HELP need advice, just split with partner today

missk_ensington

Ive paid my deposit (signed first part of contract to complete in 3 weeks) and I think (although I must check) that you can transfer the mortgage to another property for the same amount, but not alter it. If I make a profit on this house, then I can move to my home town and use the profit to pay the mortgage. I'm fairly sure the house will sell for a profit, next door but one sold within 10 days of going on sale for £130,000- same size house, same bedrooms. Ive paid £92,500 from a guy who'd inherited the house from his mum and wanted the cash quickly. Even if I only get £110,000 (much less than any others on the street) I'll still be making enough to manage-just about. If I back out Ill have to go rented, which isn't easy with a 2yr old. I find many landlord don't accept kids/under 25's/DSS/students and I'd be all 4 if I rented!

Thanks for your suggestions though!

Fran

***Boardguide comment***

This thread is now more relevant on the Debt Free Wannabe board so I am moving it there.

climbgirl

missk_ensington wrote:

If I make a profit on this house, then I can move to my home town and use the profit to pay the mortgage. I'm fairly sure the house will sell for a profit, next door but one sold within 10 days of going on sale for £130,000- same size house, same bedrooms. Ive paid £92,500 from a guy who'd inherited the house from his mum and wanted the cash quickly. Even if I only get £110,000 (much less than any others on the street) I'll still be making enough to manage-just about.

I thought your thread on the mortgage free wannabe board about being mortgage free in 5 years was incredibly over-simplistic and naive, and reading through this thread kind of confirms it!

You're talking about selling and making profits on a property that you haven't completed on yet, that you've got a mortgage on by disclosing income that you don't have (your partner's income that was meant to pay for the house) a mortgage that you don't seem to have a way of paying for. Taking in a lodger is a good plan, but you can't rely on that solely to pay your mortgage - what if you don't get one quickly, what if they move out and there's gaps in your payments? There's so many things wrong with this situation I'm not really sure where to start!

You told another poster to wake up and smell the coffee. I think a little bit of that needs to happen here....

isgman

"missk_ensington".. you say "I HATE MEN!!!!!!!"...
we are NOT ALL THE SAME..
some of us are OK...

roswell

I think we can scrap the thread on how to be morgage free in 5 years then in the morgage free board.

peronsaly id cut my losses and sell the house before you end up getting it repossessed or adding monthly 1`s 2`s and default to your credit rating.

lynzpower

I dont think turning this into a slanging match is ever going to help the OP.

Peersonally Miss K, we have been waiting for a lodger since Xmas, she moved in last week. Yes, this has given us more financial flexibility, but at the end of the day if she werent here, we would be doing everything very slowly. I remember a few months back, me & OH were discussing how we could budget for getting the light fittings put up by the electrician, @ £15 a go. We reckoned, one a month from the copper jar should cover it.

getting a lodger means expense. It means bed, mattress, curtains, chest of drawers, at the bare minimum. I ebayed & ikead for mine, still cost me £300.
Speculating to accumulating is fine, if you have the money to do it with in the first place. You dont sound like you have.

you say you are going to do it up & make a profit. Fair enough, you have mates who will offer labour, but you will also need to pay for materials at the very least. It cost me £40 last week to paint my kitchen, it was money I struggled to find. Putting it on the never ever was not an option for me, nor should it be for you.

Also bear in mind you will have to pay solicitors fees and estate agents fees when you sell, Im estimating at least 2k nad of course any stamp duty you need to pay on the next place you are thinking of buying. Most solicitors dont take credit cards, so you will have to cough up the cash to start the ball rolling.

If you havent completed yet, for gods sake pull out. Its going to cost you more and more, I dont think you can turn a profit that quickyl, as the market will not have increased in a few months, and the money you will be spending it on is seviced by debt.

Careful with your jobs too, one sniff of you working 5 jobs etc, and the DSS will start claiming back all the money they have paid you. Its not pretty.

All the best with it,
Lynz

missk_ensington

I can afford the mortgage, I have £1300 a month coming in and repayments are in the region of £480 (£380 if I go interest-only) That isn't the problem, the problem is the Childcare as my partner swiped the money the uni gave me to pay it! And if my partner was still here, we could still be 'mortgage free in 5 years' (Yes it IS oversimplistic, but so was another theory by another uner in being mortgage free by making massive overpayments every month!) Im not saying that method will work for everyone, but there are at least 10% of people reading it who it will work for, because they have good tradesman connections, good renovation skills, the time and commitment to a project and the eye for finding properties with potential. In essence, it is property developing, but the key is what you do with the money you make.

I cannot sell the house, cut my losses? What all £11,000 of them! I've paid over 9k deposit and £1000 in various fee's plus additional fee's to sell, and Id probably make a loss if I wanted a quick sale since its a massive refurb job.

My 'mortgage free' theory was not in its entirety based on my personal experience. I can name you several 'Supernanny' typed figures on TV tutoring parents to control their kids but have never had their own, the same for most Health Visitors and midwives. You dont have to have done something to give advice on it. However as I mentioned somewhere before, my 'proof' was more in my Mum's property company, which is worth somewhere around 1.8 million doing properties in the way I suggested and she only started doing it a few years ago. (1.8 mill are just the properties she has the deeds to, that doesn't include the ones with loans on them inc a Restaurant and Hairedressers) So yes, actually it does work FOR THE RIGHT PERSON. However, that isn't relevant to this thread.

I am 99.999% sure I can make a profit. All the houses are identical in size/bedrooms on the street and with the exception of mine the lowest one has sold for in 3 years is £110,000 (I paid 92k). I got it from a guy who's mum died and wanted his inheritance quickly and didnt want to do the house up to sell it.

I wont take a lodger in, because I want to sell and cant be sure how long I can offer lodgings for. I wont cop for Stamp suty, when I sell I wont buy over 120k. Im not on any DSS except tax credits and for what I'm likely to earn doing an extra 4-5 hours a week I'll gladly declare it to them.

Lynzpower thanks-According to one user Id be a 'bad mother' taking a lodger in anyway!

Im not sure how my house would be repossessed since the first priority each month is my mortgage by Direct Debit. I have the money to pay it, the struggle will be doing it up as Lynzpower has pointed out. The only option may be to borrow money from family, on the promise I'll return it on selling. I can do the house on £6,000-it is only a small terrace not a 5 bed detached! I'll do what I can myself-stripping walls, painting, etc, and get the work done as a foreigner (Not the immigrant type before I get attacked for being racist also).

I got this thread for CONSTRUCTIVE idea's such as cheap kitchens, cheap ways of doing house up, ideas I might not have thought about. Not the start a slanging match, if thats what you want to to https://www.arguingforums.com

Thanks to those being genuinely helpful x

scottishspendaholic

Hi ms_kensington,

Good luck to you and your wee boy!

scottishspendaholic x

Spendless

I think it was being suggested that you pulled out instead of completing (not sold something you'd just bought) and do you lose your deposit in this case . I'm sure someone will know, if you don't £9k would pay your childcare fees until your money for them comes back thru.

beanielou

All im saying is that i am on DLA low care, high rate mob and I wish that i could do 1/10th of what the original poster can do on a physical level.
I can only type with one finger too!!