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Zed.1
Starting Member
16 Posts |
 Posted - 13 November 2010 : 03:35:57
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I solely own my mortgage. I declared BR 31/03/10. The OR stated they have no interest in my property as it was in negative equity. They have instructed thier solicitors to transfer title deeds back to me. I paid OR £500 to cover OR legal costs.
I instructed my solicitor to carry out the title deed transfer. He wrote to my lender (northern rock) for consent to allow the title deeds to be registed back in my name. He received an application form back from NR for me to fill in to request the transfer (standard procedure i'm told by NR). Once this is returned I am told the underwriter makes a decision based on my afordability of the mortgage. To date I have maintianed an up to date account and never missed a payment. I am told by my OR that I am eligable for early discharge.
1. I would like to know what happens if the lender declines the request to transfer the title deeds back to me from the OR?
2. Should I wait until I am discharged before sending of the form to Northern rock requesting consent to tarnsfer title deeds?
3. Can NR hold title deeds in their name?
4. I paid the OR £500 to cover thier legal costs to transfer the titles back to me. What happens to that money if my title deeds are not returned to me? Will the title deeds be in my lenders name?
5. If the title deeds stay in my lenders name can they force me to sell?
6. Can I sell up if the title deeds are in lenders name?
sorry for so many questions, i'm quite worried about this and any advise would be helpful.
Many Thank
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Zed.1
Starting Member
16 Posts |
Posted - 13 November 2010 : 12:40:27
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| Can anyone help/advise on my questions below? |
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Zed.1
Starting Member
16 Posts |
Posted - 13 November 2010 : 21:01:21
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| Can anyone help/advise on my questions below? |
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Zed.1
Starting Member
16 Posts |
Posted - 15 November 2010 : 13:44:42
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Hello forum, I could really do with some help here. Is there a forum expert that can respond to me?
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debtinfo
forum expert
2826 Posts |
Posted - 15 November 2010 : 17:35:59
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1. There will not be a transfer if they dont agree
2. doesnt make any difference
3. not unless they repossess
4. The title deeds stay with the OR, if after 3 years there is still no equity they will transfer back to you automatically.
5. They wont be in the lenders name unless they repossess.
6. as above plus you cant sell whilst they are held by the OR
Hope that helps |
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Zed.1
Starting Member
16 Posts |
Posted - 15 November 2010 : 19:37:12
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Thank you debt info. This makes things clear. I'll send back the NR application form and let the forum know what the outcome was.
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Zed.1
Starting Member
16 Posts |
Posted - 15 November 2010 : 20:01:03
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If the OR has sold the beneficial interest back to me for £1 (which he already has) but because the mortgage lender has not consented to title transfer back to me, can the OR still force a sale should he hold the title deeds if/when the property gains equity within the 3 year period? (Bearing in mind this will all be post my discharge.)
I'm thinking if I have now bought back the BI then the OR can't force a sale because the lender has refused to transfer title deeds back to me (for some reason) Surely refusing me the title puts the lender in a weaker position. Surely its safer for lender to let me continue to pay the mortgage rather than risk the OR selling it at some future point??
Essentially what I'm asking is are the BI and title deeds separate entities? So if the lender does not consent to the title transfer back to me means the BI as well as the title is still vested with the OR?
Thanks.
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debtinfo
forum expert
2826 Posts |
Posted - 15 November 2010 : 22:55:22
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| The BI and Title deeds are essentially the same for solely owned properties, so you wont have actually bought the BI back yet, just put a deposit on the legal fees , all of your letters so far will have been marked subject to contract meaning that the OR can pull it at any time untill the final transaction goes through |
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Zed.1
Starting Member
16 Posts |
Posted - 16 November 2010 : 00:01:23
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Would I therefore be correct in assuming that by virtue of the fact the OR has declared he has no further interest in the property (neg equity) that he will essentially tell the lender the same when the lender seeks consent from the OR to request the title to transfer back to me?
