Refuse you the option to buy the BI?

script

If your house has negative equity the OR will let someone buy the BI for £1.00.

And if the house is in positive equity again the OR or Trustee will let someone buy the BI at whatever the market value is.

However, could either the OR or Trustee refuse in the hope the equity may increase (during the 3 years they have to "sort" the house out).

peachyprice

Yes indeed they can, they are not obliged to offer it to you, and can wait the full 3 years before reaching a decision.

rv99

But unless you have been less than honest with them they are happier to clear thire desks......unless anybody knows of cases where the OR has gambled on the market?

peachyprice

Perhaps in the past, but with the recent drop in house prices and the potential for them to rise within the next 3 years the OR/trustee has a very good reason to not offer the BI.

script

Thanks everyone.

I agree that with a "sluggish" housing market - they are very likely to offer the BI.

But it's best to be aware that technically they don't have to.

debtinfo

As the others have said there is no legal requirement but it is part of the standard procedure to offer it at the first opportunity. One of the most common reasons for the OR not to sell the BI when requested to do so is when there is a dispute who to sell it for instance where there is a family breakup and there is an argument who to sell it to they could refuse to sell it to either party