Help please!! -Being free of 'having to' pay the mortgage.

Gina_of_course!

This might be in the completely wrong section and if so, apologies.. (I really understand if its moved)

Being early 40s, having had cancer three times(genetic history of cancer and many family members dying from aged 36 -51 ) and basically without making it sound fatalistic... I really dont expect much more than 15 years of breathing..( if I get more then brill ;-)) and with 20years more mortgage.. its a bit daunting.. especially when I am going into hosp again in the next few months and will need a few months off work after.. sooner or later I will run out of half pay sickness... and then will not be entitled to any help with the mortgage for 9 months.

If I sold my house I would get approx £65k in my hand.. I am considering getting a park home. ( tho am not old enough for many of the parks) I know it wouldnt be on the 'wow thats lovely end of the site' but I can deal with how some friends say that I will be 'trailer trash' <cheeky devils>

Thinking of the future and the possibility that I might not have a job.. (currently bring home about £1400 a month), have no children, no other debt as such, pay everything direct debit, can you list the pros and cons as you see it about my idea of 'opting out of having to pay the mortgage'

I am a bit anal about my home after having a very cruel marriage and the nuclear fall out financially, that was over ten years ago tho... but Im still a bit proud of having moved 400 miles away and bought my own house.

I do not have critical illness cover.. as the policies were far too expensive and taking into consideration the genetic impact.. most policies also had a extremely small clause preventing a secondary cancer that could be taken back to the primary.

I welcome any imput. thanks :undecided:kisses3:

plonkee

How much is your mortgage payment, and how much would the park fees be? If you are unlucky, you may find that there you won't save much money, on the other hand, you may save a bundle.

If you end up jobless, what will you be able to do for money? Benefits of some kind I guess. How much money will that give you to live on compared to how much you make now? Can you make some sort of budget work with those figures and without a mortgage? How does housing benefit work if you have a park home?

If you do make the move to a park home, its likely to be a strictly one way thing, you probably won't be able to afford a house in future. How do you feel about that?

DawnW

Dear Gina,
Sorry to hear about your health problems. I am no expert, but do know that some park home sites are owned by unscrupulous owners who put those who live there in difficult circumstances, so do think carefully and do your research before going down this route. I think you ought to post on the mortgage and endowment /buying selling and renting threads where you will be able to get advice from experienced mortgage advisors. You can then consider all your options some of which might be a flexible mortgage, where you can overpay at some times and have payment holidays at others, downsizing to a smaller property, interest only mortgage (this is just off the top of my head), selling up and renting (housing benefit covers all or some of your rent if you can't work, but may cover your mortgage interest as well?)

Might also be worth checking up on the benefits situation in case you become ill again. Fingers crossed for you,
D.

Karmacat

Sorry to hear about your health situation - best of luck with all of that. That said, I can really understand wanting to downsize/cut obligations - are you sure a park home is the way to do it tho? I presume that means one of those huge static........ caravans?...... sorry if thats offensive, thats what I've always called them. Even in 15 years, and lets hope you have more, won't there be a lot of upkeep on that kind of property? Depending on where you are, what about a flat/apartment, even a studio flat? I'm single with no dependents too, and need the space and quiet that comes with a 3 bed suburban house, for my work - but I tell you, I dream of having a studio flat as a base where I can just bounce out from. Not in my town, its really expensive, somewhere small with a bit of life in it still.

In your situation, I'd be writing down a list of pros and cons, and the relevant finances, for each decision - keep the house, move to a park home, move to a flat, whatever. And they're *your* pros and cons, too, remember.

Good luck.

floss2

Aren't most park homes 9-month occupation only? In that they shut down the site for the winter months?
Maybe you could find a shared-ownership property that you could buy your share outright & rent the other half?

Seaxwyn

Hi Gina

Sorry to hear about your health worries, I really hope that you live a long and healthy life. Cancer treatments get better all the time. But i quite understand you wanting to lose the mortgage anyway.

I don't know much about park homes but I do have some friends who live in canal boats and love it. Cheap to buy outright, then you pay a small mooring fee, and from the sound of it get to live in a supportive community of wonderful friendly people.

Just thought I'd mention that as another option!

Good luck

themaccas

Hi Gina
Sorry to hear about your ill health but I would agree with the posters above and look at other alternatives before selling up. Would it be possible to get a lodger? I know not ideal but it might mean you couyld stay in your house.

RAS

As above, if you took a lodger, you would not have to pay income tax on the rental sum.

Bit of a bummer if you are feeling lousy after surgery, but they might pay the mortgage when you get no sick pay?

fiveyearplan

What about selling your house with the right to live in it? I know absolutely nothing about this but maybe someone else does. This could free up money for you to spend money when you need it - as you say, while you are still breathing.

calleyw

floss2 wrote: »

Aren't most park homes 9-month occupation only? In that they shut down the site for the winter months?
Maybe you could find a shared-ownership property that you could buy your share outright & rent the other half?

You are thinking of holiday park homes.

About a mile from where I live is a park home or a mobile home park. Last time one was for sale it was about £85K for a two bedroom one. Then you pay council tax and then fees for upkeep of areas etc. And you can live in these all year round.


Yours


Calley

duchy

I think as you have no dependents then the sell your house but able to remain in it option may be a good one for you. I would think this is an issue that some of the cancer charities may have dealt with before so might be able to give you some good advice -or maybe one of the self help forums as you can't be the first person to have come to this conclusion.
This may very well release more capital and save you the hassle and stress of moving