Anyone had a morgage and lost there job

Dickyb0b

Dickyb0b

Dickyb0b

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What happens when you have a morgage and you suddenly loose you're job, do you have to move out and loose everything that you already paid for or is there another way?
 
Not that I have experience, but there is always the possibility of discussing things with your mortgage provider. It's in their interest that you make the payments - they might offer an alternative mortgage payment provisions.
 
We would need specifics otherwise the question is too general. For example, you may have insurance that covers your mortgage for x months during periods of unemployment or have savings that can be used to pay the bills until new job comes along.
 
It depends, a lot, on the deal/situation you're in. I.e. conditions of the mortgage (some allow for payment holidays), and any insurance you have.
 
but if you can't make the payments and told to move out , what happens to the money you have been paying towards it?, do you loose it?
 
Dickyb0b said:
but if you can't make the payments and told to move out , what happens to the money you have been paying towards it?, do you loose it?
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The mortage provider will only be entitled to the money that it was orginally owed.

So for example, if the mortage was worth £100,000 and the house was worth £250,000 and £20,000 had been paid in instalments to the mortgage provider, then on the forced sale of the house the provider would be entitled to £80,000 with the remainder reverting back to the buyer of the house.
 
My brother was unfortunately out of work for 6 months last year, his mortgage provider gave him a 3 month payment holiday and then another 3 months on half the normal amount; fortunately he found a job after that.
As has been already said it is in the mortgage provider's interests to help as they will almost always make a loss on a reposession.
 
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Dickyb0b said:
What happens when you have a morgage and you suddenly loose you're job, do you have to move out and loose everything that you already paid for or is there another way?
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Depends. I've been out of work, but was still able to pay our mortgage on unemployment benefits. I am currently studying (undergraduate), so we're paying the mortgage with a combination of my student allowance and my wife's social security money.

:)
 
Dickyb0b said:
but if you can't make the payments and told to move out , what happens to the money you have been paying towards it?, do you loose it?
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It isn't 'lost' - it's money you've put towards paying off a debt. It is no longer your money, no, but your debt is smaller.
 
right so thats income support, so atleast you know you will recieve that for a few years and no need to worry about loosing it.
 
i've moved job a few times, lived outside of the country and been self employed during the course of my mortgage, most allow payment holidays for a short time, but generally if you can make your payments they don't care!
if you have only been given notice of losing your job you could switch to intrest only for a while, a bit easier to manage the money then
 
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