During most market conditions you should be able to sell at auction. Auctions tend to get the best price and make it clear that you have obtained the market price.
If the property fails to sell and it becomes clear that the market value is less than the debt secured by your mortgage then you can sell it to your own company or SPV. This is because all equity in the property belongs to you so you have the right to dispose of the property as you determine.
You also have the option to hold and rent the property pending the recovery in the market. You can also build on, or otherwise improve the property, before you sell it and any money you spend will be added to the debt under the mortgage and attract interest at the higher interest rate. If you choose to develo the property we recomend you keep the property in the mortgagor’s name in order to avoid double stamp duty.
