My best friend was last year repossessed by Halifax,his girlfriend moved out leaving him financially unable to live alone.After months of uncertainty they were repossessed.He is now in a stable relationship and are expecting thier first child.They live in rented accomodation at the moment but wish to buy somewhere of thier own.Do they have a waiting period to adhere to before this can happen?.My friend is is full time employment with a good salary please could you give him some advise. Thanks

-- deborah clarke (debsclarke69@hotmail.com), March 20, 2002

Answers

Halifax has six years and possibly 12 years from the date of default on the mortgage that ended in repossession in which to chase him.

If they buy somewhere then Halifax could - if it proves any future shortfall debt that it alleges as a result of this repossession - register a charge on the new house and take a profit on the sale of it.

In my opinion, therefore, buying a house is a dangerous option for him.

He should either wait 12 years to be safe or she should buy the house and hold any mortgage in her name only.

However, in my opinion, nobody should be buying a house at the moment because prices in most places are looking unsustainably high.

I would like to set up some way for repossessees to rent-buy so that the property is not in their name until long after any previous shortfall debt has either expired or has really been settled. Unfortunately I don't have the cash!

Lee

-- Lee (repossession@home-repo.org), March 20, 2002.

I totally agree with you Lee. The way the housing market is looking very similar at the moment to how it was when we bought our property back in 1989. What goes up must come down.......I will not be rushing to buying any property until they reach more realistic prices (and the Halifax have confirmed in writing that this situation is definitely over"!). I can see a foresee a new batch of negative equity misery and repo's in the not too distant future. House prices in London are totally out of control! 2 beds are approx £110 - £150,000 and even silly little 1 bed flats are averaging £95 - 110,000, buyer BEWARE.

-- (tequilaslammas@yahoo.co.uk), March 21, 2002.