Selling/renting/repossesion ?

Doozergirl

I feel so sad for you. It sounds like you don't have a great deal of choice.

Renting back your house for a hit of 30% on it's value doesn't make a great deal of sense to me, regardless of pets or work situation. I don't know how much your house is worth, but at £100,000 we're talking £30,000! I'd move out and rent for half that...especially when the other option is getting repossessed!

I'm sure there's a buyer out there for you than can get you out of your situation and set you up with a bit of cash to boot. It's such a shame that it's so late in the day now. I'm pretty sure that if you're repossessed you'll fetch more than the BMVers are offering, but the option of at least approaching an agent for a quick sale seems to make more sense to me. I bet there's not an agent out there that doesn't know a cash buyer sniffing for a bargain.

I really hope you manage to buy yourself some more time tomorrow. I'll be thinking of you.

clutton_2

getting repossessed has awful financial consequences for several/many years - you will have a CCJ on your credit file; you will not be able to open a bank account for a long time (and even then only the most basic one); you will have real difficulty finding anywhere decent to live as references will be very hard to get; you wont be able to get another mortgaage for a long long time; utiilty companies may want to insist on your having coin slot meters and on it goes.

If you can get a buyer (even one who leaves you owing a few thousand to the Lender) you will find it SO much easier to turn your life around in the future - you can always negotiate with the lenders, and offer to pay off the outstanding loan in smaller monthly chunks, but, you must be able to renegotiate a halt to any further interest being added onto the original loan, else youwill never pay it off. Finally, amidst all this doom and gloom, it may be in your interest to go bankrupt. I am not au fait with which particular life/home circumstances this applies to, but, it can be a solution for some folks. What a shame you did not post a bit earlier. Good luck to you.

Jonno_Brakesman

Thanks Doozergirl.
It's nice to know some people do seem to care a little about others.
I'm no sentimentalist or openly emotional but it's still nice.

I think I'll see what tomorrow brings and then look at the moving out option.

Clutton.
TBH the credit history thing has already been screwed up by me Ex. That's how I got in this mess to start with. I'll not go into detail.
I don't particularly want another mortgage in the foreseeable future.
Coin meters were in this house when we moved in and are still there, no bills is one less thing to worry about.
Never been interested in credit cards or credit of any sort tbh.
I'd always been someone who only buys things they can afford. My ex didn't seem to take that view though.
Until just recently I wasn't sure what real debt was. Not that I've ever been rich, just lived within my means.

I would have posted up here sooner if I'd known what was happening.
I only found out about the reposession proceedings two weeks ago.
I have never dealt with such an unco-operative and bloody-minded company as this mortgage company are. They are certainly not'preferred' by me.

Thanks for all the words of help and wisdom.
Hopefully I'll be able to post up and let you know the next installment.

Cheers.

Jonno_Brakesman

Well at least I'm not homeless ..... yet.
Got a suspension for 28 days.
Also had some advice from the judge.
He thought these companies were sharks preying on the desperate and that I should try to get a sale elsewhere or even move out and let the Mortgage co have it and sell it.
He thought I'd get a far better price for it that way.

I also found that the council are obliged to house me in some way. It would not class as intentionally homeless.

No idea how I'm going ot move a pretty full 3 bed house into what may be a one bedroom place. And somewhere for 2 cats, a 6! Iguana and a huge fishtank. Could be a laugh trying to sort that put.

Do EA's charge for a valuation?
Never done this sort of thing before but been advised to get a valuation so I know the real value of the property as soon as possible.
I would think this will give me a better idea if the offers I've had are really worth considering or not.

An extremely stressful day but at least I have a while to try and sort it and make a fresh start.


any thoughts/opinions etc more than welcome.

clutton_2

gosh, you were lucky - a sensitive judge !!! thank goodness the judiciary are at long last starting to comment on some Lenders fiercesome greed and lack of any humanity in many cases.

If you let the Lender repossess you, this will haunt you for years to come - i would recomend that you try to sell it yourself via an EA, or thru free websites.

