Advice on voluntary repossession

Smiddy20

Hi all new to the forum
Just wondering anybody as been through volunteering repossesion of there property
as really considering it at the moment.
thank you .

fatbelly

Not usually a good option

https://england.shelter.org.uk/housing_advice/repossession/voluntary_repossession_and_handing_back_the_keys

Why not run this past Shelter and see if you have other options.

sourcrates

Yes i have done it, but i was left with a shortfall debt at the end of it, but i had another house to go to, so still had a roof over my head, you need a plan to deal with the shortfall debt, should you have one.

Usually a debt solution such as an IVA may be better in the circumstances, it all depends on your situation.

HelpingwhereIcan

@Smiddy20 Voluntary repossession isnt a great idea. To give up the home you've paid money into and then be told you may still need to pay more (if you face a shortfall debt) is just beyond me.. The way the market is going at the moment properties are being undervalued anyways as the big fish are trying to protect themselves incase property value drops. 
A friend of mine used a company called repossession property solutions in Yorkshire. They sold her home for her and stopped her having to go to court and even gave her some cash from the sale which she used as a deposit in a rented house. 
Try the charity Shelter.
Good luck!

enthusiasticsaver

I used to work as a mortgage arrears counsellor for a high street bank quite a few years back and voluntary repossession then was the worst option.  The council often would not rehouse as the owner had voluntarily given up the keys, the bank sold the property for only as much as was needed to cover the debt and sometimes there was still a shortfall as they were not interested in getting a  good price for the borrower. My advice would be sell it yourself to get  the best price if it has to be sold.  Are you sure that is the only option? Why can you not meet the mortgage payments?  Have you cut out all other outgoings so you are just focusing on the mortgage and essentials?  Do you not qualify for any benefits help? 

sharpe106

Not much point doing a voluntary repossession what do you gain from it?

Smiddy20

Hi all.
The story is basically i have huge amount of debts so far my credit is in check and missed no payments this is due to change  end of august. The house we bought well  it was done up on the cheap and we fell for it.
It needs huge amount of repairs 
we have a low  income and also we av young children.
My thought process is there  are new build houses  to rent  near us so was thinking rent someone nice why credit is still
in check.
we have tried to sell the house before  bought for 154   Even went to low as 140  but no offers only stupid offers, but the feedback from all viewers was it needs to much repair.
The house is seriously making me so uNhappy its untrue.
I was thinking bankruptcy once rented.
Am i being crazy.

sharpe106

complete a Statement of affairs and I am sure somebody can give you some advice
https://www.lemonfool.co.uk/financecalculators/soa.php

Smiddy20

[font=courier new][b]Statement of Affairs and Personal Balance Sheet[/b][b]

Household Information[/b]

Number of adults in household........... 2

Number of children in household......... 2

Number of cars owned.................... [b]

Monthly Income Details[/b]

Monthly income after tax................ 1300

Partners monthly income after tax....... 550

Benefits................................ 400

Other income............................ 0[b]

Total monthly income.................... 2250[/b][b]

Monthly Expense Details[/b]

Mortgage................................ 570

Secured/HP loan repayments.............. 0

Rent.................................... 0

Management charge (leasehold property).. 0

Council tax............................. 131

Electricity............................. 55

Gas..................................... 55

Oil..................................... 0

Water rates............................. 53

Telephone (land line)................... 0

Mobile phone............................ 70

TV Licence.............................. 13

Satellite/Cable TV...................... 25

Internet Services....................... 25

Groceries etc. ......................... 400

Clothing................................ 40

Petrol/diesel........................... 0

Road tax................................ 0

Car Insurance........................... 0

Car maintenance (including MOT)......... 0

Car parking............................. 0

Other travel............................ 140

Childcare/nursery....................... 40

Other child related expenses............ 0

Medical (prescriptions, dentist etc).... 20

Pet insurance/vet bills................. 0

Buildings insurance..................... 20

Contents insurance...................... 0

Life assurance ......................... 10

Other insurance......................... 0

Presents (birthday, christmas etc)...... 50

Haircuts................................ 30

Entertainment........................... 70

Holiday................................. 0

Emergency fund.......................... 0[b]

Total monthly expenses.................. 1817[/b]

[b]

Assets[/b]

Cash.................................... 0

House value (Gross)..................... 150000

Shares and bonds........................ 0

Car(s).................................. 0

Other assets............................ 0[b]

Total Assets............................ 150000[/b]

[b]

Secured & HP Debts[/b]

Description....................Debt......Monthly...APR

Mortgage...................... 139000...(570)......0[b]

Total secured & HP debts...... 139000....-.........-   [/b]

[b]Unsecured Debts[/b]

Description....................Debt......Monthly...APR

Alfa finance...................4000......0.........0

My loan........................15000.....212.......0

Wifes loan.....................7000......178.......0

Mum dad........................0.........230.......0

Store cards....................3500......130.......0

Joint loan.....................11000.....290.......0[b]

Total unsecured debts..........40500.....1040......-  [/b]

[b]

Monthly Budget Summary[/b]

Total monthly income.................... 2,250

Expenses (including HP & secured debts). 1,817

Available for debt repayments........... 433

Monthly UNsecured debt repayments....... 1,040[b]

Amount short for making debt repayments. -607[/b]

[b]Personal Balance Sheet Summary[/b]

Total assets (things you own)........... 150,000

Total HP & Secured debt................. -139,000

Total Unsecured debt.................... -40,500[b]

Net Assets.............................. -29,500[/b]

[i]Created using the SOA calculator at www.LemonFool.co.uk.

Reproduced on Moneysavingexpert with permission, using other browser.[/i][/font]

That was a quick roundup   I do pay mum dad 230 was 500    As i owe them a alot of money and they need it back tbh

sharpe106

With a quick look at your expenses, sky needs to go, mobiles needs reducing, presents need reducing not nice but you can't afford that amount, food any way of trimming that? batch cooking? 

You have a lot of 0% loans is that right ? if so when do each one end. 

Smiddy20

MobileS contracted  a year left on both but i agree they are too high.
presents i can give a go.
I dont have sky i av netflix and internet.
food  be  hard as me wife eat different food for the most part. but this does include nappies ecigs however.
I really unsure about the aprs  they are  not high thou.
they end
4-6 years The loans.