house sale 5 years after discharge from bankruptcy

robbo22_2

Sorry to mither but can anyone advise. I went bankrupt 2010 discharged 2011. I am now in the process of selling my house (sales going through at present). My conveyancer/solicitor has sent me a letter asking for details of my trustee in Bankruptcy. Apparently its been flagged up on the land registry search. I did get a letter a couple of years back advising me that the trustee had no interest in the house (very little equity at the time) and presumed that was the end of the matter. Was a bit shocked to open the letter from solicitors, i kind of forgot about the bankruptcy as it seems a distant memory. Is there anything to worry about, i wouldn't get much from the sale in terms of equity maybe 5K or so, thanks and apologies if ive posted on wrong forum....bit out of practice!:o

Land_Registry

robbo22 - I can't help with whether there is anything to worry about but invariably, if the bankruptcy has come to an end, you will need to get the records updated re both your name and the property depending on how it was/is recorded.

Our Practice Guide 34 on Personal Insolvency explains things from our perspective but it is written very much from a conveyancer's perspective. It may though help with understanding what happens next although it reads as if your solicitor is covering that aspect for you already

debt_doctor

Hi,
My view (from what you say) is that you are entitled to receive any profit from the sale as the Trustee handed back their interest in the property back to you and you have a letter to prove that.
I would think that the restriction on the Land Registry put there by the Trustee / OR has not been removed.
You should contact the OR / Trustee and ask them to remove their restriction.
DD

Daybyday62

Hi my question is similar to Robbo22 declared bankrupt same time & discharged . If I wanted to sell my house within the next 3/4 years would I still be liable to pay any monies owed & any restrictions made on my property cleared ? How do I go about finding out please ?

silvercar

Daybyday62 wrote: »

Hi my question is similar to Robbo22 declared bankrupt same time & discharged . If I wanted to sell my house within the next 3/4 years would I still be liable to pay any monies owed & any restrictions made on my property cleared ? How do I go about finding out please ?

There is a difference between being discharged (commonly 1 year after bankruptcy) and the OR releasing any interest they had in your property. Generally the OR has 3 years to deal with any beneficial interest you may have in your residential home. If, during the bankruptcy process, they decide to register the charge on the deeds with Land Registry, then you need to make sure this is released. It is good practice to do this before sale, to ensure any money rightfully yours is not delayed. At the very least you should understand how much of the sale proceeds will need to go to the OR.