Financial advice for AUS expat selling home with negative equity

[Bobsie Jones]

Hi, I am living in the UK and need to sell my Western Australian investment property which is in negative equity. Can anyone provide the most sutiable financial advisors for this situation or maybe what I should be looking for? Thanks

 

[dx100uk]

sadly no we are uk based as you can see , and anyway, we don't allow that kind of  advise regarding who's good or not. 

 

one thing we have seen though, is should this result in a continuing AUS debt regarding the shortfall, it very easy and i believe free or if not virtually free to go BK in aus from the uk via the interweb.

 

the details are in one of the many aus debt threads in this very same forum.

 

dx

 

[unclebulgaria67]

Might it not be worth contacting the Australian Mortgage company in writing, to ask them what options are available.  

 

Although it might be your debt, there are probably Australian financial services regulations, where the Banks have some responsibility in trying to assist customers.   Can you let the property out for a period and just cover the mortgage, until the property market improves ?

 

You say it is an investment property, but don't mention why you are having to sell, when you stand to owe a debt, after selling it.

 

Best advice is to put the ball back into the Banks side of the court and see how they reply to a request for help..  Exhaust all possibilities before incurring a debt.

[stu007]

Couple of links for you:

 

https://www.afsa.gov.au/insolvency/cant-pay-my-debts/dealing-debt

 

https://asic.gov.au/regulatory-resources/credit/responsible-lending/responsible-lending-disclosure-obligations-overview-for-credit-licensees-and-representatives/

 

https://sitesearch.asic.gov.au/s/search.html?query=mortgage&collection=asic&profile=asic

 

 

[Bobsie Jones]

Hi, thanks for info I will review those links. 

 

We have tenants in the property but the rental does not cover the mortgage & fees and hasn't done for a few years. The cost of keeping the property has used up our savings and now the bank will not extend our interest only mortgage, hence the requirement to sell.

 

The bank actually values the property above the outstanding mortage so it looks like we have a little equity. However, speaking to Estate agents they value it at much less and I need to factor in selling fees.  

 

I will to talk to the Bank but I want to be prepared of the possible outcomes or reporcusions before doing so. Extending the interset only at this stage is too late. My ideal outcome would obvisouly be to walk away without debt, or at least know if won't effect any finances and credit ratings in the UK. I understand my credit rating will be damaged in Aus but I am prepared for this as I don't plan to go back anytime soon.

 

dx100uk

- What is BK, can you provide links or more info?

- I don't nessecarily need recommendations but more just what to search for? Is it AUS expat finacial advisors or foreign real estate negative equity advice? I want to understand my liabilities. Googling has not thrown up the services for my circumstances.

 

stu007, thanks for the links but does not really help in trying to undderstand my liabilities as an expat. The reverse mortgage deals sound great but I doubt I have one of those, will check.

 

[dx100uk]