Should I sell up?

Bendy11

I have a Protected Trust Deed (Scotland), which is an agreement with all my creditors to repay a certain amount every month. This Trust deed has been running for over one year, I have two to go. I have just discovered that i have approximately £30,000 of equity in my property and wondered what others would do in this situation. I have considered selling the property and leasing another and paying off the Trust Deed with the profits, therefore, I will be totally debt free but with nothing to show for it. I am scared that I will be unable to get another mortgage though and will end up leasing for the rest of my life.

I landed myself in debt because of a very difficult divorce and separation where I was left with nothing and I dont want to be in that situation again.

Any advice will be very much appreciated.

little_miss_broke_2

Hi

How much is the debt at present?

Are you managing okay with the monthly payments at the moment?

Personally, if it were me, i would look at selling the house as a very last resort.

LMB xx

THE_LONE_RANGER_4

what ever you as an individuall feels happy with ,if you want to be debt free and are happy to rent go for it ,if you can manage payments and are fairly happy with current situation remain as you are , i live in a lodge that i rent of our village estate cheap ,halfed my debt and will be debt free in 24 months thats good for me plus i would neveer be able to buy a house like mine ,and i have this on a long term tennancie ie 15 years plus ,people do live in them for years as long as the rent is paid so it was a choice i took

delboypass

2 years is a long time - you could be getting on with your life for two years without having to listen to someone barking orders at you and trying to find money to pay every month.

I personally would clear it and get on with my life - also gives your references time to clear - House prices are also very peaky right now and the majority of people think they are going to reduce in the coming years. Id take equity now and get rid of debts.

dinkylou

OK, to give you good advice we need more information about your situation.

How much are your trust deed repayments? Can you afford them? Will that be the end of your debt after the 2 years?

Can you post a full SOA to give us a better view of your situation.

2 years is not a long time so I would think very very carefully before giving up your home.