For most people, buying a property is a once or twice in a lifetime decision. We buy houses with the intention of settling there and making them our home.
Sometimes, however, circumstances change and a property that was once a home can become unsuitable. In some cases this is because a couple have bought together before having children only to find that it doesn’t offer them enough space once they have started a family.
Some families have the opposite experience, finding their busy family home is suddenly too big and empty once their children have moved out.
Sometimes redundancy or career change can force people to move to a new area in order to find work. Homeowners can also find that health problems or old age can mean they can’t get up and down their stairs or they have specialised requirements for their home.
Whatever the circumstances, homeowners can find they simply have to move.
Why is negative equity a problem?
A property is in negative equity when it is worth less than the outstanding mortgage owed on it. This is a problem for homeowners because the sale of the house is not going to be enough to pay of the remainder of the loan, so they’ll have to pay this themselves.
This is a particular problem if you are selling your home with the intention of buying another, as the remaining mortgage costs left after the sale could make a deposit for a new house unaffordable.
How can we help?
There are a number of possible solutions we can offer to resolve your property debt problems, depending on your circumstances, but for many of our clients a sale and settlement is the only solution to their problem.
We have successfully negotiated hundreds of cases every year where we have arranged the sale of our clients’ homes and reached an affordable debt settlement with the lender. In August alone we were able to write off a total of £1,358,569 in unaffordable mortgage debt.
Whatever your circumstances, the first step to dealing with your property debt is to contact Negative Equity UK for an initial free, no obligation consultation with one of our advisors.