Finally some good news - i think!

papermoney

I have had my property on the market for just over a year, reduced and reduced it. I ended up renting it out as the property was empty and I couldn't afford the mortgage. Even the rent I got in did not cover the mortgage. But it was either that or get it repossessed.
I have had no luck in selling it even though I had dropped it from 150k to 120k over the last few months.
Anyway, my dads pension has just come through and my parents have said they will buy my house off me for the market value (well what it is being marketed at now).
It is such a relief as it means I do not have to worry about finding money to pay the mortgage each month.
I still owe 24k more than what I am selling it for but that is being covered for by my husbands house.
phew, i could cry im so relieved!

cattie

That's great for you that your parents are going to help you out seeing as your dad now has some pension money.

I hope your parents are not dependent on the money they will be investing in the property though, in case the market falls even further.

Will they be renting the house out or continue to market it?

GracieP

I understand your desire to sell the house, but are you sure your parents won't need this money? How do you think things will be within your family if house prices half in the next few years?

If you are an only child and your parents can more than afford it and are happy to take on the risks associated with prices falling further, then I guess it's fair enough. Otherwise it could have some seriously negative repercussions for your family in the future.

papermoney

My parents are going to continue to rent it out. They've worked the figures out and all seems good, in some cases it is better that investing the money in an ISA as the return they will be getting through the rent covers the little mortgage they will have on it and gives then £400 a month.
My sister is happy for this to happen and it's all going to be amended in their will. My dads pension is from his previous work (he worked for them for 37 years) he still is in fulltime employment and both of my parents all own a guest house so have other income coming in.
SO fingers crossed it should go smoothly

Doozergirl

It wasn't that long ago you bought it was it?

papermoney

Doozergirl wrote: »

It wasn't that long ago you bought it was it?

No it wasn't, sadly it was right at the wrong time, July 2007 (then life went t!ts up and my then husband left leaving me to foot the mortgage, I met someone else, we married in May this year and live in his house as we had a baby in November and my house was too small for us all)
Gosh what a drama...

Doozergirl

papermoney wrote: »

No it wasn't, sadly it was right at the wrong time, July 2007 (then life went t!ts up and my then husband left leaving me to foot the mortgage, I met someone else, we married in May this year and live in his house as we had a baby in November and my house was too small for us all)
Gosh what a drama...

You move quickly!

Congratulations on the husband and baby!

It's only money. I'd take on more than £24k of negative equity for one of my babies

papermoney

Doozergirl wrote: »

You move quickly!

Congratulations on the husband and baby!

It's only money. I'd take on more than £24k of negative equity for one of my babies

Thanks:D - sometimes you have to go with the flow and throw caution to the wind...

That's how Mr Papermoney feels luckily(about the money). Life has never been better and once the house is out of my name and in the hands of my parents I will feel loads better :j

It certainly has been a rocky journey.

pawpurrs

Glad its all worked out for you. It must be a relief, and you are a lucky girl to have found love again so quickly and have such lovely parents.

GDB2222

papermoney wrote: »

Thanks:D - sometimes you have to go with the flow and throw caution to the wind...

That's how Mr Papermoney feels luckily(about the money). Life has never been better and once the house is out of my name and in the hands of my parents I will feel loads better :j

It certainly has been a rocky journey.

Can I just add something that makes sense to me financially, but you may not want to hear? The way you are going at the moment, you will end up with a debt of £24,000, and your parents will have a house that they are overpaying for, as they are paying the full asking price. If they paid 10% less, as most normal buyers would in this market, they would pay £12,000 less. Consequently, between you and your parents, this bailout is costing around £36,000, say.

An alternative course might be for you to go bankrupt, so you end up owing nothing and your parents do not overpay. I have no knowledge of your personal circumstances, but have you considered that other option? These days, you get a discharge from bankruptcy after only a year, and that may not be as bad as continuing to have a debt of £24,000.

papermoney

Thanks for your comments. I have thought about bankruptcy but it would not benefit me at all really. I have no other loans/credit etc and more importantly going bankrupt would have a massive impact on my job and career.

By selling it to my parents (who will rent and are not going to sell it for a fair few years to come - my sister may actually move into it once she has finished uni) I do have to put 24k on my husbands mortgage but luckily that will still only be 72% LTV in todays market.

I appreciate all the comments. Thank you.