankruptcy. Assuming he isn't an accountant, you have no assets etc it really is relatively painless these days. Get some advice from a debt charity first, and obviously you would need to stop paying the mortgage for many months. Is it just his name on the mortgage? What is the likelihood of getting social housing in your area?

Not an expert at all btw so please get proper. advice Best of luck with it all

Bowerbird5 · 19/02/2018 19:09

Have you considered renting it?

AJPTaylor · 19/02/2018 19:17

How much is the outstanding mortgage?

thewhitechapelfatberg · 19/02/2018 19:17

Part exchange it for a new build / off plan. Developers sometimes offer that kind of deal.

AJPTaylor · 20/02/2018 07:18

How long ago since you last tried to sell?
Options:
Auction
Just put on with an agent. House doesnt have to be perfect to do this
Rent out (but only if you can put a few months mgage away first)
Try different we buy an house places.

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