Ive screwed up.... BIG STYLE!!!!

fayemelanie

Oh eck, I dont even know where to start... me and hubby decided to put our house on market... lovely house, horrible area!! (we got a 2yr old and dont want her growing up round here...)... first agents messed us around, no interest in house at all.... so we went to another agent... they talked to us about putting our house in auction... but setting a reserve... the problem is... AUCTION IS TOMORROW... ok, i hear u say... that aint so bad.. least u can move to a nice area, if the house sells....

originally, my current mortgage said we cud port mortgage to new property... fantastic... but being naive... i didnt realise we couldnt port mortgage if we;re out of fixed term.... (they didnt tell us this until 7 days before the auction!!!)

the problem ive got is that we now cant get a mortgage... im a discharged bankrupt (discharged in oct 2006 from a screwed up first marriage)... I thought this would be the problem... however, its not... th problem ive got is from missed payments on mortgage (when hubby got made redundant last year)... all payments are not up to date, and no longer in arrears.... but we still cant get a mortgage....

we're trying to sort ourselves out and get debt free, but everything seems to be going belly up...

any advice would be welcome...im getting desperate, and its making me sick thinkking about it :(

DarkConvict

Selling at the auction is legally binding, i do not know the terms of your auction but if you are unsure can you pull your house out of the auction.

I don't know anything about mortgages so i cant help in that area.

MyLastFiver

I'm Derren Brown and I'm looking into your future. There's a piece of paper..you're signing it...wait...I'm getting it...it's a rental agreement

DarkConvict

Why didn't i think of that. That's what ill be doing again soon.

If getting out of the area is important, renting is certainly a viable option, so long as you have enough from the house sale to pay the existing mortgage, and get into rented accomdation.

fayemelanie

thanks... i guess im just petrified of getting stuck in the renting cycle again.... IF we sell the house, we should, in theory, make 19k after the mortgage is paid off.... im just totally confused as to what to do.

niccatw

As far as I'm aware, the sale of the house isn't legally binding until the hammer falls... so if you are having second thoughts, there's still time to pull out. I'm guessing your solicitor might have to hang around at the aution too - which could be quite costly. Ok, you might lose a bit of money, but you won't lose your house.

I guess it depends on whether you want to stay in the area for the time it takes to rebuild your credit rating and get another mortgage, or whether it's really bad and you really want out now. In which case, it seems likely that renting might be your only option until you build your credit rating back up.

Good luck

niccatw

Is your current mortgage in both your names? Any possibility of getting mortgage in either one of your names for the time-being?

MyLastFiver

fayemelanie wrote: »

we should, in theory, make 19k after the mortgage is paid off

That is what long-haul destinations, fine champagne and class-A drugs are for :rotfl:

...But seriously, you could look at this another way.You and your family will be free of ties and with 19 grand in the bank. You could use this opportunity to have another look at your lives and perhaps do what makes you happier, rather than what you need to do to pay the mortgage.

zarazara

ok lets look on the bright side. You sell the house then rent. You wont be responsible for fixing the roof,the broken boiler,the leaky taps etc. Meanwhile your money is in the bank ( or banks) gaining some interest. House prices will,I think,fall further. One day ,in the future,when you are ready to buy again you may be able to pick something up for cash. Or you may decide to rent for the rest of your lives. At least you have that choice.

Trollfever

Anecdotal evidence suggests that amateur punters are pushing up the price of auction properties to levels that professionals property investors are not prepared to pay.

Good luck.

fayemelanie

niccatw wrote: »

Is your current mortgage in both your names? Any possibility of getting mortgage in either one of your names for the time-being?

We did look at that option, but unfortunatly, im the one with the terrible credit history, but the bigger salary