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walking away from property

jeniflower
jeniflower Posts: 3 Newbie
edited 15 June 2013 at 5:48PM in House buying, renting & selling
hi all, I know I will probally need professional help for this one but I don't even know who to ask, so any advice would be greatful , so this my problem...
I have a property in mainland spain value approx is now only 30k but my mortgage is for 55k, I would like to just walk away and just hand the keys back to the Spanish lender, I don't have any property in the uk. Any thought anyone....


thanks

jeniflower

Comments

  • GDVS
    GDVS Posts: 134 Forumite
    Part of the Furniture 100 Posts Combo Breaker
    I don't know if Spanish law is different but in the UK just walking away won't cut it, you will owe them the difference between what they can sell the house for and what you owe them.
  • lurkylurky
    lurkylurky Posts: 442 Forumite
    Part of the Furniture 100 Posts
    If you google Dacion en Pago, you'll find some info on handing back property to the bank in Spain.

    Also, might be worth posting on Eye on Spain. They have a solicitor called Maria who often posts useful advice.

    http://www.eyeonspain.com/forums/Threads.aspx?dev=FB11
  • thanks lurkylurky I have been on eyeonspain.com a few times in the past , I will take a better look at it now, and I will google Dacion en Pago. was also looking to hear of anyone first hand that has handed keys back ,

    thanks again.
  • Amber_Sunshine
    Amber_Sunshine Posts: 1,741 Forumite
    I'm sorry to say this, but it is not good news. You CANNOT hand the keys over and walk away. The lender will pursue you for the full amount outstanding on the mortgage, AND take the house. Not just the difference after they sell the house (IF they can sell it). I live in Spain, so I know how it works here, and a lot of people (including Spaniards) have been caught by this rule. It's something of a scandal and getting a lot of press attention.
  • not what I wanted Amber....I had the feeling if I didn't have any assets in uk , that it would too much trouble to chase me for what I don't have....

    jeniflower.....
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