Advice required

uncreative

You are going to need a lawyer in any case to sell it. you can avoid estate agency fees by not using one if you are game enough but it wouldnt be my choice. Any fees should come from the settlement anyway so will come from the proceeds of sale. A cash buyer will definitely not give you "top dollar", probably anything but, so you are risking the equity in your home here.

if its worth £110k but needs £10k of repairs then you are looking at £100k anyway net, plus you would be looking at discounting that for cash. it could very easily get to the point where the R2B and mortgage are paid back and no more, you effectivly walk away with nothng.

And you have the dmp and renting might be difficult. For the sake of £10k of repairs you might lose longer term on £28k of equity.

Can you describe the repairs required and see if they can be dealt with in a cheaper or other way?

sourcrates

Mrs_who wrote: »

I wouldon't be able to rent anywhere due to my current credit rating.
Honestly thought of every solution possible.

Credit rating wont influence any decisions regarding rental agreements.
Potential landlords will only see the publicly available information on your file, they will not have access to any financial information.

Turningacorner_2

Is there are recourse possible against the mortgage broker? Eg, him miss selling you a product that was not fit for purpose, then taking further funds for something you didn't get?

Good luck x

Mrs_who

I have found that the majority of private landlords require credit checks and references.
Unfortunately I do not have the money for a deposit that's why the only option would be to sell the house but that would have to be to a cash buyer which there are legitimate companies where you do not have to pay for anything. But with that comes the price of how much they give you for your house. Which isnt a lot.
The repairs which need to be address are as follows
Chimney stack is leaning and could fall with high winds.
The guttering and corner of the roof have been ripped off at some point. I had a large gapping whole in the corner where the birds were getting in an making a lovely cosy nest in my roof.
The council removed the nest after the birds haD gone and filled the hole with expanding foam.
Outhouse is falling down. Unfortunately it can not be knocked down as it is ajoining a neighbouring property. Council have already been on my case about this.
Hope this explains more guys

Bored

Would it be possible to cash flow the repairs and pay in installments if you reduce your DMP payments to a £1 token payment and tighten up your budget?

Mrs_who

U only pay £57 on my debt management plan so I wouldn't be able to change that as it is the lowest the creditors will accept.
I have even spoken with the debt charity that manage my DMP ro ask for their advice or stear me in the right direction but no its like hitting a brick wall :mad:

TheBanker

Did you have a survey done when you bought the house and if so were these problems identified? Have you actually spoken to your mortgage lender to see if they can help or have you assumed it's a "no"? It is in their interest to ensure the property remains in a good state of repair so it is worth speaking to them if you haven't already.

Would you consider posting a SOA so other members can look at your income/outgoings and see if they can suggest areas to cut back?

Some councils do provide loans to help with essential repairs (repayable on sale of the property). I'm not sure if this is a statutory scheme that applies to all councils though. It's worth checking.

I've not had time to read this as I'm on my way out to work but it might help: https://www.citizensadvice.org.uk/housing/moving-and-improving-your-home/help-with-home-improvements/

zenshi

Sounds like a Catch 22 situation! And me a year ago!!

I'm self employed with a lot more debt than you. Couldn't sell house to clear debt as would lose business premises which are at home. Roof leaked, you name it.
I had huge promotion drive with the business BUT also took a second job that means I work 7 days every week. After a year of hard slog and saving I managed to mend roof plus some other urgent problems

Maybe this is your best solution? Look for extra work?!

Mrs_who

I had a survey done but it wasn't as thorough as I liked. When valuing the house they took into consideration all the repairs outstanding which reflect the price.
I have spoken with my mortgage company and as much as they sympathised they could not help

I have also applied for the housing grant and was declined. I even sent a copy of the complaint letters and responses from the council to support my case and requested quotations which was also provided.
The work was not too expensive so I know it definately wasn't that.

I have also looked in to working an extra job and unfortunately the clause in my contract states I am not able to work for another company. I even tried selling products which ended up at a loss there.

Honest to god I have tried my best :mad:

lovehackney

So:

You bought a house at a knock down price. This included your RTB discount and also took into account the fact the house was in a state of disrepair.

You bought the house knowing it needed £10k of work doing to it. You didn't have this cash so thought you'd get a secured loan for the amount.

Broker recommended a product that did not allow additional borrowing. You signed up to this without reading the paperwork presumably else you would not have signed up.

Post- completion you have been unable to borrow £10k and instead have run up c. £4K unsecured debt to do repairs and are on a DMP to repay this.

Sorry, but whether or not the broker recommended an inappropriate product, it sounds like you can't afford the repairs, never could afford the repairs and for the forseeable future can't afford the repairs.

So you either put up with it (surely the £4K went some way towards resolving the issues?) Or cut your losses and sell the house and rent.

Apologies if I have misinterpreted anything but it boils down to you relying on getting additional credit to repair your house, which is never guaranteed, and in your case wasn't forthcoming.