will I loose My House??

ant080

Hi all, trying to come to a decision over going bankrupt or going for an IVA.

I own my own home worth 110k with a repayment mortgage of 99k and with my debt, wife’s debt and my business debt (sole trader) I owe an extra 86k on top!

Total credit card/business loans come to 86K

The house is in joint names

Is it always the case that you WILL loose your home if you go bankrupt?

Cheers in advance!

Broken_hearted

I don't know but there seems to be very little equity in your house.

ant080

Hi,

Thanks for your reply. I take it then that the equity in the house plays a big part in my question then.

CLAPTON

By the way, can you reread and edit your post because parts of it make no sense.

in general, in bankruptcy all your assetts are taken by the OR (official receiver ) for the benefit of your creditors...in particular your house (or rather the equity ) and your cars or any expensive possessions (not normal household furniture/goods).

usually your house would be sold, and your equity realised (if the house is in joint names and your OH doesnt go bankrupt then he/she will get his/her half of the equity).

however in your case as the equity is low the OR would allow a 'friend' / relative to buy the equity for a nominal sum (say £1000).

but frankly why are you concerned ..there is very little equity there ?

ant080

Thanks CLAPTON,

Kinda makes more sense now.

So does this mean that because there is little equity in the house they will not take it??

Just need to point out that I have not defaulted on the mortgage.

I have been paying the bills on time until now but time is running out and need to have a backup plan.

Thanks in advance

CLAPTON

no it means that they will probably allow the equity to be purchased for very little to a family friend or whatever...
...
is your wife going bankrupt with you or is she not?

ant080

Thanks for your advice and swift replies.

I have been in touch with payplan and will talk to them in the morning, just wanted to have a few questions to fire at them.

So basicly we stand a good chance of loosing the house, am I reading this right? My wife does not want to go bankrupt, we would both rather got for IVA but if I can go bankrupt and still keep the house then this is what we will go for. Cheers.