Large Write down-where can funds be got.

Discussion in 'Mortgages and buying and selling homes' started by Mr peabody, Feb 13, 2018.

  1. Mr peabody

    Mr peabody Registered User

    Posts:
    15
    Hi all. I'm looking for advice.
    We currently have a mortgage with a surprise lender on the family home.
    We have negotiated a potentially large write down.
    Mortgage is currently €360,000 and they seem willing and keen to accept €100,000.(house value now at €160,000 but location very poor hence a slow sell).
    The only bad score on my credit rating as of last week is on the mortgage where 24 scores of 9 are recorded(€1,000 a month being paid for several years but should be around €2,100/month).
    Has anybody any advice on where to go for the money as the banks have zero interest in doing anything based on the credit score.
    Any help and advice greatly appreciated.
     
  2. RedOnion

    RedOnion Frequent Poster

    Posts:
    1,380
    Hi, Pepper might be an option. Expect to pay a higher rate though - around 4.5%. However they only lend for property in certain locations so might not be an option for you.

    If you've a history of repaying 1k per month, that should be sufficient to cover a 100k mortgage.
     
  3. Brendan Burgess

    Brendan Burgess Founder

    Posts:
    35,021
    If pepper wont do it

    Can you borrow from family? This is the sort of extreme deal which makes it worth it.

    An alternative would be to do a sale and lease back with someone you know.
    They buy the property for 160k. You get 60k profit. You pay market rent with an option to buy in 5 years.

    Brendan