Hi Zoe - or hello stranger!!!
You make a very good point, and personally I do not understand why early redemption figures are not taken into account for the purposes of equity calculation.
You could be bullish and dig in here, with the OR knowing that they have to deal with this issue within the 3 year period, however you run the risk of the property going up in value and eventually having to pay more.
Interestingly, were the OR to press for possession and sale proceedings, the redemption penalty would then have to be taken into account. I suggest that you negotiate with the OR on the grounds of commercial sense and see where you get to.
And do keep us informed!
Regards, Melanie Giles, Insolvency Practitioner for over 20 years.
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