Advice needed please

alfiemama

Hi

I really could do with some advice if anyone can help me

Me and hubby have an interest only mortgage with tsb for 195k, the house was valued at 215k in April but due to the housing market I think we would be lucky to get 200k for this.

We are struggling at the mo due to the credit crunch and wonder is it worth battling on for 2 years. At that point our fixed rate interest only mortgage comes to an end and we would be unlikely to be able to afford the hike in repayments.
Added to that our fear is that our house would be in negative equity, therefore making a remortgage unlikely.

If we were in love with our house (like lots of people are) then I am sure that we would probably battle on.
As this is isnt the case and we are struggling to make ends meet we are currently thinking what is the point in hanging onto something that was once an assett but is now no longer and we dont really like anyway.

If somebody came tommorow and said we take your keys and just call it quits we would probably snatch there hand of and go off and rent in the area we want to be.


Does anyone have any experience of mortgage shortfalls (ie what happens) would we be able to say sell to one of those companies that buy your house or even better still sell cheaper through estate agent, would the mortgage company allow you a shortfall in your mortgage as surely if we handed the keys back, they then sell at auction and would probably be a shortfall anyway.

Really any advice would be great received.

thanks

wildbri

Im sorry but I dont think that would be an easy way out, the mortgage company would
chasing you for the difference for the next 20 years. regards....bri