|
|
 |
 |
FORUM |
|
> Browse and post on our forum |
|
|
|
 |
|
 |
|
Note: You must be registered in order to post a reply.
To register, click here. Registration is FREE!
|
| T O P I C R E V I E W |
| kha |
Posted - 05 June 2008 : 07:27:09
Hi, my father has been made bankrupt, and it's now progressed to the Trustees to resolve, they have decreed that his equity in the house which is jointly owned by my father and mother be passed to the Trustees, now they are asking that we buy the equity back from them.
My argument is that, neither my parents work and when my fathers business was running he received very little money, so I have been paying the mortgage and all bills for the past 6 years (since we have had this house); do I have grounds to contest the Trustees claim that 50% of the equity in my parents house is now theirs?
|
| 5 L A T E S T R E P L I E S (Newest First) |
| melanie_giles |
Posted - 15 June 2008 : 22:40:29
You need to get the property valued now - I suggest on a forced sale basis - and get an up to date mortgage redemption statement. Is there any way that the equity should be split in any other ratio than 50/50 - for instance has your mother paid for any home improvements or contributed a larger deposit when the property was purchased?
With regard to your contributions, you will need to provide the OR with details of any claim you intend to make with regard to beneficial interest and, if accepted, will need to be deducted equally from your father and mother's shares.
For an informal chat about any financial difficulties, or advice as to the options available, I can be contacted via my website - www.melaniegiles.com |
| kha |
Posted - 15 June 2008 : 20:22:28
Bret
A thousand apologies for such a late reply, my father was made bankrupt initially in late summer 2006, and about 12 months after that it has moved to the trustees.
The valuation has been performed by a surveyor, and they have indeed revalued it at 260,000.
His personal debts amount to around £13,000 and business debts about £45,000, he was in joint partnership, his partner has also been made bankrupt, with personal debts of approx £25,000, his partner only has £25,000 equity in his property and has greed to pay his personal debts. The trustees, have based their judgement on the house being valued at £300,000 and hence with an outstanding mortgage of £165,000, based his share of 50% equity at £67250, this is based on the house being in joint ownership with my mother.
The £300,000 estimate was based on myself filling a form to the trustees incorrectly, by plucking the figure out of the sky.
They have not as yet been made aware of the valuation from the surveyor.
I had an informal chat with the trustees and they said, based on my fathers partner not having sufficient equity to cover all the debts, and only being able to cover his personal debts, they are interested in my fathers equity because there is more and based on the £300,000 valuation this would cover both my fathers personal and business debts.
I have been paying the mortgage since the inception (October 2002), initially the mortgage was taken by direct debit from my fathers bank account, with my making deposits into this account.
Once the bankruptcy order was made and my fathers bank account closed, I transferred the direct debit to my own bank account.
please let me know should you require any further information.
Once again I do apologise for the late reply.
Kind regards
Kha |
| Helpful Advice |
Posted - 05 June 2008 : 09:34:22
Was the valuation done by an estate agent or Surveyor and is the trustee aware of the property value yet?
What is the level of your fathers debts and when was the Bankruptcy order made?
Kind Regards,
Brett England
Bankruptcy Specialist
England,Jackman & Spacey
WebSite www.ejands.co.uk
View my personal story & blogs at:
http://brettengland.blogs.bankruptcyhelp.org.uk/ |
| kha |
Posted - 05 June 2008 : 09:27:13
Hi Bret
Many thanks for the reply, I had a valuation done, and it was valued it at £275,000, although I believe they will revalue this at £260,000, and the current mortgage owed is £165,000. |
| Helpful Advice |
Posted - 05 June 2008 : 08:56:44
Hi kha,
As you have been contributing to the property by way of mortgage payments and bills you have a good argument that you have developed a proprietary interest in the property.
The question is what this proprietary interest equates to.
could you post the value of the property and secured lending against the property so I can get an idea of the equity in the property?
Kind Regards,
Brett England
Bankruptcy Specialist
England,Jackman & Spacey
WebSite www.ejands.co.uk
View my personal story & blogs at:
http://brettengland.blogs.bankruptcyhelp.org.uk/ |
|
|
| bankruptcyhelp.org.uk Forum |
© bankruptcyhelp |
 |
|
|
|
|
 |
|
|
|
|
|
