Shared Ownership Nightmare

M0llie

I bought my house 14 years ago for €114k through the shared ownership scheme on a 50/50 basis. I had a meeting with the county council yesterday and was distraught to discover that even though my payments over the last 14 years total over €56k I still owe €106k on the house. I am currently unemployed but my partner is working part time. I am €15k in arrears and trying to come up with a solution to this mess.
Is anyone else in a similar situation or can anyone advice me on this?

seamus

Sounds about right. The shared ownership scheme meant that you were only paying rent on the council's part of the house. In order to actually own the house outright, you would have to get a new mortgage to cover their half.

Presumably you own the other half of the property outright at this stage? The amount you owe is relatively small - have you tried approaching a bank to see if they'll give you a mortgage for the €106k?

M0llie

Hi Seamus, no this is still on the first half
Havnt approached a bank, unlikely I would get a mortgage being 15k in arrears and not working at the moment.

pwurple

And Penalties and interest mount up on arrears very quickly. Best case is to engage with the lender and renegotiate the scheme so that you are not in arrears (get that amount taken into the loan) and the repayment amount is more manageable so you don't fall into arrears again.

Also, look into additional supports with social welfare. Family income Support etc.

Van.Bosch

M0llie wrote: »

I bought my house 14 years ago for €114k through the shared ownership scheme on a 50/50 basis. I had a meeting with the county council yesterday and was distraught to discover that even though my payments over the last 14 years total over €56k I still owe €106k on the house. I am currently unemployed but my partner is working part time. I am €15k in arrears and trying to come up with a solution to this mess.
Is anyone else in a similar situation or can anyone advice me on this?

They dont seem to make sense to me, what were your repayments, interest rate and term? Were you interest only for a portion?

Claw Hammer

M0llie wrote: »

I bought my house 14 years ago for €114k through the shared ownership scheme on a 50/50 basis. I had a meeting with the county council yesterday and was distraught to discover that even though my payments over the last 14 years total over €56k I still owe €106k on the house. I am currently unemployed but my partner is working part time. I am €15k in arrears and trying to come up with a solution to this mess.
Is anyone else in a similar situation or can anyone advice me on this?

56K in 14 years is 4k a year. Less than €80 a week. Given interest on the loan, what sort of equity build up would you expect? €80 a week wouldn't rent a back shed.