Newly separated, can't manage mortgage on my own

Corvus

Just wondering if anyone can help or point me in the right direction - am I on the right board?

I'm newly separated from OH who used to be a high earner but is now out of work. OH has moved out. There is a huge mortgage on our home, £900/month on the interest alone. I work full time but only earn £20k and pay for childcare too. I realise we are going to have to sell up soon but is there any help I can get in the meantime as the savings are going fast. I am not thinking about divorce at the moment.

I've applied for working tax credits and have got the single person's council tax discount. Is there anything else I can do?

Fang_3

Could you go interest only until you sell?

Corvus

Fang wrote: »

Could you go interest only until you sell?

It is interest only until next year, although you can pay lump sums in too against the capital.

Fang_3

Corvus wrote: »

It is interest only until next year, although you can pay lump sums in too against the capital.

Could you increase the term? How long can you realistically last and how much equity is in the house?

Corvus

...and I already do the salary sacrifice thing with the childcare costs, which saves me a month's worth of childcare fees annually.

Fang_3

If your OH is unemployed, why isn't he looking after the kids?

Corvus

Fang wrote: »

Could you increase the term? How long can you realistically last and how much equity is in the house?

At this rate, another 3 or 4 months unless OH gets a reasonable-paying job. Equity around £110k depending on sale price (this is a conservative estimate).

Corvus

Fang wrote: »

If your OH is unemployed, why isn't he looking after the kids?

Because he needs to be employed again soon! Doing anything!

PasturesNew

If it's interest only, increasing the term won't make any difference to the monthly payments ... because the OP is only paying interest on the sum borrowed.

Fang_3

Corvus wrote: »

Because he needs to be employed again soon! Doing anything!

I understand that, I just wondered if he could look after them while he's waiting to save you a bit of money.

WASHER

I agree, your OH should be looking after the children whilst he is looking for work, he can upload his CV onto job sites and look after children at the same time.