Help with mortgage and divorce

orangatan

Here are the bullet points as i have already typed a lengthy post and it seems to have lost it

Husband has left, admitted on face book he has a new girlf.

Owe £95K on mortgage
Owe £18K on secured loan (£22k at moment with PPI)
House worth £115K at most

My credit is pretty bad so not sure whether i will be allowed to keep the mortgage in my name.

Ex wants £3K to buy him out and does not seem to understand there is not £3K worth of equity in house

Any ideas on ways to proceed?

Person_one

He can whistle for his 3K! He's not owed it, he's not entitled to it so he's going to be disappointed.

So, you have 113K debt secured on a house worth 115k?

If you sell, any equity will be tied up in fees and you might break even or be a bit worse off depending on what it sells for.

Could you afford the mortgage payments on your own?

orangatan

I know he can whistle and thanks for agreeing with me I was beginning to think i was the thick one but its obviously him!!

I really dont want to sell the house and as of this month he wont be contributing (its just if my mortgage company will agree) as i only earn just over 16K

Thanks for your reply i am just so confused x

Person_one

I doubt the mortgage company will agree to take his name off with your income as it is.

Do you have any children.

Its completely rubbish, but I think selling may be your only option unless you're happy to keep paying the mortgage on your own with both names on it, knowing that when you do come to sell he'd have a claim on any profit.

orangatan

I know what you are saying about mortgage company, thats what i am worried about!!

There are no children involved.

I really dont want to have to sell as would have to pay more in rent than what i am paying at the moment.

Maybe i should just try and drag it out as much as possible and explain if he agrees to stay on mortgage he can have a share of house in future if the prices rise?

Thanks for responding person x

ItMightBeUsefulOneDay

Totally agree with the others here, the 3k is never going to happen, nor should it. Absolute dreamworld.

To remove your husband from the house deeds and mortgage will mean you have to take it on yourself. Right now you are BOTH liable (assuming your name is also on all the paperwork) for a debt of £113k. On your earnings (16k), with zero equity in the house (100% mortgage) and a bad credit history there's absolutely no chance of the banks agreeing to take him off the paperwork. None at all.

This leaves 2 choices.
Either sell now, hopefully clear all the debt and go your separate ways.
Or
Keep paying the mortgage in full bearing in mind that when you do sell he's going to be on the deeds too and will try and get any profit / equity that you've paid down.

I'm sorry, but from where I'm sitting, this looks fairly straight-forward. Sell now. Pay of all debt and split any profit or loss between you. There's more likely to be the latter so be prepared.

Mini_Bear

Could you not get a lodger to help short term with the mortgage? that could free up some cash so you could start tackling the unsecured debt?
not ideal but it would give you some breathing space.
Good luck whatever you do