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Ex-going bankrupt, what happens to my half of house?

motu
Posts: 5 Forumite
Hi any advice would be great!
My Ex girlfriend is still living in the house we bought together, the deal was when we bought together that I put down a very large deposit and she would pay the mortgage. We have a couple of young children and since the split I moved out and have them as much as she will allow at my new home (rented). Since I moved out we agreed that she'd stay in the house and when we wanted to sell it what ever is left after the mortgage is split 50:50, but she is responsible for paying the mortgage while she lives there.
So my question is, if she goes bankrupt and the house gets reposed what happens to my share? The mortgage is the only debt with my name on it.
Please help put my mind at rest!
My Ex girlfriend is still living in the house we bought together, the deal was when we bought together that I put down a very large deposit and she would pay the mortgage. We have a couple of young children and since the split I moved out and have them as much as she will allow at my new home (rented). Since I moved out we agreed that she'd stay in the house and when we wanted to sell it what ever is left after the mortgage is split 50:50, but she is responsible for paying the mortgage while she lives there.
So my question is, if she goes bankrupt and the house gets reposed what happens to my share? The mortgage is the only debt with my name on it.
Please help put my mind at rest!
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Comments
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Do you know if the mortgage payments are up to date? If they are, then you might be able to keep the house.
Do you know if there is any equity in the property?0 -
Thanks for quick reply!! Yes payments up to date at the moment and there is around £110, 000 equity.0
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There's £110,000 equity, so £55,000 each. Is your ex sure that BR is the right thing to do? With that amount of equity, then a Debt Management Plan or IVA might be more suitable.
Given the amount of equity that she will have, then an IP will be appointed to deal with the house as as asset. As it's a family home, they have three years to deal with the property. More details in the leaflet below:
http://www.insolvency.gov.uk/pdfs/guidanceleafletspdf/home.pdf0 -
Ah thanks, looks like if she went down that road her debts would be paid from her half of the house then. We discussed re-mortgaging to pay her debts but I cant see how that would be a better option than one of those consolidation loans. Its about 20k apparently.0
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how much are her total debtsHi, im Debtinfo, i am an ex insolvency examiner and over the years have personally dealt with thousands of bankruptcy cases.
Please note that any views i put forth are not those of my former employer The Insolvency Service and do not constitute professional advice, you should always seek professional advice before entering insolvency proceedings.0 -
At the moment it's 20k not including the mortgage on our house.0
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She might have a problem going bankrupt - as her assets are more than her liabilties then she's not insolvent.
Please urge her to speak to one of the free debt charities to discuss her options0 -
I think the two of you need to get together and split up the house. She needs to live somewhere she can afford and her half is easily enough to cover her debtsHi, im Debtinfo, i am an ex insolvency examiner and over the years have personally dealt with thousands of bankruptcy cases.
Please note that any views i put forth are not those of my former employer The Insolvency Service and do not constitute professional advice, you should always seek professional advice before entering insolvency proceedings.0 -
Right will do! Thanks for the advice, very greatfull!0
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