Walking away?

[Carl128]

I would appreciate any coments regarding the following...

 

I am seriously in debt. With mortgage, credit cards etc. So decided to cut loose, sell the house and try to start again.

I have defaulted on my welcome car finance loan, and with my egg credit card and am constantly being harrassed for money.

 

I have a buyer for my house, though there is going to be a shortfall of around £2500 when all goes through.

We are approximately a week away from completion now, but I received a phone call from my solicitors stating a problem.... This problem is to do with planning permission for a front and back porch, but can be overided with me paying approx £250 for an indemnity insurance.

I do not have this money... in fact, I do not have the original £2500 shortfall that I need (most of that is from estate agent fees and solicitors costs) and am considering 'walking away' to save me the £2750 I now need.

My credit history is already shot.... so another dent in it wont do me any harm.

Because I have a buyer willing to pay for the house does this sound like a 'near' sensible idea.

My gut instinct says just walk away. My sensible head says stay and sort it.

Help.

[Bona]

Ok Tell both the Solictor and the Estate agent that you have a short fall and you suggest that they accept a lower fee in order for the house to sell with you paying the £250 if the sale dont go through they will get nohing ( or the estate agent wont) tell them you will arrange to paythem what is owing as soon as you can in monthley instalment I assume you wont have mortgage payment to pay so shouldnt take long

Have you exchanged

[Bona]

If yoy walk away and the house is sold under value you will be chased for the shortfall not an option

[Carl128]

But the house has a buyer, which is why I am tempted to do it as the shortfall wont be much higher than it is now, plus I get the chance of paying over time.

 

I had already tried to reduce the estate agent fees, but to no avail. As for the solicitors, they are only charging £400 which to be fair is very reasonably already.

 

I could probably quite easily 'disappear' until I get my finances back in order. I earn a reasonable wage and just need breathing space.

I am moving in with a friend so there wont be any trace of me anywhere. I dont plan on giving out my new address really

[Bona]

Yes but that buyer cant buy if they dont have free title you need to get it sorted It goes like this the Mortgage has to be paid first any any other charge on the house if the solicitor can pay those out of the sale then fine any other creditors no go that includes tham and the estate agent

 

If it isnt sorted and the sale falls through then it will be repossessed and you will be in worse trouble and believe me you wont be able to disappear they have ways of finding you sorry but its true. It sounds to me if the Solicitor has the completion statement she can complete and pay off the sercured creidtors have you exchanged Be carefull

[Carl128]

Im sure eventually they will catch up with me if I did take that route. But in the short term, perhaps a year or so I can get myself back onto an even keel.

 

Its a desperate course of action I realise that, but one that appeals more and more that I think about it.

[Bona]

What does your solicitor say about the arreas

[Carl128]

The solicitor hasnt said anything about it. At the end of the day, they have been given 2 redemption figures, plus their fees and the estate agents fees.

They simply want me to pay up so the house can be sold and that they get their money. But like I said before, its a case of financially I am seriously going to struggle finding the money.

I feel gutted that I have to pay to sell my house. But with the current climate I took the highest offer going. My initial calculations left me with a shortfall of only about £500 which I could manage. But since then I have been charged left right and centre. Even silly things like a £15 charge from the mortgage company for a redemtion figure add up. Particularly as my solicitors have just requested a second, up to date, redemtion figure. Thats £60 in total for the 2 mortgages.

[Bona]

OK Go and see your solicitor if your house is repossessed which it will be and then sold you will be left with a massive debt We had to sell ours when it was over we started to fight to get the money back for charges solicitors cost ect believe me it has taken three years but we are winning .

A mortgage company can chase you for the shortfall for 12 years and they will add interest for that time Go and talk to the conveyancing solictor it is amazing what they can work out

Just read some of these threads peple who walked away started a new life got a new house along comes the debt and theu have a charging order on there new life back to square one you can loose small amout of debts I have but not what you will be landed with