Phone 3 estate agents tomorrow and get them all to come round before Monday and value your house for a VERY quick sale - ask them to consider marketing it for Cash Offers only - offer them 0.25% more than their normal fee if they sell it inside a month. Don't choose the EA with the highest price, they rarely are accurate - (they just want your business so that 2-3 months down the line they can reduce the price - you don't have that amount of time) - use the middle of the road one.

Your other option is to go to an Auction and sell it there, but, you probably wont get the full market value - but at least, it will be sold and you can move on. However, since you only have a 28 day window, unless there is an auction VERY soon, his may not be an option. BUT if it were to sell at auction, you could go to the court with the "Sold" paperwork, which would prove that in 28 days the transaction would be complete. I cannot imagine this judge NOT granting you another 28 days.

At the next hearing, if you can present documentary proof of a buyer and/or an exchange/completion date this judge may well grant you another 28 day window. Do you know anyone who might make an offer to buy your home ? A local builder ? A local landlord ?

best of luck

Finally look on https://www.rightmove.co.uk - Sold Prices section and see what houses in y our street have Actually sold for in recent months - THIS is THE best guide to what your house is worth.

silvercar

There are a lot of sharks out there who are preying on you to get your house cheap. I think there are also a few good ones out there whose aim is to relieve you of your financial pressures. They are probably the ones who specialise in rent backs. You sell them your home and then rent it back from them.

BobProperty

clutton wrote:

gosh, you were lucky - a sensitive judge !!! thank goodness the judiciary are at long last starting to comment on some Lenders fiercesome greed and lack of any humanity in many cases.....

.....Your other option is to go to an Auction and sell it there, but, you probably wont get the full market value - but at least, it will be sold and you can move on. However, since you only have a 28 day window, unless there is an auction VERY soon, his may not be an option. BUT if it were to sell at auction, you could go to the court with the "Sold" paperwork, which would prove that in 28 days the transaction would be complete. I cannot imagine this judge NOT granting you another 28 days.....

Without going into detail at present, both the judges I have been in front of in a repossession hearing have been very reasonable. They are not in the business of chucking people on the street every time a secured loan gets 2 months in arrears, although if you don't turn up to the hearing that's all they will do. I think, if you can go back to the next hearing and say I've put it into an auction, the reserve is low enough that it will sell (provide documentation to that effect off EAs) and high enough that everyone gets paid/gets money back, then the judge will give you the time to sell the place. If it doesn't sell then be prepared for the most serious grilling you've ever had. Also, if it doesn't sell, then you may have to go with one of these BMV buyers as a last resort but use the time given for the auction to get everything sorted out, packed etc. As has been said, if it actually goes to a repossession, it will affect your credit scoreing for years. If you sell it and stay clean credit wise for 12 months you will be pretty well OK.

clutton_2

worst case scenario - sell to whoever is offering you £3k less than you need - at least this whole episode will soon be over, and you can pay off the £3k over a period in smaller chunks - a bitter pill to swallow i know, but, its much better to finish this dreadful episode with no CCJ's on you file. Please check that the council will rehouse you, as i had always thought that a single person did not necessarily qualify for council housing.

Jonno_Brakesman

I cannot get anyone out to look at the house until after the weekend. Hopefully that will happen asap and then at least I have some other figures to work with.
Then decide if the offer is at all reasonable.

They claim they dropped the price because it is in poor condition.
IT's not. A few things need doing but nothing at all major. Bit of paint etc...
I believe they call it 'chipping' when they make an offer knowing that they will reduce it no matter what they see.

Does anyone know if these companies are likely to negotiate on the price. I'm thinking of askig nfor a split between the offers as that would clear up the debt at least.

Not the ideal scenario but it may still be one to consider if nothing else works out.
And I do get to stay here at a reasonable rent.

If they say there needs to be work done, will that mean they will actually get the work done? Or is it just a price ploy?
Would this affect the rent at all? (the rent was based on the higher buying price)

Sorry for all the questions but I've nto dealt with this sort of thing before and really don't want to mess up any more than can be helped.

Much appreciated.
J.

silvercar

If you show them what secured debts you have they should work out a way for you to pay them off. Otherwise they won't be able to buy the house. They may make an offer to settle the debt at less than the full value to the debt company.