Please I need help, it's a little complicated

Ruthie23

I'm 30 years old. I have 2 properties. First one has approx 147,000 mortgage interest only on it plus an additional 9,000 borrowed against it which is repayment ( my dads guarantor on the 9,000). Cost per month for both parts is approx 580.00 per mth. This property is being rented out, I'm getting approx 500.00 per mth in rent. I also have house ins, life ins etc on this property.
Second property. Interest only also 127,000 mortgage on this. This is in joint names with my mum. This cost bout the same per mth as first property 580.00 ish. I also have house ins & life ins on it. I have car payments and all that goes with that, ins etc.

I am single and earn approx 1300 a mth. The stress is making me ill. I've looked in to bankruptcy before and was told I would loose the second house - I'm living in it. Both my parents are unfortunately tied in to my mess too.

Please any advice would be great. Hope it all makes sense.

sniggings

hard to give advice without the full details thats why we always say it's best to ring one of the help lines that will talk you through each step and get all the details,CCCS and CAD are two goods ones to use

you don't give any details apart from the mortgages go it's hard to say what help you need,but why is selling the houses or at least one off them,not an option? I can't see why you are talking about BR? sorry to not be of more help but like I say without more details its hard :beer:

Ineedaname

The rented property is not paying for itself so the OP's £1300 pcm needs to cover the shortfall on the mortgage there, plus insurance, plus maintenance, plus any voids, before paying for the family home. If there are unsecured debts as well it's no wonder the OP is stressing and worrying. If the houses are also in negative equity that just adds to the problem as even selling them may not be a solution.

Please have a read through the Look Here First sticky thread and contact one of the free debt advice charities listed there. They will be able to take you through all your finances in detail and suggest the best way forward for your situation.

Unfortunately, as both your parents are tied to you financially, if you go BR then your subsequent poor credit records will likely impact on them too.

sniggings

Ineedaname wrote: »

The rented property is not paying for itself so the OP's £1300 pcm needs to cover the shortfall on the mortgage there, plus insurance, plus maintenance, plus any voids, before paying for the family home. If there are unsecured debts as well it's no wonder the OP is stressing and worrying. If the houses are also in negative equity that just adds to the problem as even selling them may not be a solution.

thats two threads in a row I try and help someone and you instead of sticking to helping the OP feel you need to have a dig at the advice I give,if you have a problem with me I suggest you put me on ignore or PM me and we can talk about it but using someone elses thread to have a go at me is childish.

Ruthie23

Thanks for getting back to me so quickly. The first house is worth bout 50k now and the second bout 90k so with both being in neg equity selling is not an option. I wish it was that easy. I also have no loans, only debt I have are the two houses and my car. I live in northern Ireland so I don't kno if this makes a difference to my options. I want to eventually settle down and have a family etc but this is gonna b nearly impossible as I wouldnt be able to afford time off wrk. I've made a big mistake here. I wish the banks had just refused me the money to start with as them being interest only it's gonna be impossible to repay :-(

sniggings

Ruthie23 wrote: »

Thanks for getting back to me so quickly. The first house is worth bout 50k now and the second bout 90k so with both being in neg equity selling is not an option. I wish it was that easy. I also have no loans, only debt I have are the two houses and my car. I live in northern Ireland so I don't kno if this makes a difference to my options. I want to eventually settle down and have a family etc but this is gonna b nearly impossible as I wouldnt be able to afford time off wrk. I've made a big mistake here. I wish the banks had just refused me the money to start with as them being interest only it's gonna be impossible to repay :-(

Northern Ireland is ok to go BR in, can't remember his name but the richist man in Ireland ran cross to NI to go BR lol


it may sound bad but really it's not,going BR is a new start and many people can go on to get a mortgage in the furture,it may be harder to get but is possible,I guessing your claiming all you can in benefits as £1300 a month is not doing to leave you anything at the end of the month,sound BR is a good option for you as your NE is so high,a rule of BR is you have to have taken so advice from CCCS or CAD or the like so getting an apoointment with one of them would be my first move,it may sound like a cop out to offer that as advice but it really does take alot of stress of you as once they say BR is an option for you it makes things a lot clearer,they have a waiting time so best get on the list now,any questions on the process etc we can still help you with here and support.:beer:

Ruthie23

I work full time and do not claim any benefits, I'm single with no dependants. I kno it's a long shot but do you think there is any way I could keep my second home?! I was told if I make myself BR that I can't get housed by the council as I made myself homeless? With my parents so wrapped up in this could they be liable for my debts. I couldn't do that to them. Thanks for the help and advice. It's helps to kno people care enough to try and help

sniggings

unless they or guarantors on the mortages or loans then BR will only affect you,yes it is possible to keep a mortage and go BR but remember you would have to still pay the mortage and any loans that were attacted to the mortgage,also remember that interest rates are very low atm and if they were to go higher would you still be able to pay? not sure about the renting situation but I would think/hope that council renting would sill be an option,or if private renting in your area is much lower than your mortgage that too would be an option but keeping one house is defo an option to consider.

bishopsgirl

Ruthie23 wrote: »

I'm 30 years old. I have 2 properties. First one has approx 147,000 mortgage interest only on it plus an additional 9,000 borrowed against it which is repayment ( my dads guarantor on the 9,000). QUOTE]

OP's dad is guarantor for a least £9,000 on 1st home which will make things difficult for him.

sniggings

bishopsgirl wrote: »

Ruthie23 wrote: »

I'm 30 years old. I have 2 properties. First one has approx 147,000 mortgage interest only on it plus an additional 9,000 borrowed against it which is repayment ( my dads guarantor on the 9,000). QUOTE]

OP's dad is guarantor for a least £9,000 on 1st home which will make things difficult for him.

and what help were you offering the OP here?

my post did say IF he was guarantor then they would be affected,I'm sure the OP understood that but there are options here,he could take over the loan or the OP could not include the loan in the BR so he does not have to be affected or at worst he would have to carry out what he already ageed too,which is paying the loan if the OP can not,but this does not have to stop the OP from going BR.

sorry Ruth it seems more people wish to pick holes in the advice I offer rather than take the time to help you,it is not normally like this on here,we are a friendly bunch but maybe it's the cold weather lol

wildheart83

OP has stated she doesn't want her parents drawn into this anymore than they are already. Given that she has stated that her father is guarantor for the £9k secured loan, it will undoubtedly leave responsibility of this loan solely to her father. On the other property the mortgage will fall to her mother. Rock and a hard place springs to mind.

Ruthie, please do seek professional, impartial and most importantly, free advice from one of the debt charities - CCCS, CAB (or equivalent in NI) and National Debtline. Also if you feel like you don't gel with the charity you choose, please try one of the other charities.

On an aside Sniggings, I am not "dissing" your advice, but merely adding to it to reflect the OP's own circumstances.