Is there any hope for getting a mortgage in the future

catcatcat23

Hi,
We are 3 years post discharge from br and did not have a house included in the br. Does anyone have any advise about ever getting a mortgage again and how?

fiveyearplan

Check out this link.
https://forums.moneysavingexpert.com/discussion/2918012

alastairq

did not have a house included in the br

Again, to avoid the effects of generalisation........

If a house as above is mortgaged, the mortgage has nothing to do with the BR..being a secured debt.

Where confusion amongst lay folk arises, is, IMHO, two-fold.

[1] the OR may seek to realise the BR person's share of any equity in a property, for the BR estate.

This share of equity [beneficial interest] can be purchased from the OR....or if that is not possible, the property could be sold to release that equity.

If there is no equity [because of value, and the amount held by first and second charges]...then there will be nothing for the OR to realise

[2]...this concerns shortfall.

If a property has been repossessed by a mortgagor, and subsequently sold, any shortfall then becomes an unsecured debt, and is pursued as such.

If, at any time subsequent to the commencement of the original mortgage, to which the shortfall applied....a BR is petitioned for...then that shortfall [unsecured debt] will fall into the BR estate, regardless of how far down the line the shortfall occurs.

Of course, if the original mortgage was a joint application..if the other party involved has not petitioned BR, they become liable for the full amount of the shortfall.