3 Reasons Why Welsh Families are Forced to Sell Their House

I have some family members that would find this article beneficial. With permission I can share.

For most people, property is the biggest financial asset we have. But when you’re in a difficult situation, it often forces you to reconsider maintaining your home in favour of using the money for better uses.

And depending on where you are in the country, this could mean big money.

London is no longer the only place to make a profit on property though. In fact, in 2018, the prices of property in London declined at a rapid rate while parts of Wales saw an inflation increase of over 10% in a bid to beat the new stamp duty rates.

While this is good news for anyone looking to sell their home, there may be circumstances which force the issue sooner than expected and in some cases using a cash home buyer service is a very useful option – here are three reasons why families may be looking to do just that.

Redundancy
Losing your job is a stressful and emotional occurrence, but it also impacts a lot of practical issues too, such as how to keep paying the bills and keep a roof over your head. In particular, if the redundancy was sudden and without warning, then your need to act fast is even more important.

For most people, mortgage repayments are the biggest monthly expense, so this is the top priority.

It is important to consider the mental health implications of losing your job too and getting help if you need it – https://www.nhs.uk/conditions/stress-anxiety-depression/mental-health-helplines/

Unless you have insurance to cover you if you become unemployed, the most sensible and proactive solution is often to sell your home and use the profit to pay off your mortgage.

If you can act quickly, you’ll be able to avoid any repossession action from your bank, who typically won’t pursue this until you’re four months or more in arrears.

Debt
If you’re struggling with debt, then you’re likely to already be familiar with the threats of repossession.

If you’re dealing with large debt repayments each month on top of your monthly bills and mortgage it may be too overwhelming. Lately, there’s another risk attached to owing money too – charging orders on homes.

What this means is that debt-purchase companies can apply to a court for an ‘order for sale’ which forces people to sell their homes to settle debts, big or small.

For many families, this is too much to deal with and the relief that comes from selling their home to pay off debts and start afresh is more appealing.

Selling your home to pay off debt is a big commitment and you should consider all possible option before choosing to do so, but it can also give you the opportunity to free up the money you’re already spending on repayments and start again with the knowledge of how to budget effectively under your belt.

If you are struggling with debt this may help – https://gov.wales/topics/people-and-communities/communities/debt/advice/?lang=enhttps://gov.wales/topics/people-and-communities/communities/debt/advice/?lang=en

Negative equity
Negative equity affects hundreds of homes around the country and can be a real problem if you’ve outgrown your home or need to move to a different area for a new job.

Unless you can rely on savings to help repay the difference between the value of your home and the remaining mortgage, you’ll find it difficult to move.

It can also pose a problem if you need to remortgage, to a fixed rate or just a cheaper deal to save money.

There are possibilities to sell your home if you can gain permission from your lender – you’ll need their approval as they can prevent a sale from going through if the price doesn’t cover the outstanding mortgage.

Often this means assuring them that you obtained the best possible price for your home.

Whether it’s due to the bills racking up, threats from companies you owe money to, the need to relocate quickly or changes to a relationship, there can be many reasons why families need to sell their home fast.

If you find yourself in a situation where you think selling your home is the best option, make sure you get as much information on the matter as possible and research the property prices in your area, so you can gain an understanding of what your home is likely to be worth.

Leave a Reply

Your email address will not be published. Required fields are marked *