help help help! Cant afford our house and cant afford to sell!!!!!

islaaron

Hi there.. Im out of ideas now. So any advice will be very welcome.

My partner and I have had our house now for a year. It is a new shared ownership house. We have a 50% share and rent the other half.

Recently, things have been getting harder for us to live. Basically we are broke. So we would really like to sell the house and rent for a while which will really help us.
But to sell the house we would have to pay for the housing association for locating the new buyer. If they don't find a new buyer then we have to sell it through an estate agents costing more. Then the solicitors fees and then a fee for repaying the mortgage early. it will cost us about £5000. If that wasn't enough we may be in negative equity too!

So if anyone has any advice at all please let us know!

Thanks in advance

lynzpower

Hello there

Welcome to MSe

I hope that I can help as I found myself in a very similar situation to you a few years ago. I was losing my job due to a health problem and had gone down to half pay and basically couldnt afford everything- so looked to sell my SO flat .

You have 2 options:

1) if you do wish to sell, then ask your HA if they have a list of waiting buyers. I was told I have to sell through my HA BUT as they had loads of other new properties they needed to sell, they didnt want mine, so I sold it on the open market with an estate agent.I used house network so it only cost 500 quid AND that was payable AFTER the sale ( ie when the buyer paid up my solicitor paid the estate agents, and my lender- then transferred me the leftovers. Your Housing association should only want to be paid at the end.Have you rang them to find out?

2) stay put. Has one of you found themselves out of work/ reduced work or money? Have you checked wherther you are entitled to housing benefit top up for the share of the rent? ( this is available on SO not many people know that)

Have you seen the Debt free wannabee board? There are many experts on there who will be able to help you with advice on how to lower your outgoings to see if it IS affordable. Not being funny but this is a really crap time to sell ( im sure you know) especially shared ownership.

Otherwise aside from the moeny are you happy there? Would you ultimately like to stay or go ?

PasturesNew

Each get a 2nd job. Evenings/weekends. If you've no cash you're not doing anything at those times.

poppysarah

Spend less. Earn more. Get a lodger.

wymondham

Have you tried the DFW board, they have lots of idea's on reducing your outgoings, so it might make all the difference??

I hope you don't mind me saying this, but this predicament is exactly what I have been going on about recently with these sorts of schemes to buy, as they do trap you in a falling market. I hope people considering these schemes as an easy option onto the 'ladder' take careful note of this...

What has changed since you purchased that makes selling necessary? I have a horrible feeling you're not going to be alone with this problem by a long shot as belts tighten generally...

Good Luck with whatever you decide...

lynzpower

poppysarah wrote: »

Spend less. Earn more. Get a lodger.

You often cant have lodgers in shared ownership. I did tho, but i was lucky I never got found out, as it can be basis for eviction.... :eek: very worrying in SO

Bf109

Spend less.
Earn more.

There really isnt any other way.

Natty082

Have you tried to put your mortgage onto intrest only or extend the period to reduce the payments?