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Don’t know what to do ☹️

2

Comments

  • sal_III
    sal_III Posts: 1,953 Forumite
    Fifth Anniversary 1,000 Posts
    Everything sells for a price. There aren't many truly unsellable properties. Short lease by itself is not really a reason for it to be unsellable.

    Whether you are happy with that price or not, is a different matter.

    Any price that you can get selling it yourself is preferable to repossession. IT won't be any easier for the bank to sell it, and they will incur costs that will be passed on to you. Any remaining debt will still be owed, it's not as easy as surrendering the property for a clean slate. Your ability to take a mortgage even for your home will be severely impacted for the foreseeable future.
  • DE_612183
    DE_612183 Posts: 4,203 Forumite
    Part of the Furniture 1,000 Posts Photogenic Name Dropper
    sal_III wrote: »
    Everything sells for a price. There aren't many truly unsellable properties. Short lease by itself is not really a reason for it to be unsellable.

    Whether you are happy with that price or not, is a different matter.

    Any price that you can get selling it yourself is preferable to repossession. IT won't be any easier for the bank to sell it, and they will incur costs that will be passed on to you. Any remaining debt will still be owed, it's not as easy as surrendering the property for a clean slate. Your ability to take a mortgage even for your home will be severely impacted for the foreseeable future.

    Also I presume if it is a 2nd home, if the sale doesn't cover the amount owed they can then come after your first home?
  • AdrianC
    AdrianC Posts: 42,189 Forumite
    Eighth Anniversary 10,000 Posts Name Dropper
    Dave46049 wrote: »
    Also I presume if it is a 2nd home, if the sale doesn't cover the amount owed they can then come after your first home?
    "Come after" in what way?

    If they aren't the lender on your primary property, then they don't have any way to roll that debt into your primary mortgage or to enforce the security, if that's what you mean.

    They'll work with you to find a way to settle the debt - but ultimately, they'll take you to court if need be. And, ultimately, losing that court case could result in being petitioned for bankruptcy or a charge being placed on your primary residence.
  • nik_k
    nik_k Posts: 301 Forumite
    Part of the Furniture 100 Posts Name Dropper Combo Breaker
    Davesnave wrote: »
    The debt would stay with you for at least 6 years.

    If your home is repossessed and you still owe money on your mortgage, the time limit is 6 years for the interest on the mortgage and 12 years on the main amount. Therefore extremely important to make the right decision!
  • DE_612183
    DE_612183 Posts: 4,203 Forumite
    Part of the Furniture 1,000 Posts Photogenic Name Dropper
    AdrianC wrote: »
    "Come after" in what way?

    If they aren't the lender on your primary property, then they don't have any way to roll that debt into your primary mortgage or to enforce the security, if that's what you mean.

    They'll work with you to find a way to settle the debt - but ultimately, they'll take you to court if need be. And, ultimately, losing that court case could result in being petitioned for bankruptcy or a charge being placed on your primary residence.


    Yes, that's what I meant - your current home is an asset that would be used in bankruptcy, or you may have to sell it to remove the threat of bankruptcy - either way - not good.
  • Crashy_Time
    Crashy_Time Posts: 13,386 Forumite
    10,000 Posts Seventh Anniversary Name Dropper
    Drop the price.
  • lookstraightahead
    lookstraightahead Posts: 5,558 Forumite
    Sixth Anniversary 1,000 Posts Name Dropper Combo Breaker
    Can't you move in there?
  • sal_III
    sal_III Posts: 1,953 Forumite
    Fifth Anniversary 1,000 Posts
    lookstraightahead wrote: »
    Can't you move in there?
    How would that improve the situation?
  • AdrianC
    AdrianC Posts: 42,189 Forumite
    Eighth Anniversary 10,000 Posts Name Dropper
    sal_III wrote: »
    How would that improve the situation?
    It would enable the OP to sell their other property instead, while freeing enough capital to pay for the lease extension and resolve their other financial problems.
  • flowerpower55
    flowerpower55 Posts: 11 Forumite
    Second Anniversary
    I can’t move in there, our family doesn’t fit in there and it’s too far from where we work. We’re currently in a rented property.
This discussion has been closed.
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