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Kate.en
Starting Member
6 Posts |
 Posted - 14 June 2011 : 15:51:23
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I am split from my partner and am in the house with our 2 children. He is going to declare himself bankrupt and I would try if possible to to keep me and the children in the house. The property was purchased for £159k - there is a mortgage of approx £150K, a secured loan of £20k and 2 charging orders (for debts of his) totalling approx £20k. If the property was put up for sale I have been told it would probably sell for approx £150k so the negative equity is around £40k. How much would I be expected to pay for the property through the bankruptcy?
Thanks, Kate |
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RHB
Senior Member
1159 Posts |
Posted - 14 June 2011 : 18:17:49
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| Can you afford to pay the mortgage & the loans secured on the property? |
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Kate.en
Starting Member
6 Posts |
Posted - 14 June 2011 : 19:19:38
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I currently pay the mortgage but I don't want to have to take on 190k debt for a house not worth that. My parents can help me with a sizeable amount which is why I was interested in actually buying the house from the receiver? Thx k
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debtinfo
forum expert
2826 Posts |
Posted - 14 June 2011 : 19:39:08
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its all or nothing if you buy the interest back from the OR you have to keep up payments on all secured debts.
BTW this is providing that the OR wants to let you buy the BI back. |
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Kate.en
Starting Member
6 Posts |
Posted - 14 June 2011 : 19:50:05
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I just don't understand how that can work? The charging orders are for credit cards in his name only that were taken out without my knowledge. How can anyone expect someone to pay at least 40k over the market value for a house?
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debtinfo
forum expert
2826 Posts |
Posted - 14 June 2011 : 20:23:12
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| they dont expect you to, you dont have to buy the beneficial interest, it is your choice, even if you do buy the BI you dont have to pay them, but they will as all chargeholders do have a right to repossess the propety, buying the BI does not change that |
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RHB
Senior Member
1159 Posts |
Posted - 14 June 2011 : 20:28:01
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| They can only be written off by the house being sold/reposessed. |
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Kate.en
Starting Member
6 Posts |
Posted - 15 June 2011 : 10:54:31
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Thanks for your replies. I understand about buying the BI and I can appreciate how this will not work for me. Can I then still buy the house or my parents buy the house therefore getting rid of the other debts? If so is this done at market value or is it done at a discounted rate for easy sale or however they think about it?
Thanks in advance, K
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Viki.W
forum expert
United Kingdom
2211 Posts |
Posted - 15 June 2011 : 11:06:27
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Hi Kate,
Do you jointly own this property with your ex? If so, you still own the house so you don't need to buy the house back from anyone. You will need to keep up on mortgage and secured loan payments though.
I suggest you speak to an expert to chat this through so you know what is likely to happen.
Viki Warbrooke
Vincent Bond & Co
If you would like free advice on all options available and help with your bankruptcy petition please contact me at http://www.vincentbond.com/about_us_Viki_Warbrooke.asp
Please read my experience of debt via my blog at http://vikiw.blogs.iva.co.uk/ |
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Kate.en
Starting Member
6 Posts |
Posted - 15 June 2011 : 11:11:09
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Hi,
The house is in his name only but there is a secured loan which is in both names which I totally understand I will become liable for - I am hoping to come to an agreement with them where I pay that off separately? Who can I get advice form as I am not the one going bankrupt? My husband has not lived in the house for nearly 2 years and as we are coming upto the 2 year point and I can get a divorce without blame I want to get this resolved so I have some security for me and the kids about where we are going to live.
Thanks in advance, Kate
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RHB
Senior Member
1159 Posts |
Posted - 15 June 2011 : 15:57:39
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If you can get a mortgage in your sole name to cover ALL the payments then he can transfer the house into your name no problem. If however, you can't afford this then the house will ultimately have to be sold.
Best bet is to talk to a divorce lawyer & get a note of interest attached to the property. |
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Kate.en
Starting Member
6 Posts |
Posted - 15 June 2011 : 16:03:52
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Hi,
I'm not sure if I'm being thick but a mortgage to cover all the payments is surely having to pay well over the market price for the house???
Thanks in advance k
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RHB
Senior Member
1159 Posts |
Posted - 15 June 2011 : 16:05:26
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| Exactly, so maybe you would be better off looking for another property? |
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Topic |
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Keeping house when ex partner declares bankruptcy ?
