Behind on mortgage payments

[daisy_luckas]

I have already missed few payments; I had some problems in family and could not continue with the instlallments, now I am in arrears. I am afraid of repossession, what are my options? Can I sell my house and clear the debts?

[IFA]

Hi Daisy

Most importantly - contact your lender before you do anything else and explain the circumstances to them, they may be able to help.

Secondly it might be wise to seek debt advice from a reputable and trustworthy source such as Citizens Advice Bureau, they will be able to explore all of the options with you.

It may be that selling the house is a sensible option (providing there's enough value in it to clear the mortgage and arrears), but speak to someone face to face before you take any drastic action.

[daisy_luckas]

The problem is we are not able to pay the arrears, what we earn goes for the family expenses; not sure how to convince the lender about my situation. Can anybody guide me on how to get a valuation of my house? Will a cash buyer provide me free valuation of the property?

[Sean Hughes]

Hi,
That's great advice from IFA. Definitely speak with your lender as well as approaching the Citizens Advice Bureau.

In terms of a valuation you will be able to get local estate agents to look at doing one if you intend to sell the property through them. A cash valuer may well provide you with a valuation, but you must question whether there is a conflict of interest there.

In respect of convincing your lender about your inability to pay your Mortgage payments, complete an income and expenditure sheet. In other words put a document together detailing your monthly income and each monthly cost too. The lender will then be able to see the difference between what you earn in income and your outgoings and this should help

If you need an income and expenditure template you should be able to find one online on Government websites