Anyone stuck in a house they can't really afford?

franklee

I don't think private renting is viable in your circumstances as even if you did find a suitable property there's no security of tenure so you could be asked to move again at the end of the fixed term which is likely only going to be up to 12 months.

Can you take in a lodger as suggested above?

Have you asked your current mortgage lender if you can move your mortgage to a smaller property, some mortgages are portable. It would reduce the risk they are exposed to as it will ease your finances?

You can't afford to let your property out as that could easily be a financial disaster as you haven't got enough contingency to pay for voids, non paying tenants etc.

It seems to be down to cutting outgoings and upping income for the next few years.

walletmoths

Hi Franklee,

I did ask a little while ago about porting our mortgage, but because we've got a bad credit rating and we're paying interest only at the moment, they said no - w'ed have to reapply from scratch and we don't meet the criteria.

However, if we can up our income and pay our mortgage properly - after 6 months they may reconsider my application. So there is hope.

Getting a lodger is good advice, but we live in a small house with no spare room, unfortunately. In fact, as a family we wouldn't actually be allowed to rent this very house - but as mortgage payers, we can live here - crazy, isn't it.

Upping our income is the way forward I think. I'm going to keep on trying on the cheaper house front. My hope is that there'll be some changes to the housing 'rules' to let folks in our situation actually move cheaper. But I'm not counting on it.

I'm keeping my pecker up though - that job for hubby IS out there somewhere...

silvercar

Sadly for you, I can't see the rules changing any time soon. In fact they have got harder in that affordability is scrutinised these days, so less people are likely to get in the situation you are in.