Hit twice - over course and house repairs

Suzkin

Hi - Advice needed quickly, please.

I've just been advised (from a surveyor at the Council) that essential repair work at my property (I'm an owner occupier) will cost at least £10k.

I am due to start a 3 year undergrad course this October to retrain. (I already have a degree and pg dip. from another career, but am finding it difficult to break into it again after several years out).

I have about £16,500 in life savings, and the outstanding mortgage is approx. £17,500..

**What shall I do? The Council means tests applications for assistance. I may receive an interest free loan from the council IF I do the course. Or, if I do not do the course, I could use my life savings to fund the repair work to my house.**

I'm feeling stressed, as the overall potential debt could be in excess of £25k (i.e. student loan over the 3 years plus the house repair loan) PLUS my mortgage. I'm also feeling gutted, as the repair work will not 'add' anything to the house - only keep it from further disrepair - as the work includes damp-proofing the entire house, dry lining the walls and weatherproofing/rendering the whole house etc etc.

All advice would be much appreciated. The feeling of even more debt is psychologically debilitating (I'm the only provider). Especially, as I was initially unsure about taking on more debt via further study.

Thanks.

madmoney_2

blimey youve got it rough! make sure youve checked that the work does actually need doing, have you got the cheapest quote? etc. re the student loan i would definately go for it as they pay for themselves once you graduate hope this helps n im sure some ppl on here will be of more use, good luck whatever you decide to do xxx

RAS

Hi

OK, the council say you need to do the work. On what basis did you ask him/her to come and see you?

With respect to the situation re your course, please get hold of the Student Loan Company ASAP. As an graduate, you may not be eligible for another student loan for tuition fees , except perhaps in year three of your course.

Tel Phone 0845 607 7577 , they are open until 8pm

trying-very-trying

Sorry, I know nothing about the degree loan. But could you not sort of ask your parents or someone to take your savings and close the savings account. Then with no savings, and I'm assuming a very limited income you might qualify for a grant from the council to get the necessary repairs done.

Prudent

I wonder if you will get assiatance with the level of savings. Another option would be to pay off most of the outstsanding mortgage with the savings. This will prevent the saving from exempting you from this and other financial benefits. It would also reduce your outgoings during the degree.

RAS

et a lodger or two - tax free income. Part-time job?

Suzkin

Thanks for your comments:

I'm unable to get a lodger as it's a 1-bed house, and there's no room at all. My mortgage is fixed for 5 years, and so I cannot pay off with a lump sum (I'm already making the max. overpayments allowed). Re. student loans - it's all organised: I would receive a bursary, and a maintenance loan, and out of this, would need to pay the £3070 p.a. tuition fees. I'm already working.

Any further advice/comments would be most welcome.

Floss

How did the Council surveyor decide the work needed doing? Have they said anything about giving you a grant but possibly putting a charge against the property? This generally lasts for up to 5 years to ensure that if you sell (& obvoiusly gain value from the work being done) that the grant is repaid. Check with your Council's homeowner advice team for help.

By the way, damp-proofing the entire house, dry lining the walls and weatherproofing/rendering the whole house etc will add to the value - and make it more pleasant to live in. Without the work, you wouldn't ever be able to sell unless you dropped the value to cover the costs. Do you live in a very "weathery" place? I ask from Blackpool, in a 70 yr old house with rotting back windows & in need of rendering on the back to prevent further damage by the winds that come off the sea (and we live about 3/4 of a mile inland!). The costs are high, but it is essential work.