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Topic starter
01/08/2011 2:27 pm
hi
wonder if someone can give me a bit of advise please - my trustdeed has ended though waiting for the final letter from KLM - they had taken over the sale of my house to get the equity out of the house, however after the house being on sale for nearly 2yrs and no intrest whatsoever - they have made the decision to abandon the sale of the property and have sent me notice of abandonment of heritable property by trust deed
i was advise at the begining of the year to stop paying my morgage so have not made any payments within the last 6mths - and i am now getting asked to collect the keys from the estate agents and the house is now back with me to do what i want to
however i am not sure what to do - as i really can not afford to pay back the morgage payments i have missed - i know the house will not sell as the building is in that bad a state - and the house 2 doors down went to aution for £20000 dont even know if that sold for that -
I really dont want the house any more- i have settled into a new house and am happy now -
what would happen if i let the morgage company reposses it would i be liable for any short fall - should i be advising the Trust deed that i am even thinking along they lines ( even though TD is finished ) or should i keep the property knowing it will never sell and i will never move back in it ???????
very very confused about it all [V][:(][?] any help would be very much apriciated
clara
01/08/2011 3:13 pm
Hi smithc76.
My understanding is that any mortgage shortfall from the eventual sale of this property would be covered by your trust deed (whenever it sells).
Best to get confirmation of this from one of the other experts though before relying on this information.
Qualified Debt Adviser & Forum Administrator - Ask me anything about Trust Deeds 
01/08/2011 9:19 pm
Hi smithc76
It certainly is a dilems, but you are not alone with the current housing climate being the way it is.
I agree with TDA. Any shortfall would be included as a creditor in your Trust Deed. The mortgage company would have been notified of the Trust Deed at the beginning, and you should not be held liable for the shortfall. You should be able to confirm this with your Trustee.
Shona is not currently posting in the Trust-Deed.co.uk forum.
Topic starter
02/08/2011 8:50 am
hi
thanks for your replys - would this still be the case if my trust is now finished though ?
my trustee have advise me to rent the property out - however i am not even sure i will get it rented 🙁
clara
02/08/2011 9:12 am
Hi
Can you not ask the Trustee to return the keys to the secured lender instead of you? After all, your Trustee has had possession of the property. That is what would happen in my firm.
Shona is not currently posting in the Trust-Deed.co.uk forum.
Topic starter
02/08/2011 11:37 am
my Trustee does not have my keys they were happy for the estate agents to go ahead with the sale - so keys are still with the estate agents at the moment
clara
02/08/2011 1:44 pm
It is still the case that you cannot be chased for the shortfall even though the trust deed is now finished - you are released from all obligations that existed prior to the signing of the trust deed. The mortgage lender is entitled to rely on thier security and sell the house and keep the proceeds but cannot come after you for any shortfall.
Scottish Debt Solutions Expert - Ask me for help setting up a Scottish Trust Deed or Debt Arrangement Scheme plan.
Topic starter
02/08/2011 3:43 pm
thank you so much for all your advise - this has made - making the decissions a little easier - i can not thank you all enough on the website you have all been a great help over the last few mths thanks again
clara
