Negative Equity and Selling

angeljay

I currently live in a house which I am considering maybe selling, mortgage is an NR together mortgage 75K secured, 25k unsecured with an outstanding balance of around 97K

If The house sold for around 85K (price a house two doors down is currently for sale at) would NR let me sell the house or force the sale to stop?

From what I understand they would they expect me to pay the over part of the mortgage would this be as loan payments or in full?

WHat about other fees such as estate agents, solictors etc can these come out of the house sale? I have no savings to help pay for the sale of the house. Want to move away and start a fresh.

richardw

angeljay wrote: »

mortgage is an NR together mortgage 75K secured, 25k unsecured with an outstanding balance of around 97K..

What's NR?

carslet

richardw wrote: »

What's NR?

think they mean Northern Rock,

richardw

How many years are left on the mortgage?

angeljay

Sorry NR is Northern Rock it is a together mortgage, and by borrow money can they not take this out of the price we sell the house for? I believe they added all this when I originally bought the house!

angeljay

Also have 25 years on secured and 22 years on unsecured ... extended the secured part a few years ago to help with costs

DannyboyMidlands

OK, say you can sell for £85k (which I think is very ambitious considering that is the asking price of your neighbour rather than the selling price), then you're gonna need around £15k savinbgs in order to move.

£12k negative equity
£500 solicitor
£1200 EA
£1300 up front rental costs

You need to stay put and save/over-pay the mortgage.

carslet

that must have been the time they were giving out 125% mortgages, and rising house prices, those times have long gone, they might take it out of the house sale, but you will still have to pay the difference somehow,

can you not rent it out for a few years, and rent somewhere you want to move to, although this a pain, could be the only way you would be able to get away from paying the NE and fees. unless you are not bothered about the cost and just want to get out

angeljay

DannyboyMidlands wrote: »

OK, say you can sell for £85k (which I think is very ambitious considering that is the asking price of your neighbour rather than the selling price), then you're gonna need around £15k savinbgs in order to move.

£12k negative equity
£500 solicitor
£1200 EA
£1300 up front rental costs

You need to stay put and save/over-pay the mortgage.

Im afraid I have no chance of saving 15K, its a time in my life when I am ready to move if I leave it any longer I could be too old to get a new job etc.

carslet

DannyboyMidlands wrote: »

OK, say you can sell for £85k (which I think is very ambitious considering that is the asking price of your neighbour rather than the selling price), then you're gonna need around £15k savinbgs in order to move.

£12k negative equity
£500 solicitor
£1200 EA
£1300 up front rental costs

You need to stay put and save/over-pay the mortgage.

i agree you would need at least this amout, also as Dannyboy said, if 85k is the asking price, you could be looking at another 10% off that, at least

carslet

angeljay wrote: »

Im afraid I have no chance of saving 15K, its a time in my life when I am ready to move if I leave it any longer I could be too old to get a new job etc.

do you really need to move, ??