Hey, need a bit of advice and if its better to PM with a response, feel free…
My sister bought a block of land with some other investors in the South West of WA a couple of years ago… anyway, long story, took for ever to get water and all the rest connected, all the investors i think have been hit hard… She now lives over in the US and i think there is little prospect of making any money out of it at all with property prices falling in WA and its a block of land so not even any rental income on it… she has been paying it off now for at least two years and just wondering if there is anyway she can get out of it apart from selling it at a big loss, even if you could find anyone these days who wanted to buy it (so she will jsut have to sink more into it in repayments as she has had to go to interest only so its not even reducing)…
Can she declare bankruptcy in Australia and hand it back to the bank if she lives overseas and just not come back for several years if there is something about the bank has claims over income for 3 years or something or does living overseas not make any difference???
Just wondering if any of you finance guys know a way out so she isn't paying lots of money off a block that might never make it back into the money for some time if ever???
It may be better to try and work with the bank before going bankrupt.
The bank may let her sell the property and then let her pay off any remaining debt after the proceeds are used to pay off the most of the debt.
yeah its just at the moment there are unlikely to be many buyers in the current climate, there are other investors with blocks in the same area and plenty of houses for sale in parts of the south west of western australia…
she can keep up the repayments, alhtough if there are 3-4 more rate rises next year it might get tough… but while paying this off here she can't afford to buy or set up a place in the US, and it looks like she will have to hold onto it for a while until buyers return and still sell at a loss… so just wondering if there was a way to get out of it while she is living overseas…
You must be logged in to reply to this topic. If you don't have an account, you can register here.
