End of Mortgage problem.

DigDag

My mortgage has come to an end and I have no foreseeable way of paying it off [for various reasons] short of selling the house. Which I am willing to do, my mortgage is about £26,000 on a house worth approx £300,000. If/when I sell the house, I might have to move to another area where house prices are cheaper.

Problem is I have never bought or sold a house, so haven't a clue with the process. I will be paying cash, so might be easier. But something I need info on.

My bank is threatening solicitors and repossession, so I am awaiting solicitors letter. Some information on what I can expect to happen would be helpful. What is the best way for me to proceed?

Also what is the breakdown of costs I can expect from the repossession, if I'm not able to avert the repossession?

Thanks in advance.

la531983

Have you actually had a conversation with the bank about it?

cymruchris

I would say you need to engage and make your position known, and your plans clear. Have you spoken to them to let them know what you're going to do?

MWT

If you want to down-size then of course selling and doing just that should be the priority, and while it would have been better to have done that before your mortgage ended, it is likely that your lender will hold back on the legal actions if you can demonstrate that you are serious about selling and have the house on the market...

On the other-hand, if you don't really want to sell, depending on your age you may have other options like a Lifetime Mortgage (equity release)...  Being 55+ would open up this possibility for example.

There are other options as well, have you actually talked to a mortgage broker to see if there are any possibilities as it really isn't a large sum of money that you need...?

Caz3121

might be worth revisiting your thread from 2022 https://forums.moneysavingexpert.com/discussion/6371673/mortgage-coming-to-end-how-to-pay-back#latest

BoGoF

All you are doing is racking up additional costs that is going to result in less funds for the place.

Engage with the lender and get an estate agent round asap.

MWT

Caz3121 said:

might be worth revisiting your thread from 2022 https://forums.moneysavingexpert.com/discussion/6371673/mortgage-coming-to-end-how-to-pay-back#latest

Thanks for the link and yes, the advice back then still stands, and really should have been actioned by now, but as ever, we are where we are now so getting the house on the market ASAP seems like the best answer if the plan is down-sizing for sure...
The one option that has been used and cannot be used again is 'do nothing'...

cymruchris

Looking back at your previous thread where you're talking about your health issues - it would still be better to pay someone to come in and pack for you and get yourself moved rather than wait for all the unpleasantness that comes with repossessions and court orders. If they get that far and try and evict you, the costs will mount up considerably, and when they auction off the property you'll end up with a lot less in your pocket than if you get something done now - but the emphasis is on doing something NOW! Do you have a family member of close friend that could help you out? As much as you might need some work on your knees - that is NOT going to stop the process.