Hi - I have a house in the uk valued at 200,000 (as at Dec. '07) and secured and unsecured loan of 190,000 with our mortgage company - many potential buyers who have 'disappeared' at the final hurdle.

My wife and I are separated - I live in Spain with 2 of our kids and she's in the uk with the other 3!! We are not in arrears and have never missed payments etc. but the burden of selling (9 months now) is too much for her - and only earning euros it will be quite soon that I won't be able to meet my half of the mortgage - and we didn't want to go down the repossession/bankruptcy route.

Question - if we just walk away from the house can the mortgage company pursue us for any shortfall in the sale, etc? Where do we stands re legal implications of just 'leaving' the house and walking away?

Any suggestions welcome - thanks

You need to talk to your mortgage company, walking away will be a foreclosure, after some time. Also remember after you stop paying there will be late fees, and legal fees added, it will not take long for that 190,000 loan to end up 200,00 or more.

You need to work with the reality company to be more aggressive, does the home need some work, can you afford to sell short and get a loan for a balance and so on.

Thanks - that's a start - can't afford shortfall though, and what little work needs doing has little to do with sale potential - it has been marketed quite aggressively and for a 5 bed house under 200,000 it is already listed at least 10,000 below market - which has obviously slowed down considerably over Dec Jan etc - starting to pick up again but, by the time any sale goes through we will also be another 3,500 out of pocket anyway - 3 to 4 months is going to cost nearly 10,000 with legals and agents fees anyway - the light at the end of the tunnel is probably an oncoming train!