Advice for a friend. A man and wife seperate and have a child of nine living at the mothers. The house is worth roughly £70,000 and the mortgage is £84,000. It was re-mortgaged earlier. The house is in both names jointly owned and there is no equity. (let me know if im wrong)
Now the Dad, wants to declare bankruptcy after the seperation. How will this effect the mother?
The Official Receiver who will deal with the Dad's bankruptcy will be interested in his share of any equity. As there is none at the moment, they will value the house again 2 years and 3 months after he was declared bankrupt to see if there is any equity and deal with it then.
However, it may be possible for the Mother to purchase the beneficial interest from the OR before this.
The Dad will not be able to contribute to the mortgage if he's not living there, not sure if he is or not at the moment.
Advice for a friend.
Posted - 15 December 2011 : 20:12:25
