ParanoidPost
Registered User
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Long time AAM user/Frequent Poster going anonymous on this occasion as I am very embarrassed about my situation, although it seems trivial compared to others.
Personal and income details
Income self: 75k, public servant, permanent job
Income partner/spouse: 40k, secure and permanent
No children
Home loan
Amount outstanding: 320k
Value of home: 150k-200k
Interest rate: Tracker, currently 2.5%, 29 years remaining
Monthly repayment: 1200
Amount in arrears: None - the mortgage is fully paid to date and always has been.
Other loans and creditors
No other loans or debts. I own my car outright and clear my credit card balance every month.
Other savings and investments
Approx 35K in savings. I save a minimum of €200 per week, usually twice that. My O/H is not much of a saver.
How important is retaining the family home to you?
I don't care about keeping the family home.
Our Situation
My employment moved some time back and I went with it. Luckily my O/H was able to secure employment in the same location and our ultimate aim is move there permanently. But for the past number of years, we have been commuting approx. 2 hours each way every day, which is no longer an option. It has nearly killed us, both actually and metaphorically! Fortunately, we both have good jobs and can afford to pay our mortgage.
But we are unsure about what to do with our property in the long term.
Options
1) Rent out the property and rent a new home for ourselves in new location. This means loss of mortgage interest relief/TRS and possible loss of tracker, so the monthly rate will increase significantly, as well as being liable for tax on the rental income. I am reluctant to become a landlord to be honest.
2) Leave property empty and divide our time between the 2 locations - not financially viable in the long term.
3) Try to sell and carry the shortfall of over €100k to a new mortgage or as an unsecured loan (bank might not agree to that!)
What is your preferred realistic outcome?
We are not looking for a debt write down or anything like that. But I would prefer to be paying the debt on a home we can live in for the long term. Continuing the commute is not an option - as I said above, it has nearly killed us so if we have to take a financial hit for a better life, then so be it. We are not in any big hurry to buy another property in the new location but would like to do so within a few years. Any advice would be welcome!
Personal and income details
Income self: 75k, public servant, permanent job
Income partner/spouse: 40k, secure and permanent
No children
Home loan
Amount outstanding: 320k
Value of home: 150k-200k
Interest rate: Tracker, currently 2.5%, 29 years remaining
Monthly repayment: 1200
Amount in arrears: None - the mortgage is fully paid to date and always has been.
Other loans and creditors
No other loans or debts. I own my car outright and clear my credit card balance every month.
Other savings and investments
Approx 35K in savings. I save a minimum of €200 per week, usually twice that. My O/H is not much of a saver.
How important is retaining the family home to you?
I don't care about keeping the family home.
Our Situation
My employment moved some time back and I went with it. Luckily my O/H was able to secure employment in the same location and our ultimate aim is move there permanently. But for the past number of years, we have been commuting approx. 2 hours each way every day, which is no longer an option. It has nearly killed us, both actually and metaphorically! Fortunately, we both have good jobs and can afford to pay our mortgage.
But we are unsure about what to do with our property in the long term.
Options
1) Rent out the property and rent a new home for ourselves in new location. This means loss of mortgage interest relief/TRS and possible loss of tracker, so the monthly rate will increase significantly, as well as being liable for tax on the rental income. I am reluctant to become a landlord to be honest.
2) Leave property empty and divide our time between the 2 locations - not financially viable in the long term.
3) Try to sell and carry the shortfall of over €100k to a new mortgage or as an unsecured loan (bank might not agree to that!)
What is your preferred realistic outcome?
We are not looking for a debt write down or anything like that. But I would prefer to be paying the debt on a home we can live in for the long term. Continuing the commute is not an option - as I said above, it has nearly killed us so if we have to take a financial hit for a better life, then so be it. We are not in any big hurry to buy another property in the new location but would like to do so within a few years. Any advice would be welcome!