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Selling a property with a secured loan and no equity
I have a joint mortgage with my partner-this is 100% mortgage that we've had for 2 years and are currently paying this back on an interest only basis. However, last we were forced to take out a secured loan for £35,000 against the property.
My partner and I are now separated and need to sell the property.
I would like to know if we are able to sell our house as there is no equity in the property to pay back any of the secured loan. What will happen to the secured loan if we do attempt to sell?
I've had differing opinions on my situation with some people saying that the secured loan would be converted to a personal loan and others saying that we won't be able to sell the property until the loan is paid off.
Thanks for yor help.
Tilly

hello tilly