I have a fixed interest mortgage on my house (NE~90k) and a tracker mortgage on an investment property (NE~135k). I'm not struggling to make repayments, but I hate my job and I'm left with very little disposable income, hence I've decided to emigrate. I have no intention of remaining a landlord from a couple of thousand miles away so will be leaving the properties empty (letting both will leave me a few thousand short each year anyway). As I plan on emigrating in order to return to full-time study, probably for 4-6 years, is there any point in me even talking to the banks? I won't be able to offer them any repayments once I leave. I've no problem going to the UK first for a year for bankruptcy there. Seems to me the banks are going to lose the negative equity portion of the loans no matter what they or I do. Would the banks agree to write off some debt if I tell them I might stay here after all?
Personal and income details
Net (i.e. after tax) Income self: Private sector employment:E38,000
Home loan
Lender:ICS
Amount outstanding: E270,000
Value of home: E180,000
Interest rate: fixed rate 5%
Monthly repayment:E1500
Amount in arrears: None.
Investment property - Delete if not applicable
Lender: AIB
Amount outstanding: E235,000
Value of home: E99,000
Interest rate: tracker
Monthly repayment :E870
Amount in arrears :None
Monthly rent received :E800
How important is retaining the family home to you?
I don't care about keeping the family home.
What is your preferred realistic outcome?
My preferred outcome is that I end up free from all debts.
P.S. I have not decided to where I'll be emigrating. I have options from colleges in various countries including some from outside the EU.
Personal and income details
Net (i.e. after tax) Income self: Private sector employment:E38,000
Home loan
Lender:ICS
Amount outstanding: E270,000
Value of home: E180,000
Interest rate: fixed rate 5%
Monthly repayment:E1500
Amount in arrears: None.
Investment property - Delete if not applicable
Lender: AIB
Amount outstanding: E235,000
Value of home: E99,000
Interest rate: tracker
Monthly repayment :E870
Amount in arrears :None
Monthly rent received :E800
How important is retaining the family home to you?
I don't care about keeping the family home.
What is your preferred realistic outcome?
My preferred outcome is that I end up free from all debts.
P.S. I have not decided to where I'll be emigrating. I have options from colleges in various countries including some from outside the EU.