Mortgage Arrears and still going..

super_g

:money:
My partner recently lost her job as the company she worked for went into liquidation. Since then it has been difficult for her to find a job.

I had to put the mortgage into arrears to cope in the mean time as we have no savings. I know this was the worse decision I could make.

We are now in the 3rd and final month of arrears. I was told that I cannot be in arrears for more than 3 months. What happens now?

If I had it my way I would go for a 4th month... our mortgage is pre-approved in June so I am blessed with the fact we will be made another mortgage offer.

However, until she gets a job we are still struggling. This is because I am off sick now from work as well with M.E. - it is severe and I have just learned that I suffer from it. Despite the mental struggles of coping with it and coming to terms with it :mad: I still need to do whatever I can to sort the mortgage situation. I have a mate who has a company and he has offered to give me a job that I could handle - it would be flexible and I could go in for limited hours on days when I felt okay but it would pay the same as what I have now. :T

So... what happens now? What are my options? Will I have to sell my mortgage provider a part of my property and be able to buy it back some day?

The plan was to move out of our area as it is going down hill but I would not be able to get another mortgage as the arrears have impacted on my profile.

Thanks.

Meeper

I hate to be the bearer of bad news, but it is unlikely that your "pre-approved" mortgage will happen. Almost all lenders do pre-completion checks these days to confirm that there has been no material change in your credit file, etc since the application was made and they can revoke their offer at any time without being bound to the terms they originally agreed. I say this not to worry you or cause distress, but moreso to enable you to be prepared for any eventualities.

Your options are extremely limited. You cannot "sell your mortgage provider part of your property" because in effect, they already own it and they call the shots. The best plan would be to sit down with someone like the CAB and discuss your full situation, and go in and speak with your lender. Lenders are always more open to these type of things if people are honest in their discussions. It's when people try to be underhanded and they refuse to take the lenders' calls that it goes a little awry.

Best of luck.