Bankruptcy advice when own home

fatrascal

Hi everyone, have been reading the boards for a little while now and think the time has come to get sirted if we can....
We are currently in a DMP with Payplan but this leaves us stuggling and i cut back on esssentials like food.
Me and my husband owe 37k, 3 k is in joint names and my debt and the rest is my husbands.
We own our house which is worth 130k. Our mortgage os 116 and we would be fined 5k if we sell it.
If my husband went bankrupt, could we get away with not losing our home if i was to buy some of the equity? By borrowing from family member?
Or we could sell and then would 50% of the profit be mine and the other my husbands so therefore the OR would take it?
I would rather stay here if at all possible even though out mortgage is more expensive than renting. If we stay in the DMP then we will be in the same situation for over 15 years and i don't think i can face that.
Thanks for all help

peachyprice

Hi fatrascal, you will be able to buy you OH's equity (BI) from the OR, this will 50%, the OR is usually open to negotiation. Are you sure of the value of your home, you need the value for a quick sale.

If you do sell, the OR can only take half of any profit, the rest is yours.

The joint debts will fall to you entirely and will not be included in your OH's BR.

Hope that helps some, any more Q's, just ask.

fatrascal

peachyprice wrote: »

Hi fatrascal, you will be able to buy you OH's equity (BI) from the OR, this will 50%, the OR is usually open to negotiation. Are you sure of the value of your home, you need the value for a quick sale.

If you do sell, the OR can only take half of any profit, the rest is yours.

The joint debts will fall to you entirely and will not be included in your OH's BR.

Hope that helps some, any more Q's, just ask.

Thanks!
Having house valued on mon morn but am almost sure it will be 130k. So with mortgage being 116 and 5k fee - 121k so there wiuld be 9k profit so they will ask me for 4.5 k. Would i pay this the day of my husbands bankruptcy? Then i will only be left with small debts that we can manage. Because we both work will my husband have to pay a monthly figure and for how long?
Thanks again, you're so helpful.

pink-lint_2

hi

my OH went br in october and only the begining of jan was i offered to buy the bi back , i phoned the or and said yes i would like to, so i had to have 2 valuations done , i got halifax and a local estate agent out and told them i was thinking of selling , sent the valuations off and im now just waiting of my mortgage statement to come so i can send that off.

i was in luck cos both the valuations came back way under the amount my mortgage is for, so hopefully i'll hear back soon and buy oh intrest for £1 + fees

pink

pink-lint_2

fatrascal wrote: »

Thanks!
Having house valued on mon morn but am almost sure it will be 130k. So with mortgage being 116 and 5k fee - 121k so there wiuld be 9k profit so they will ask me for 4.5 k. Would i pay this the day of my husbands bankruptcy? Then i will only be left with small debts that we can manage. Because we both work will my husband have to pay a monthly figure and for how long?
Thanks again, you're so helpful.

when you get your house valued ask them to price it for quick sale , which is usually a bit less than average .

pink

peachyprice

fatrascal wrote: »

Thanks!
Would i pay this the day of my husbands bankruptcy? Then i will only be left with small debts that we can manage. Because we both work will my husband have to pay a monthly figure and for how long?
Thanks again, you're so helpful.

It takes a few months to sort out the house, you won't have to pay anything for quite a while.

If you OH's surplus is over £99 he will have to pay an IPA, if he does it will be for 36 months maximum.

fatrascal

Thanks, How do they do his surplus? Will it be a household thing as i hardly earn anything?
Will i have to have the cash to pay over and buy the BI so will have to borrow from family member? or should we stop paying our payplan and save the money? Is that allowed? sorry, so many questions and not even sure if this is the right thing to do.