Warning about property from 1st Jan 2011...

dojoman

Amanda-Wright35 wrote: »

Thanks Kemar"!

Still a little confused about this whole thing though.
I have so much debt, in that we owe a huge interest only mortgage and 2 secured loans on top. Amoungst that we are £1900 in arrears with the council tax, as i lost my job and my husband is self employed. It came down to weather i pay the council tax or feed my family. Ive looked at benefits but my husband earns too much. Although this goes towards paying the mortgage and loans with little left over.

I now how the bailiffs threatening to levy my belongings and i cannot afford to come up with any money to give them either. The whole thing has been really distressing so much so that i cant sleep of a night.

My husband and i have talked about going bancrupt, i am an ex estate agent and know that my property is not worth more than the mortgage and loans. Where does this leave me. Will our mortgage company reposess us, or will the debt go towards the OR. Our credit is beyond bad and i just dont know what to do for the best. I have two children and live in a small village where everyone knows your business. I do not want them to suffer for my bad money decisions.

Please Help......:(

Please contact one of the charities below, they will offer free and impartial advice.

https://www.nationaldebtline.co.uk/
https://www.citizensadvice.org.uk/
https://www.cccs.co.uk/

tigerfeet2006

As Dojo has said please talk to one of the debt charities like National Debtline for FREE, PROFESSIONAL, IMPARTIAL advice.

What you need to weigh up is can you afford the mortgage and secured loans if you had no other debts to pay? If the answer is yes then you have to see how much a comparable property is to rent in your area. If the mortgage and SL's are a lot more than rent then the OR would want you to move out and rent. Then the house would go for reposession. If you think that that is what the OR will say or you feel it isn't worth hanging on to the property then you stop paying the mortgage and SL's and save the money for rental deposit, rent, moving costs and BR fees. Move to a rental property and then look to go BR.

If you feel that you would want to keep the house on and think the OR will let you then continue paying the mortgage and SL and in 27 months the OR will once again come back to you to ask for a valuation. If there is equity then the OR will ask you to pay him the equity for you to stay in the house, if there is no equity then the OR's interest will transfer back to you.

But please talk to one of the debt charities and see what they say about the property, if you don't 'click' with one then try another. If you have any questions about what you have beenn told by them then start a new thread with the question and some one will try and help you.

gjw123

Hi

live in canada , but went bankrupt in the uk

Bit of a different angle on on this went BR two weeks ago and on the letter to the creditors said i had 2333 pound in equity in the house , however that was a normal vaulation not a fire sale , and in canada the real estate agents all charge 5% with that and the mortagaue and the lawyer would be negative by -5k .

I am guessing ( as i have not heard anything ) they will come back in 2 years 3 months , however as i liveout side the EU, will they bother as the cost of making me sell th ehouse will outstrip the money they will get ? has any one had any exspereince in this matter

Thanks

Gary

timetomoveon147

just have a few questions regarding above as considering br :-

I have a northern rock together mortgage (i know stupid but much better informed financially than was 5 years ago).

95% secured and 25% unsecured. So basically 5 % percent of the unsecured loan they offered payed off that portion of secured loan.


i bought house for 89500 back in may 2006 and is showing as worth 86000 on zoopla. But current balance owing is 104000( secured and unsecured)

84000 secured , rest unsecured.


is a joint mortgage , so in 2 years 3 months i would get someone else to buy back my beneficial interest if there is any equity.

If anyone could clarify the above queston that would be great.

Because my mortgage payment is one payment made up of secured and unsecured im unclear about the equity aspect of my situation regarding equity.


Im thinking just small amount of equity i could just sort straightaway or would i still have to wait 2 years 3 months even if in equity?


many thanks in advance!

timetomoveon147

hi just to clarify also :-


Even is there is equity in my house would the third party still have to wait the full 2 years three months to acquire my beneficial interest?


thanks

tigerfeet2006

It is up to the OR when he offers you the right to purchase the BI off him. As you have some equity he may decide that it is worth seeing if the Market is going to rise in the next few years so he can get more for your BR estate. He may decide to cut his loses and do it ASAP but you have no influence when it happens. You just have to wait.