I'm on an IVA which is in my name.
I have a mortgage which is solely in my name.
My wife and I are splitting up, she will have custady of the kids.
If I sell the house:
Will the Council re-house her? if she agrees to the sale?
Will I be able to buy/ have a mortgage on another property? cheaper and smaller?
What happens to the Equity?
Hi Colin and welcome to the forum, I'm sorry to hear of your split.
You will need to speak with your IP about the split as your circumstances will obviously change and they will need to be kept in the loop. I'm not sure about the Council's policy on re-housing it would be best to check direct with your local council or CAB office. I doubt you would get another mortgage whilst in an IVA and if there is equity in the property when sold I would think some of that would be paid into the IVA as part of your proposal if you have the equity clause. Your IP will give you 100% definite advice. Mortgages without a large deposit are hard to come by these days for those with a good credit record but us with IVA's even find it hard to remortgage to release some equity as per the IVA. x
IVA final payment left the bank on the 26th January 2013...looking forward to a debt free future.
To be housed by the council your wife would need to present herself as homeless. The council should provide her and your children with temporary accommodation, while they investigate the history and circumstances. If she agrees to the sale it is possible that the council could decide that she made herself intentionally homeless and refuse any responsibility for housing her.
Does she need to agree if the mortgage is solely in your name?
Another thing is that in some parts of the country, where social housing is in very short supply, people are being pushed into renting in the private sector. Housing benefit rates are also being cut limiting choice of what's affordable.
I am sure someone else will be able to answer your other questions.
Good luck!
Hope
Your wife may want to stay in the property especially if she would not be rehoused. If you go for divorce she may even be awarded the property so advise your IP of the situation and keep them up to date with any developments.
Even if the house is in our name, she can register an interest in the property that would stop you selling it under her feet & any good divorce lawyer would tell her to do so.In terms of divorce the starting point in dividing assets is 50/50, regardless of who brought what to the marriage & whose name it's in. If our wife is looking after the kids & earns less than you it may well be 40/60 or 30/70. However, the debts will need to be taken care of as well, taken away from the assets so as Ginger says you are both bet of consulting solicitors.
I'm sorry to hear you're splitting up. I believe (but stand to be corrected) that it is for the matrimonial court to decide what your wife and children are entitled. Then you, your IP and your creditors will need to decide how yours is used.
With any luck, your wife will be able to provide a stable home for your kids from her share.
There is every risk that the Court will look to award your wife a proportion if not all of the property until the children conclude their full education.. How will the separation affect your ability to continue making your IVA payments?