I draw this assumption from the faq section of the NR title transfer consent form which states a title can transfer back to someone who is bankrupt but with the consent of the trustee (who in my case is the OR). So the OR essentially tells my lender "it's ok to transfer title back to zed" the lender then carries out its own income/expenditure assessment on me and all being well transfers title back to me.
Would the above be an accurate assumption?
Thanks for reply diligently debt info, it's much appreciated.
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debtinfo
forum expert
2826 Posts |
Posted - 16 November 2010 : 07:27:51
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| yep thats correct, btw i cant remember to many cases where the lender has not agreed |
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Zed.1
Starting Member
16 Posts |
Posted - 16 November 2010 : 08:39:45
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That's good to know. Many thanks and like I said I'll post the outcome of this in the coming days/weeks.
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Zed.1
Starting Member
16 Posts |
Posted - 24 November 2010 : 00:22:56
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Hi dedtinfo I sent back the change of parties form to NRAM last Friday so am awaiting a decision now for consent to allow title deeds back to me. I was considering the possible outcome scenarios and what options I would then have. Please can you hear me out...
1. Consent given. No caveat.
2. Consent given on condition I sign a deed of acknowledgment. Is this a realistic possibility?
3. Worst case consent not given. Deeds remain invested with OR for 3 years max then automatically return to me.
Options
In the case of scenario 1 I would have the option to sell whenever I wished even if the property remained in negative equity I can't be chased for any shortfall. This option works more to my favour does it not?
In the case of scenario 2 I would not sign a deed of acknowledgment and let the OR keep the deeds. If they wished to sell from under my feet I would not stop them and allow the property to be sold. If the lender wants to call my bluff I would let happily let them after all if nothing happens the deeds will return to me after 3 years anyhow.
In the case of scenario 3 Ok I have the OR on my door step for a time but not worried. I won't sign up for a new debt whatever happens. I won't be able to sell the property in this time also but can I just walk away from the mortgage if I wanted to at this stage and let the lender reposess? I know that would be drastic but if the lender won't play ball I don't see why I should carry on paying the mortgage! I'd just prefer to walk away and start fresh. What can you see as possible side effects to this course of action by me? Considering it will be at 6 years before my credit record recovers anyhow can it be any worse having defaulted on mortgage payments. I'm not exactly going to get a mortgage anytime this decade am I?
Your probably asking yourself why I might be so keen to move on...it's because I have horrible neighbours to top off this nightmare.
Hope you can advise.
Thanks
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Zed.1
Starting Member
16 Posts |
Posted - 25 November 2010 : 00:02:25
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Hi debtinfo I have just received ED, the letter came in the post this morning. I am really happy but this is tapered by being anxious over the title deed situation. Once I get unconditional consent from lender to get title deeds back I will much more comfortable.
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Zed.1
Starting Member
16 Posts |
Posted - 27 November 2010 : 07:55:03
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Hi Forum, any help with my questions?
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Zed.1
Starting Member
16 Posts |
Posted - 04 December 2010 : 09:43:28
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Hello.
I wanted to update the forum on this situation.
I received a letter from NRAM yesterday to confirm they give consent for title deed to be transferred back to me from the OR. No conditions were applied. This was my ideal result. Its only now that the full effects of the whole weight of this saga is finally feeling as though it is lifting. I feel ecstatic, relieved and so full of optimism about the future again. I am so happy I plucked up the courage and went down BR and have lived to tell the tale. Alls well that ends well..how true that is!
So now I am discharged and. In a few weeks the title deeds will be back in my name meaning I can sell the property whenever I like! I'm back in the driving seat! I did not have to sign a deed of acknowledgment which means if it sells for less than the mortgage balance I am not liable for the shortfall as the difference will be classed as debt that was incurred whilst bankrupt.
Thank you for the support to date forum and if anyone wishes more info please feel free to drop me a line.
All the best
DEBT FREE LIFE HERE I COME!!!!!
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debtinfo
forum expert
2826 Posts |
Posted - 04 December 2010 : 11:29:22
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| Glad its worked out for you |
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Topic |
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Title deeds transfer for house in negative equity
