Mortgage help please

garysybex1

My wife and I took a 95% mortgage 4 years ago for 180k. (purchase price £195000). Two years we tried to sell the house but couldn't. Eventually we decided to rent it out and move into a rented house at a new location for personal reasons.

Today, our mortgaged property is getting £375 rent, we pay £400 rent. We still are paying our interest only mortgage of approx £550 a month making the mortgage still a whopping £180k. The problem we are in negative equity on the property as it is currently valued at £90k and we are experiencing problems in our relationship.

I want to know what my options are as if I decided to leave my partner, I will have to get somewhere else to live and won't be able to afford to live if I still have to pay for my mortgage, etc as I don't have a full time job. I have read about bankruptcy, etc but any advice would be appreciated....:(

Meeper

garysybex1 wrote: »

I want to know what my options are as if I decided to leave my partner, I will have to get somewhere else to live and won't be able to afford to live if I still have to pay for my mortgage, etc as I don't have a full time job. I have read about bankruptcy, etc but any advice would be appreciated....:(

Did you tell your mortgage company that you were going to be renting the property out? If not, then you are in breach of your mortgage conditions.

So, what options do you have? Not a lot really. Have your circumstances changed such that the mortgage was previously affordable but now it is not? Why would you take on a mortgage that was potentially unaffordable in the first place? If you hand the property over to the mortgage company, they can still pursue you for the full amount of any shortfall.

TrickyDicky101

Is the property seriously only valued at £90k now? Where is the property?

That's a huge amount to repay just to get back to break even...