Forced to sell home- How to pay for repairs on no income before sale

Beldin32

Hi all

Looking for advice on some sort of loan, not entirely sure if this is the right forum area. The meat of the issue is this:

I have been unemployed since Oct 22, through both physical and mental health issues, that are not relevant to this, except to say that my credit rating is a graveyard of missed payments and some personal loans that are outstanding and not paid.

I am at the point now where i can no longer afford to stay in my house, so I need to sell it. However I need to get some small work done to make repairs (broken toilet and leaking bath damaged flooring). I have 0 money, its all gone to paying for living in the house since all my family died 2 years ago.

The house was bought through a mortgage,and the govts help to buy scheme back in 2016, so there are two existing charges on the property as such. Also with no income and no savings, when i move out, I will need to find somewhere else to live, so will need some cash to live on while doing so ..

I have around £150k equity in the house, based on valuations from 3 Estate agents, plus looking at local sale prices in the area. In fact my neighbour next door sold his for the price that was very near to Estate Agents pricing, less than 2 months ago, so i am confident in my house valuations.

Sorry for the long-windedness.

So my question (finally) Is there some sort of bridging loan, short term loan,financial vehicle available to someone like myself, with no income, no savings, very poor credit history, especially over the last 3 years, but an asset to use as security, albeit as a 3rd charge on the home.?? If there is some sort of loan available, any ideas on where to look ? It will be very short term, and i realise i will be shafted on interest rates, but needs must.

I cannot afford to pay for a PFA up front, as I am not joking on the no money, at present trying to survive and feed 3 cats and myself on less than £400 per month lol, and the savings ran out finally last month.

elsien

The estate agent valuations are presumably based on the house in its current state.
So why not sell it as it is - your  buyers are probably going to want to put a new bathroom in anyway. As long as you are upfront about the issues buyers will take that into account when making their offer. 

I’m not seeing the point in landing yourself in more debt for issues which are probably a very small percentage of the total house price, to do up something that’s probably only going to get ripped out anyway. 

Grumpelstiltskin

Are you claiming all the benefits you should be entitled to?

retiredbanker1

It is quite simple - no (earned) income means no loan - you have already been given the best answer - sell the house as it is.

silvercar

If you did the work you would still have to factor in the extra time it would take to get the work done before you can sell. In that time you would have to keep up with minor maintenance and running the house. If it took a few months you would then need to consider the extra heating costs. Better to sell it now, where you can open the windows, let in the air without worrying about the house feeling cold. Buyers often want to put their own stamp on a property, so minor maintenance won’t faze them.

with that much equity and no savings, I would sell asap.

silvercar

Grumpelstiltskin said:

Are you claiming all the benefits you should be entitled to?

This is a good short term solution, but with that much equity any means tested benefits would stop once the house is sold.

Grumpy_chap

Beldin32 said:

Hi all

Looking for advice on some sort of loan, not entirely sure if this is the right forum area. The meat of the issue is this:

I have been unemployed since Oct 22, through both physical and mental health issues, that are not relevant to this, except to say that my credit rating is a graveyard of missed payments and some personal loans that are outstanding and not paid.

I am at the point now where i can no longer afford to stay in my house, so I need to sell it. However I need to get some small work done to make repairs (broken toilet and leaking bath damaged flooring). I have 0 money, its all gone to paying for living in the house since all my family died 2 years ago.

The house was bought through a mortgage,and the govts help to buy scheme back in 2016, so there are two existing charges on the property as such. Also with no income and no savings, when i move out, I will need to find somewhere else to live, so will need some cash to live on while doing so ..

I have around £150k equity in the house, based on valuations from 3 Estate agents, plus looking at local sale prices in the area. In fact my neighbour next door sold his for the price that was very near to Estate Agents pricing, less than 2 months ago, so i am confident in my house valuations.

Sorry for the long-windedness.

So my question (finally) Is there some sort of bridging loan, short term loan,financial vehicle available to someone like myself, with no income, no savings, very poor credit history, especially over the last 3 years, but an asset to use as security, albeit as a 3rd charge on the home.?? If there is some sort of loan available, any ideas on where to look ? It will be very short term, and i realise i will be shafted on interest rates, but needs must.

I cannot afford to pay for a PFA up front, as I am not joking on the no money, at present trying to survive and feed 3 cats and myself on less than £400 per month lol, and the savings ran out finally last month.

Sorry to hear about the difficult time you have been through.

I would sell the house as it is and not worry about paying for the toilet or bath to be repaired.  The new owners can sort that.  They well factor in the costs of a complete new bathroom in any case - so the new bath and toilet you might put in now will simply be in a skip in a short while.