Defaulting on Mortgage and living abroad....what happens?

New to the forum. We are in a tricky situation. Own apartment bought for 460000 which now is worth 200000 max. We owe 400000 on it at the moment. Very bad neg equity I know. We have had to move to the UK for work issues and have it rented out. With such a big mortgage [100%] I have to back the rent with 800euro ofmy own money and it's killing us.
My question is, if we can no longer pay what can banks do to come after us. I haven't even considered tax on the rental income yet. Wouldn't even be in a position to pay it anyway. We did register with the PRTB and am just waiting for revenue to come looking for it. Even if they do ,what can they do if we don't have anything to give them. Any help would be appreciated. I failed to say that we are on a tracker which is the only plus side.
Thanks

I meant to say that this is a last resort and if we could pay we would. After all we did takeout the mortgage but like many, circumstances have changed. I just really wanted to know is how they would chase us in a different jurisdiction ?

Yes they will locate you.... wouldn't you chase someone if they owed you that much money.

Then ...
They will take you to court and take back your house. This may take time and they will be adding more interest each month. You may also have to deal with more stress from waiting for it all to happen.
Then bank will sell the house and you will be liable for the shortfall... difference between selling price of house and outstanding loan.

So what can you do. Well it depends if you want to keep the house or not.

Contact the bank... explain what happened, neg a lower payment for a period of time to allow you get sorted in UK and rent house.

Hand back the house ... you will be still liable for the shortfall but once you give back the house the interest will stop getting added each month. The stress is much less and you can work with the bank to enable you pay the shortfall back at an amt you can afford.

Pay what you can afford each month... the arrears will build up but at least you are showing you are making an effort when/if the bank takes you to court.

Don't mess with the Revenue, they won't come after you until you are liable not only to tax, but to interest, penalties, surcharges etc...
When did you start renting out your property? If it's before 1 January 2011, you have until 31 October to submit your tax return, if it's sometime during 2011, you have until 31 October next year.

Figure out your Irish taxes ASAP, you might have little or no tax to pay, but you must submit your tax return.

And don't forget about NPPR charge at 200 euro per year, if you moved to the UK before 31 March, you should have paid it by 30 June, thereafter 20 euro fine PER MONTH starts accruing... It's not so bad now, as it's only July, so only 20 euro has accrued but it can eventually run into thousands.

Maybe you can declare bankruptcy in the UK and move on with your life after it runs its course. You certainly owe a lot of money.