Advice please on mortgaged house.

[george]

We have a house which I am paying the mortgage for. It was OK before the oil field down turn.

My question is:
If I default more than 3-months the bank will take house and not pay any of the money back i have paid on deposits of 20% plus and 20-months mortgage payments. Just does not seem right they can claim what i paid in along with the mortgage payments.

Thanks for any advice

[Terpe]

Not sure how it all works these days, but in my day of standard repayment mortgage it was always the case that the early years were totally interest payments.
Nothing off the capital loan for years and years

[Trefor]

I would ask the bank as there are so many variables. It also depends on the property market in your area, which may not be good if you're in Aberdeen right now.

My understanding is if they sieze the property due to non-payment it will be a last-resort (try talking and negotiating something with them, they don't want your house, just your money). When the worst happens they will sell the house and take any money owed from the proceeds of sale and they will give you what is left. The sale price may be lower though due to auction/closure type sale.

[Michael Parnham]

Not sure how it all works these days, but in my day of standard repayment mortgage it was always the case that the early years were totally interest payments.
Nothing off the capital loan for years and years

First ten years on a 25 year Mortgage I believe

[stevewool]

There is always a way to sort this out, you must make a appointment with the lender first,
But if you are wanting just to get rid of it and to walk away, well then do not pay anything else

[SimonH]

Take some time and have a read through this

http://www.keepingyourhome.co.uk/dow...isersguide.pdf

[Michael Parnham]

Take some time and have a read through this

http://www.keepingyourhome.co.uk/dow...isersguide.pdf

Will send you a rep for this later Simon because I've got to spread some yet, The info you've provided is a good read and could be helpful!

[SimonH]

Will send you a rep for this later Simon because I've got to spread some yet, The info you've provided is a good read and could be helpful!

Cheers Michael

Always good to get some positive feedback

[grahamw48]

... the other one was from me.

[george]

Thanks for all the replies. I apologise. In my hurry I forgot to the house is in the Philippines in upcoming area south of Manila.

[SimonH]

... the other one was from me.

Thanks Graham

[SimonH]

Thanks for all the replies. I apologise. In my hurry I forgot to the house is in the Philippines in upcoming area south of Manila.

Well that certainly changes things a bit

A bit more information would be useful;

If it's in an 'up and coming' area then why can't it be rented out to cover the mortgage costs?

Is there anyone living there at the moment?

I presume it was bought as an investment, if so then sell it quick before the bank forecloses.

What type of property and whose name is on the mortgage?

Can you release equity on your property in the UK to pay off the mortgage over there, I know the interest rates are a lot more favourable here.

[fred]

They call them home loans over here... Check this out..Up to 11.5% Annual interest over 15 yrs!!
http://www.foreclosurephilippines.co...parison-chart/

Hard to give advice George..If you cant afford it,you cant afford it..
What bank did you borrow from?? Interesting to see what they say about default on their website.

[fred]

Hang on..Just found this link...Some good legal info for sure..

Many of a real estate buyer pay in installment basis, so what happens if you default because of some reason or maybe you don’t have any money to pay anymore, perhaps you’re having trouble making ends meet because you or a family member lost a job. If you are having trouble making your payment. The best advice you’ll ever get is the law the provides solution to your problem, this is the Republic Act No. 6552 or the Realty Installment Buyer Act...


http://propertyinthephilippines.com/...ent-buyer-act/

[Michael Parnham]

Hang on..Just found this link...Some good legal info for sure..

Many of a real estate buyer pay in installment basis, so what happens if you default because of some reason or maybe you don’t have any money to pay anymore, perhaps you’re having trouble making ends meet because you or a family member lost a job. If you are having trouble making your payment. The best advice you’ll ever get is the law the provides solution to your problem, this is the Republic Act No. 6552 or the Realty Installment Buyer Act...


http://propertyinthephilippines.com/...ent-buyer-act/

Good find

[grahamw48]

Nice one Fred.

[fred]

Thanks for the rep Micheal!!(and Graham)...Not had one of those for a while!!

[Arthur Little]

Thanks for the rep Micheal!!...Not had one of those for a while!!

Come to think of it ... neither've I!

[Arthur Little]

Come to think of it ... neither've I!

Thank you for very kindly rectifying that, Graham ... much appreciated.

[SimonH]

Why doesn't it surprise me anymore when people don't come back to acknowledge the fact that others have taken some time and effort to help them

[fred]

Why doesn't it surprise me anymore when people don't come back to acknowledge the fact that others have taken some time and effort to help them

I`m always surprised why the don`t!!!

[grahamw48]

Takes a while to jack up a house and load it on a trailer.

[stevewool]

Why doesn't it surprise me anymore when people don't come back to acknowledge the fact that others have taken some time and effort to help them

I always say THANK YOU, or would you prefer a rep

[stevewool]

Takes a while to jack up a house and load it on a trailer.

There use to be a program on tv about moving whole houses i think it was called Giant moves

[SimonH]

I always say THANK YOU, or would you prefer a rep

By all means give Fred a rep if you want. It was his useful post I was referring to

[george]

I have /had not forgotten. Busy searching for other information and also searching for a new work assignment, which is difficult due to the oil and gas down turn.
It is in an up and coming area and we live in the house. it is in my wife name as I can't own it under Philippines law. We want to be ahead to stave off if it did come to bank trying to take it back. I would fight these people tooth and nail. One of the so-called friendly big banks already screwed up big time over my incoming payments along with the a big so-called American bank. both banks would not talk to each other. I did all the leg work for them


Thanks to all

[Michael Parnham]

Hope you find a way George, good luck