Moving to rented, house up for sale but not selling, cant afford mortgage and rent!

abbo1

House has been up for sale 6 months, which I thought might have been time enough to sell, but hasn't (not a lot selling in our area) basicly if I sell at asking price 100k it clears my mortgage 98k and pays ea and solicitor. Due to work, and my wife's voluntary redundancy, we are moving to rented at end of June. My mortgage is currently £720pm and my rent will be £550(bigger house, lovely area, don't want to lose it by putting landlord back until my house sells as we will be here long term)

I know my house will eventually sell, but it is in an area of N Ireland, where there is many properties ( keenly priced) that have been on the market an awful long time before they sell.

Waying up all the above, I think my options are:

Hand the keys back to bank
Ask bank (Santander) for payment break?
Continue paying mortgage and rent, which I don't think will be financially possible?
I don't have a great credit history, so additional borrowing not an option.

Any advice would be much appreciated. Thanks

BitterAndTwisted

If you can't reasonably afford both the mortgage and the rent, then stay put until you've found a buyer.

There's no such thing as "handing back the keys" to the mortgage company and that being an end of it.

If the property has been up for sale for six months and not found a buyer then it's probably over-priced for the local market. You either drop the price and pay the difference to settle the mortgage out of savings or find a way of getting an unsecured loan for it, or sit tight.

Annisele

Are you moving to a new area?

If not, I'd seriously consider staying in your existing house until it sells, and not taking up the rental. (I'd seriously consider that anyway, unless the commute is completely impossible).

Just handing the keys back is unlikely to be the best option. (For some people it is, but that's unusual). If you do that, the bank will sell the property for what it can get. Since it's been on the market six months at £100k, chances are that the bank will sell it for a lot less than that - and you'll have to pay the difference.

ognum

abbo1 wrote: »

House has been up for sale 6 months, which I thought might have been time enough to sell, but hasn't (not a lot selling in our area) basicly if I sell at asking price 100k it clears my mortgage 98k and pays ea and solicitor. Due to work, and my wife's voluntary redundancy, we are moving to rented at end of June. My mortgage is currently £720pm and my rent will be £550(bigger house, lovely area, don't want to lose it by putting landlord back until my house sells as we will be here long term)

I know my house will eventually sell, but it is in an area of N Ireland, where there is many properties ( keenly priced) that have been on the market an awful long time before they sell.

Waying up all the above, I think my options are:

Hand the keys back to bank
Ask bank (Santander) for payment break?
Continue paying mortgage and rent, which I don't think will be financially possible?
I don't have a great credit history, so additional borrowing not an option.

Any advice would be much appreciated. Thanks

Stay where you are until house sells, another rental property will come up.. You can't have it all, you need to just wait it out.

Lovem

Is the house on both Rightmove and Zoopla? if you knock the price down by even £1,000 the EA will update so it will come up in "Added to site" this will give it a boost in the listings.

silvercar

Ask Santander if they will do an "assisted sale". So they handle the sale in an effort to get the place sold before large arrears build up and they need to consider repossession.

Smi1er

£720pm mortgage? On a £98K loan that equates to 7.5% repayment rate.


Seems rather high.