Keeping a charging order

Charliefiggis

Is it possible to keep a charging order on a property and move?

We need to move for our sanity! The neighbours have just become unbearable.

The amount outstanding on the charging order is roughly £17k.

It was from Egg who have now passed it around the houses and its currently with Marlin Services.

I think I already know the answer but any info, advice would be appreciated.

Many Thanks

Annisele

It's not possible to keep the charging order on the same property and move.

It might be possible to transfer it to a different property with a deed of postponement - but I suspect you might problems with a deposit. Presumably if you could afford to pay the £17k you would have done, which suggest you don't have enough money for the deposit on your new place.

System

I assume that you are asking if it can be left on the property after you have sold it to another person?

If their conveyancer is up to scratch then there is no likelihood of that happening.

Charliefiggis

We have an agreed amount to pay, but yes we cant pay it off all at once. If we moved we could have equity to put against another property but 2/3 would go on the order.

Thanks for replying though

Charliefiggis

No !!!!!!, Its my debt and I will pay it. Was more a question of porting it

Annisele

Charliefiggis wrote: »

We have an agreed amount to pay, but yes we cant pay it off all at once. If we moved we could have equity to put against another property but 2/3 would go on the order.

Hmm. In that case you *can* afford to pay all of it off - but it's understandable that you don't want to.

Whoever now has the benefit of the charging order might be prepared to port it, especially if they'd get 2/3 of the amount now. My worry would be that you won't get a mortgage to buy the new house.

How much would the new house cost, how much equity will you have to put down, and how much mortgage will you need?

Charliefiggis

To be honest we haven't even looked at the minute because we need to get the CO sorted.

TrickyDicky101

The whole point of a CO is to make the debtor's life difficult if the CO is not paid off. IMO they won't let you 'port' it. You have equity in the property sufficient to pay off the CO (my reading of your position, may be wrong) - there is nothing in it for the Egg/Marlin to permit you to move it elsewhere.

Annisele

Charliefiggis wrote: »

To be honest we haven't even looked at the minute because we need to get the CO sorted.

I think the two things go together.

Apologies if I'm off track, but a charging order very often means your credit history is poor and you don't have much cash. Those things together would mean a new mortgage was very difficult even without the charging order.

If you really need to move, your best option might be to sell up, pay off your debts, and move into rented.

Charliefiggis

Our credit rating probably is. Apart from this everything else was cleared over 6 years ago. We have credit cards which we use a small amount on and then pay off regularly, have mobile phone contracts, all the things that in a normal situation would help build your attractiveness.