splitting up & mortgage issues

raj1976

Hi - i've got a question i hope someone can help direct in the right direction.
My brother and his wife have recently split and are living seperately, - The problem being that both their names are on the mortgage deeds and she is refusing to have anything to do with the house, she has moved out with their son and will not contribute to the payments - she has some crazy notion in her head that the lender will simply take the keys off them and be done with it! He has tried to explain that its not that simple - but she's not listening!
She has said she'll sign the house to him, whatever, but will not have anything to do with it from now on.
He doesnt earn enough to take the house off his wife, but would still rather sell up quick and avoid being repossessed - is there anyway the lenders will halt payment whilst he gets the house on the market and avoids being repossessed?

sarah_elton

Try posting this question on the mortgages board, or the debt-free wannabe board (where people have the experience of dealing with mortgage companies and trying to get payment breaks etc). You might get more helpful advice there.

I do know that if they get repossessed it'll really damage both their credit scores. Has he explained that to her?

Do they have any equity in the house at all?

SerenaGoode

Is there any equity in the property?

If so one thing he might want to do is explain to her that he will have to deduct any shortfall in her share of the mortgage from the eventual sale proceeds. That might make her stop and think. Basically if the house is shared, her correct approach should be to pay her half until the sale at which point they should split the proceeds. If she doesn't pay now, there has to be an adjustment.

Secondly he needs to talk to people. Firstly to someone who knows his exact rights in the situation, a lawyer or advice bureau. Then to the bank - if he has problems paying they may be able to do a payment holiday or go to interest only to help him while he arranges the sale.

Good luck to him incidentally. It's never easy in these situations.

raj1976

yea thank for your replies, I'll post it on there too.
The mad thing is that there is equity in the house (in fact 2 houses, which makes it all so complicated) but yes he has tried to explain this to her but she is reluctant to listen, she wants to walk away from it all and i think. I have advised him to go to the citizens advice and see if they can help him talk to his lenders. As he is unable to pay for one in whole never mind the two he needs to get her to sign her non interest in the property (if there is such a thing) take payment holidays and put the houses on the market for under the asking price and get rid quick - that way he still might get some equity rather than go through the painfull repossesion route!


man - feel like i'm going through this break-up with him. Families hey!?!