Negtive Equity and all that

[WhoreLex]

Going by a randon propery valuation website (zoopla) it would appear that our place is now worth substantially less than when we bought it (no shock there) but its down from £150k to £122k, a large loss.

Which means we're in negative equity, so what does that mean if we were to sell the place?

Would the outstanding debt from the mortgage just be put onto any new deal that we tried for or would we have to stump up the 20k outstanding before doing anything else?

We're not looking to move for a least a year or so.

It's my thinking to just rent the place out as I dont think the prices will recover in time.

[WhoreLex]

Yeah I thought as much, the misses said you could take the outstanding debt and transfer it to a new mortgage but it sounded unlikely.

[WhoreLex]

silver.fox.2008 said:

weLex said:

Going by a randon propery valuation website (zoopla) it would appear that our place is now worth substantially less than when we bought it (no shock there) but its down from £150k to £122k, a large loss.

Which means we're in negative equity, so what does that mean if we were to sell the place?

Would the outstanding debt from the mortgage just be put onto any new deal that we tried for or would we have to stump up the 20k outstanding before doing anything else?

We're not looking to move for a least a year or so.

It's my thinking to just rent the place out as I dont think the prices will recover in time.

Did you put up a deposit when you purchased or was in 100%?

E.G If you put up say 20k deposit then the mortgage should only be for 130k leaving you with a shortfall of 7k to repay to the lender.

95 % so were pretty screwed, well not screwed per say just won't be able to move as planned