I jointly own a property with my wife valued at £180,000. We are in divorce proceedings. I have been made bankrupt and owe HMRC £37000, Mortgage of 62,000 and debt of 73,000 secured on the property. I have personal debt of £23000.
The debts exceed the value of the property. How will this affect proceedings?
Assuming that you both own equal equity then it would proceed like this.
Value of House 180,000 First Mortgage 62,000 Secured Charges 73,000
Therefore total Equity is £45,000
and theoretically your 50% share of the equity is £22,500
HOWEVER if the secured charges and loans / secured debts ( via CCJ's stc from credit cards etc ) have been for your benefit ( PROVABLE ) then there is a case to argue that you have already had your share of the equity and the remaining equity belongs to your wife.
This is not a DIY process so would recommend you either call the helpline above or choose an expert to review the situation at length and see what the real situation is.
Paul Johns Assisted Bankruptcy Specialists Reviva UK
I jointly own a property with my wife
Posted - 17 December 2008 : 17:50:23
