# 60 year olds likely to get into mortgage arrears



## orlat (6 Mar 2011)

Age: 60
Spouse’s/Partner's age: 63
Annual gross income from employment or profession:33000 
Annual gross income of spouse: 28000 approx

Type of employment: e.g. Civil Servant, self-employed Private sector 
Spouse - short contract
In general are you:
(a) spending more than you earn, or
(b) saving? saving

Rough estimate of value of home 270000
Amount outstanding on your mortgage: 389000

_Edited by Brendan Burgess for clarity. Are the figures correct?_
*Home: *value: €270k ; mortgage:389j; deficit: €120k 
*Investment Cottage: *Value: 140kMortgage:€250k; Deficit: €110k
*Old family home;*Value : 200k; mortgage: 0 ; value €200k
Net deficit: €30k 


*What interest rate are you paying? 5.25 io*

Other borrowings – car loans/personal loans etc
investment property - was 290000, balance 250000 IO

Do you pay off your full credit card balance each month?dont use it 
If not, what is the balance on your credit card? 

Savings and investments:
was supposed to be the investment property
Do you have a pension scheme? 
no
Do you own any investment or other property? see above

Ages of children: none

Life insurance: no


*What specific question do you have or what issues are of concern to you?* We bought at the height of the boom, and failed to sell our original home as my brother wanted to buy it (its built on part of his land, the tail end of the farm). He changed his mind, but we were'nt too worried at the time as we thought we could sell anytime. We had had a cottage as an investment, and were renting that out )and still are) with a view to selling it this year, as the IO is up in April. Its with ptsb and we got a letter asking for principal and interest on the cottage. Its worth so little that we're lucky to be renting it at all, and have also been able to rent out old home to a man working on the farm, but for very little (400 pm). My husband lost his job last september and is doing a driving job, and there is talk of redundancies at my office, but no action yet. We really dont know where to turn. Quite sick with worry. Will we go bankrupt?


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## Guest105 (6 Mar 2011)

I am rather surprised given your ages that you decided to take on so much debt and the banks were equally responsible for giving it to you. You are on  the wrong side of 60 and far too near to retirement to be worrying about this huge debt.  I think you should go along to mabs and have a talk with them.


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## orlat (6 Mar 2011)

Thank you for your replies to date. Just to clarify:
Old family home (no mortgage) -            probably worth 200000
Investment cottage - balance on IO 250000 - might get 140000 (if that)
Present home -         Balance on IO 389000 - might get 275000 (if that) 
No sales (agressive or otherwise) in this area in past 4-8 months. We did expect to sell old family home for 499000. We did not expect what happened.


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## Brendan Burgess (6 Mar 2011)

OK

I have deleted all the posts which were based on a misunderstanding of your position. 

Your net deficit is abourt €30k depending on the value of the houses. 

The problem is that you are overexposed to property and if property falls further, your position will get much worse. 

I think you should put all properties on the market and sell whichever you get the first decent offer for. 

Ideally you should sell at least two of them as you can't afford the risk of further price falls. 

Brendan


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## orlat (6 Mar 2011)

Thank you Brendan and others for the replies, but two of the houses are being marketed as aggressively as we can. We are on our 4th estate agents. There are 'hits' on daft and 'my home' and houses have 'all offers considered' and other EA parle, but no follow-ups. We are both very stressed.


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