My father completes his bankruptcy in feb 2012. Mother and father are joint tenants in common on the mortgage. Mother has no income.
We want to keep them in the house and IP wants us to buy his equity - which is fine. The mortgage company has said they do not mind whether my father's name stays on the deeds or not (up to the IP apparently).
I do not understand however, how the allocation of equity works and which document this sits in. For instance, if his name stays on the deeds but I buy his equity, does that mean that my parents have 50:50 of the property still (or does my name need to go on the deeds). If his name comes off the deeds but stays on the mortgage, does that mean that my mum has 100% of the equity?
Are there any disadvantages to keeping him on the deeds - for instance, if someone were to come after him in the future, is it not a benefit for him to come off the deeds completely?
But surely - he cannot be the one that "handsover" or proposes the offer because he technically should have no money and therefore this is seen as undisclosed captial?
My father completes his bankruptcy in feb 2012
Posted - 30 December 2011 : 22:46:38
