Should I re mtge

[Lou64]

Hi I don't know what to do ... When me and my partner split 6 years ago I over stretched myself and reached a compromise agreement with him over maintenance which meant I increased the mortgage to buy him out but signed of getting any maintenance from him. Since then I've basically swapped money about consolidating and moving debt until I've now reached the point where I'm 16K in debt and I've had enough.. I've had the house on the market but have had no buyers...I've thought about borrowing on the mtge. to consolidate but it's just adding to the problem really, if I couldn't manage then how am I going to after... I can't have an IVA my job doesn't allow for one... Is there any other option ... I'm so fed up with running in circles and working my socks off and getting no where. I know this is my own making but year on year it's just getting worse ... I need to find a way to hang on 4 years till I'm 55 when I can draw a lump sum from my pension and reduce my mtge

[Randomsaver]

Selling seems to be a good option. I wonder there are no buyers. Maybe get a realtor who can help. Usually they would ask you to spend some to improve the house condition so that it will sell. It is additional debt but a temporary one, something that will get recouped once the house is sold. Then you can downsize on the house to where you feel comfortable re meeting payments.

[billexpo]

Selling won't always work, we really are in a market-dependent real estate world. Things will change with time, and I anticipate real estate values to appreciate significantly in the next decade. It might take another few years before we see the real price upticks, though, as the entire country is currently in consolidation!

Here's what I suggest...

Figure out how much you can rent your home for, then run the numbers. You say you guys split up a while ago, and you obviously had the home together, so there's a good chance you can down-size. If you wanted, you could even lease a condo until you turn 55, or until shortly before.

This gives you a chance to bring down your debt. Your home can rent out, likely at a higher amount than you value your rent, and then you can lease elsewhere for less. This frees up more money to put towards your current debt, allowing you to tackle that issue before grabbing onto any of your pension payout.

This also gives you time to completely re-think your next steps. Plus, a buyer might come along the way - or, the market mood could change and you might suddenly see all your debt gone because of a lift in housing prices.

Heck, you might even be able to hook a "rent-to-own" buyer that can provide a down-payment on the terms. This will give you a good chunk of money to apply to your current debt. The down-payment remains yours if they fail to follow through with the agreement, and you can command a premium on your listing price for the special arrangement. I even know a few people that buy and fix homes just to sell this way, because the profit margins are greater.

Either way, you need to de-stress and sometimes big life changes are the only way you can move forward.

[Fishindude77]

Could also pick up a second job to beef up the income.