Help!!!

La_Contessa

I am not sure what to say or how to voice my fears.

I was doing really well and helped my sis out of a sticky situation, but now it has landed me in the dog doings, as she did not contribute financially to the situation I got her out of, as she promised she would when I stepped in to help her...is a long story...however I am now in a debt nightmare. I have several properties but one is not performing, and I was going to sell it off when its special rate ran out but along comes this credit crunch and properties are sitting doing nothing, not a good time to sell.

the other houses are let out, performing well and covering each other, but one is not, it was used as a temporary cash cow, which would have been fine if sis had fulfilled her side of bargain financially to me. Now I am trying to find a way out... I have an excellent credit history, all payments up to date but after this month. I am so upset, and feel so alone, I don't how I am going to cope if nothing short of a miracle occurs. I have worked so hard, I keep crying all the time as I don't what to do

bottom line what I want to know is if I stop paying mortgage on this one particular house, and try to sell it via auction or whichever way, will this affect my other houses, ie will the bank make me sell the other ones, even though their payments will be fine and covered.. will I lose it all just over one house, can I file bankruptcy for just one debt or will I lose all properties what are my options. I know my credit history will be ruined...but at least I can save the other properties and leave them for a few years till things settle as they are paying for themselves.

I am sorry I have not been very clear but I am really panicking now... any advice will be gratefully received. I am so glad I have found this forum.. It helps just connecting with you all


please help

MrsTinks

You can't file bankrupcy for one debt - YOU will file bankrupcy and ALL your assets and debts will be considered.
Can you not find another tenant for the house? Or contact the mortgage company and ask for a payment break?

La_Contessa

thanks for your response

I am looking to let it out but it will have a shortfall of approximately £400 per month, i could look at paying less to the bank or getting a payment break but I do not know the set up or what I should be asking for talking to.

I am desperately looking for answers but do not know where to look as I have never been in this situation before

Luckystepho

Is the mortgage interest only? If not, could you get it onto interest only to reduce monthly payments?

kazwookie

Get your sister to pay the shortfall, or sort out what ever the problem is between you both.

La_Contessa

thanks for both responses,

unfortuntely it is already an interest only, and my sister has no money to help me, she suffers from depression, it is such a long story, it would take far tooo long to explain, but I am in this alone really and I have to find some way of riding out the storm

I am looking at possibly selling at auction, but this is risky, and I am unsure or remortgaging possibly, so much is going around in my head.

it is funny but this site, it makes you feel more supported...;)

MrsTinks

SO is she living in the property? Or can you not get tenants in?

Buffythedebtslayer

ok,first thought is there no way you can get a second job to make up the short fall? sorry if that's ridiculous,

If your sister is staying in the house and you won't be able to move her can you put the rent up any where else? when they renew contracts?

I understand you don't want to spill your guts entirely re your sister, its just not exaclty why you can't get new tenants - just read your first post - its not performing - so you can't find tenants? can you lower the rent any more? it is a difficult balance isn't it?

my other suggestion ( not very MSE) borrow the money to cover the short fall? not great but would give you breathing space.

Good luck hon

xx

La_Contessa

No she is not living in the property. she has ended up in council housing...not bad house in a very nice villlage tooo.....

Basically she had her own place which my ex tried to swindle off of her (which is why he is my ex!) (it is all very complicated) When I found out what he was planning I left and moved into this other house which I had purchased initially to do up and sell and it made a lot of money as a result, but I did not sell it, I moved into it instead. So I remortgaged it and I moved into it when I left him, as he was now trying to swindle me out of my properties, so I was in the middle of 2 massive legal battles, I refinanced this house to pay for legal fight against him, and then a judge found out that he was suing both of us (my sister & I seperately - basically everything was his, and we owned nothing!), and wanted to consolidate both cases, which he could not do as judge would see his entire case was all fraudulent, so he dropped case against me, but at this point it had already cost me a fortune in legal fees. However, he continued to pursue my sister through the courts. Then my sister was diagnosed with serious depression, I took on her fight, and we eventually won, as our evidence was overwhelming. Basically he tried to get her out of her house on a technicality, but the judge would not allow it and when she saw our evidence she chucked it out of court. but at this point my sister's money all gone and her credit history was ruined. I had to buy house off her to keep it. but it was a large plot of land so I tried to get planning for extra house on her plot to recoup her losses and mine ,and eventually got it for 2 flats, but not an extra house, which apperently is worth less in today's market than the house on it own. So I am now renting this house (my sister's old house) out to tenants. And it is doing quite well. but I only agreed to buy this house in the first place, if she sorted herself out got a job and contributed half the finance which she did not (has not even today) so I am now in a financial pickle......and I have only summarised the details. it was very very very complicated. as the original house I referred to is due to be remortgaged soon, and it has been used as a cash cow for the big legal fiasco he subjected me to, so funds are now limited on it, but it is a wonderful house in a very good part of town but it is how I ride this storm out... The real culprit is him, but sis played her part too in several ways...however my main priority is to either offload this house, which would be a shame, but to sacrifice it and keep the others for future benefits is obviously best way...problem now is I am so tired. I have been struggling up hill for over 7 years now.....what with one thing and another. I had car crash in 2001, and then ill health for several years when this whole thing kicked off which was late 2004 and did not get resolved till beginning 2007.. I would like time out but I have to keep finding solutions...

dont worry though, I do now realise that it is not always good to be the knight in shining armour, saving a damsel in distress, family or otherwise.;)

Buffythedebtslayer

and breathe.

Wow.

you are a seriously good sister. and no wonder you are tired.

major hugs to you.

I guess you are going to have to sell what ever is sellable. God. you can never tell can you - with families and friends I mean.

I really don't know what to say! which is a new experience for me!

xxx

Cleosmum

Could you take out a new case and sue for legal costs?