Please Help

IF_Only_4

Well have sent all the documents and information off to the official receicver. My OH has had a letter back from them with regards to the house. We have about 95,000 outstanding on the morgage. We had the property valued yesterday and the estate agent said it would now sell at around 130,000. But obviously I dont want to let the official reciver know this so the letter he sends back to me hes going to put down 115,000 to 120,000, hes says he cant put any lower than that because he wouldn't be able to justify where he got the figures from. So what I want to know is what offer do i make to the official receiver, so he can purchase the house.

rog2

Having gone through this myself, the OR will be interested in the Beneficial interest of the Bankrupt. If you are BOTH going for bankruptcy, then he will be after the full amount of the 'equity' in the house, but, providing the house is in both names and only one partner is going for bankruptcy, the OR will be looking for that person's BI - i.e half of the equity.
Be very carefull, though, the OR CAN insist on further evaluations if he feels that you/your valuer have undervalued the house - if he finds proof of any attempt to 'mislead' him over the amount of BI this could lead to the imposition of a BRO/BRU. You, on the other hand can opt for two valuations and the BI calculation will be based on the lower of those valuations.
It IS possible to negociate with the OR/Trustee, although they do tend to push for the maximum - in your case, assuming that the value is £120k, Outstanding Mortgage is £95k and just your OH going for bankruptcy, then the BI is likely to be around £12.5k.
I found my trustee very difficult to negociate with, but, eventually, agreed on a figure of around 90% of my BI.

IF_Only_4

This makes me more depressed what happens if I cant find the money.?

rog2

IF_Only wrote: »

This makes me more depressed what happens if I cant find the money.?

Whilst the OR/Trustee DOES have the right to 'force' a sale, they will, usually, only do this as a 'last' resort, and need to seek the co-operation of the other co-owner of the property. Once the OR/Trustee has 'vested' an interest in your property they must give time, normally a minimum of 12 months, for you to find alternative accomadation - or to raise the funds to purchase your BI.
Your BI CAN be purchased by a family member or close friend.

Richard_S

IF_Only wrote: »

This makes me more depressed what happens if I cant find the money.?

Hi IF Only,

What is your O.H's credit rating likely to be? Loans secured on property are not usually the best way of resolving debt problems, but if you're desperate to stay in the house then it may be an option for raising the money to purchase your B.I.

Regards

Richard

IF_Only_4

My only option is to get my parents to buy it, we still owe them 30,000 (dont ask own buisness went wrong long story) if they buy it say for around 7.5 thousand they have half ownership so if anything was to happen to them that half would go into their estate. So it would either be left to me and my sister or the children. I think I will have to go for this option. This means the other half can be left in mine and oh estate and be divided between my 2 children and his daughter. I am going to try and get some more valuations to prove the average selling price. Can you obtain them from the sites on the web will OR except these. Many thanks for you help.

Richard_S

IF_Only wrote: »

My only option is to get my parents to buy it, we still owe them 30,000 (dont ask own buisness went wrong long story) if they buy it say for around 7.5 thousand they have half ownership so if anything was to happen to them that half would go into their estate. So it would either be left to me and my sister or the children. I think I will have to go for this option. This means the other half can be left in mine and oh estate and be divided between my 2 children and his daughter. I am going to try and get some more valuations to prove the average selling price. Can you obtain them from the sites on the web will OR except these. Many thanks for you help.

Hi If Only,

The O.R use a web based valuation service to check whether the price your agent has valued the property at is in line with other recent sales. The site below gives the actual prices property has sold for and is obviously more accurate than an agent's valuation. You also need to consider what the property market is like in your area; some parts of the country have seen falls whereas other have remained stable.

Richard

http://www.nethouseprices.com/index.php

Conor_3

In addition, the OR is perfectly within their rights to get their own valuation if they think it's too low.

Homework

www.ourproperty.co.uk has free registration, gives actual selling prices and updates each month.

Richard_S

Conor wrote: »

In addition, the OR is perfectly within their rights to get their own valuation if they think it's too low.

Hi Conor,

They send their own surveyors round when the local estate agents valuations don't "fit" with the on-line valuations they do. We had two O.R surveyors value our property and when they saw the state of it they agreed with the valuations we'd submitted.

Took me ages to put the roof back on.:rolleyes: :rolleyes:

rog2

Richard_S wrote: »

Took me ages to put the roof back on.:rolleyes: :rolleyes:

Nice one Richard. :rotfl: :rotfl:

Seriously though, IF you disagree with the OR's valuation, you have the right to get two or three independent valuations and can opt for the lowest valuation.