Hi meepman
You have €120k of negative equity. You are not going to be able to pay this off. And house prices would have to increase by 70% for it to evaporate
An interest rate of 3% is low. 3% of €290k is €9,000 a year in interest.
If you were to rent out your home, what rent would you get for it?
If the rent paid the interest, you could just leave it there and wait for years for house prices to recover.
I think you should put the following proposal to ptsb, and see how they react.
1) I will put the house on the market and pay the proceeds in full to you.
2) In consideration of my cooperation, and in consideration of the loss of the tracker, i will expect you to write off the shortfall.
3) If you do not agree to this, I will apply for a Personal Insolvency Arrangement and seek to have the shortfall written off that way.
4) When they refuse, make a further offer
- I will sell the house
- I will pay off the proceeds
- I will be left with a shortfall of €120k
- I will do my best to pay off €12k of this as quickly as possible.
- You agree, that when I have paid €12k, you will write off the balance
5) If you veto the PIA, I will hand back the keys to you and opt for bankruptcy either here or in the UK.