Shared Ownership - Worse off

Just wondering if anyone else is in the same boat as me. Got an apartment through DLRCC under the shared ownership agreement back in 2005. We had to put 20k of our own money towards the property as we had reached the limit of what the council could lend us.

Because of the way things are at the moment, the apartment is worth 300k (if even), if we sold and got this amount we would have to pay the 225k that is left owing on the property plus 58k clawback leaving us with only 17k. So not only are we down on the amount that we had to add to the property but the money we have spent on the mortgage over the last 4 years have been for nothing, while the council walk away with 58k .... how can this be right, feel like we have been royally scr€wed

I dont think..I know there have to be loads of people in your situation especially in DLR.

The thing is though - and you are not going to be happy with my responce - you did get the apartment at a reduced rate. There are others who would have bought the same time as you on their own and they are in negative equity.

Would you be complaining if the price of property went up?? No one forced you to go down the route you did...

I feel a bit sorry for the OP even if Pinkybear is right I would think there are very few people in the country not in negative equity if it makes teh OP feel any better. The reduced rate was reduced from a very high market rate at the time especially in DLR. I hope this isnt considered discussing house prices....

PinkyBear, I completely agree with you, there are people in a much worse position than I'm in and I know in reality that I shouldn't really be complaining, I guess it makes me a little sick to think that the council would come out of it with so much money, they are suppose to be there to help people, yet I feel I would have been better off without them ... but you're right I wouldn't be complaining if it was the other way around and prices were going up.

Its just hard to know what to do in this situation. Selling isn't really an option as nothing is moving and I'd be afraid to buy out the council at this stage in case prices fell even further, I guess we'll just have to sit pretty and see how things pan out.

Hi Bowen,
What was the MV of the property you bought in 2005?

Vicks

It was 305k but before we signed and were given the keys it was increased to 325k