Bit of help please.

Madmatt_2

Hi everyone, first off can i just say what a fantastic site this is! long time reader but first time poster here!

Anyways i would like some advice if possible. My girlfriend brought a house in the valleys of south wales with her ex fiancee 2 years ago for £90,000. She paid the deposit for the morgage but didnt sign anything to say this. They then split up and have been paying the morgage between them, even though they dont speak. The house was put on the market £90,000 but in a year hasnt had one viewer, so was dropped to £80,000 with still no views(this is due to NO houses selling in an area of south wales, not the state of the house!)

Obviously they cant go on like they are wasting there money each month with no one living there. We are worried that the house price will drop to such a point there will be a massive difference between the price paid and what its worth so its putting us off buying him out. With buying him out we are pretty sure he would just sign the house over to stop him loosing any more money. The ideal situation would be for him to buy her out but i dont think that will happen!

Could anyone give us some suggestions as to what we can do? She has a well paid job as a nurse and as such can afford the morage on her own (currently set at 78k left)

Thankyou in advance

silvercar

With buying him out we are pretty sure he would just sign the house over to stop him loosing any more money.

I'm sure he would! What is its true value now. £70k for a quick sale? If it is and they bought for £90k he should be paying £10k to get himself out of the mortgage.

Question is does she want to live in it or to sell it.

If it needs to be sold, an auction may be an option. Otherwise you are following the market down and, with little interest in properties in the valleys, you could be waiting a long time.

badboybill

Considering they are both content to pay the mortgage now is not the time to sell.

There is no point in 'cutting your nose-off to spite your face' just because they don't get-on as a couple. They must treat each-other as business partners and rent the property.

Get some money coming-in so when the market improves sell and make profit.

Use a reputable letting agency who can get the clients money and they will split the money between them.

Gorgeous_George

Rather depends on where you think the market is heading.

If, like me, you think it will fall further you then need to decide whether to let it forever (keeping the tie to the ex bf) or sell at loss (but a smaller loss than if you decide to sell in the future).

If your glass is half full (of something stronger than I'd drink), then let it until the market recovers and sell for a profit.

I'd want at least £750 to consider it as a sensible BTL and I don't think it will command that level of rent.

The Welsh valleys may be one of the last places to recover even if a recovery happens.

Sell up, split the loss and move on a little wiser.

GG

Madmatt_2

we are looking at getting our own place (renting to start) but away from wales for now, then maybe looking to move into her house if we need to in around 2 years time.

Personally i think the house is only worth 70k at best now and will continue to fall. In two years time that 80k morgage could get us a very smart house in the same area!

The maximum that could be got rent wise is around £400 a month, luckly the morgage is only £500 a month! so its a £50 loss each, but this could be for years to come which will add up. She is starting to get very depressed buy it and almost at the point where she is willing to take the house on just to get an end to it, but this will seriously impact both of us for life.

Thankyou for all the advice so far.

Madmatt_2

hi guys, bit of an update.

The guy refuses to talk to her, so all negotiations are through his father (who isnt a very nice man)

He hasnt paid a single bill other than half the morgage in 12 months. He keeps removing his name from the council tax meaning that they are chasing her for the full amount. She has taken numourous letters proving he has been paying the morgage so they should both be paying half. No one is living there so everything should be split 50/50. he isnt playing ball. The house was valued at 70k this week, meaning that there is negative equity of 20k! she has offered to basically write off 10k of debt for him in offering to take the house on and he has said he wants paying for the Kitchen he fitted before he left her (its around £600)

To top it all off, the council have now issued a default on my girlfriend for £350 countil tax that hasnt been paid (she has paid her half but he isnt paying his, because he keeps removing his name from the list HOW CAN HE DO THIS????) saying that if she doesnt pay it they will take her to court.

She has never been in debt before, she is very careful with her money, and now she has a default on her file because of him. We are at our wits end. please help someone! where does she stand?