Getting rid of a property/mortgage

mlorrisi

Advice from you all, please!


My house has been on the market for 5 years with barely a viewing. The market price is half of what I paid for it, and I owe about 160% of that market price. I'm looking to retire in the next couple of years but I must get rid of this house first. I really don't want to rent.


What would be the implications of just handing the keys back to my mortgage provider?


Any other ideas?


Many thanks.

quicklee99

You say you don't want to rent but how does what your paying as a mortgage compare to rental prices in your area? You have to live somewhere.

Even if you hand back the keys if you owe more than what the house sells for you're still no better off. Will the mortgage company demand the difference or would you be declared bankrupt? Either scenario is not good

Just my opinion but I would look at trying to make over payments to reduce the deficit. Best of luck

usa1

I would try and over pay on your mortgage. I would avoid handing the keys back in case the housing market improves.

edinburgher

I should point out that (assuming you're in the UK), all mailing the keys will do will mean you're homeless. The lender will still be able to come after you for money owed.