Back again!

rennes123

Hi, We have been on a DMP for 3 yrs now,and its becoming painfully clear things aren't working out. We have come to the conclusion BR may be our last option, my question is, what will happen to our house, we have mortgage arrears of approx £2k, our house is in negative equity.................. but on the plus side, i have lost 2 stone in weight:)................. will we lose the house, our son has aspergers and a move would be traumatic,but on the other hand i have to be realistic! Thanks in advance:)

alastairq

hi

re- mortgage arrears?

HAve you arrived at some arrangement to reduce those arrears with the lender?

If so, can you afford to pay the mortgage [plus arrears] ?

Does that amount roughly equate to prevailing rents in your area? Or, is it lower?

If you cannot afford to pay the mortgage, then eventually the lender will repossess.

Since [as you say] your home is in negative equity, then you may be able to purchase the OR's interest for a nominal sum. This is...I think..£1 after 3 years 3 months. This route only really works if you yourself don't think your home will enter positive equity during that period? [if it does so, then the OR will want to realise your share of the equity].

However, another route is to purchase the OR's share immediately after BR petition, for, I think,£1000 plus costs.

This action immediately solves the beneficial interest issue...regardless of any subsequent rise in the property's value.

Your son's condition is a big weapon in your favour should anyone attempt to realise any equity in the property [charges, for example?]....as, in Court, it can counter any attempt at a forced sale by a creditor.