My partner and I have been in an IVA since Dec 2009; we have now entered our final year and need to begin the process of getting our home valued etc with a view to remortgaging if possible and we have a few questions as this entire process is alien to us.
We believe there will be equity available to release in the property, however, our current mortgage is with NRAM and we are unsure of how easy it would be to carry out a remortgage with these as our current providers or doesn’t it make any difference?
How likely is it that an estate agent will come and do a valuation knowing that there is no possibility of making a sale? Despite stating of their websites that they would do a free valuation, in this case, would they charge a fee, and if so, how much?
Once the valuation and mortgage balance is provided to DFD, would we have to seek the remortgage ourselves or will DFD take over that process? I've seen a company referred to as Select Partnership mentioned on the forums here a few times; are these people contracted to see the process through?
Thank you for taking the time to read this, we just want the whole thing over and done with and try to avoid all the horror stories we keep reading about.
There is no hope of remortgaging with NRAM as they are no longer taking on this line of business. Equally, you will currently be unable to remortgage elsewhere with the IVA on your credit files.
Many tell a white lie to get a valuation, but I feel it is better to get a surveyor to do a true valuation for a fee. Agents have a tendency to over inflate valuations as an attempt to get your business.
Select Partnership are a firm that a couple of IP's use to source secured loans --- which you are not obliged to take. I believe they do a work up of options. It is worth chatting to Shaun Vickery and checking the lie of the land directly.
Thanks for your reply. In particular, it is useful to know to get a surveyor to do the valuation rather than an agent. Could you suggest any?
We felt that it was unlikely that we would be able to remortgage, however in our terms and conditions section 2.2 states:
font size="1" face="Verdana, Arial, Helvetica">quote:<hr height="1" noshade>“In the event that I have realisable equity in the property, in excess of £5000, and my Supervisors believes it would be cost effective to attempt this release, then an appropriate mortgage application will be made. I will approach a mortgage broker with experience of successfully matching insolvent individuals with lenders and I will complete my application within 14 days of this introduction. Should my Supervisors so choose, I will accept their instructions to approach a mortgage broker of his choice...”
With this in mind, we know we have to make attempts to remortgage, however I suppose we will have to accept advice from DFD about which mortgage brokers to go with considering our current position.
Thanks for clearing up who Select Partnership are. We did not sign the new terms and conditions, so I am hoping that a lengthy secured loan will not be required. If unable to release equity, we will be happy to extend the IVA if it means finally putting an end to it.
Sorry, can't really suggest a surveyor. You want someone reputable and local, who knows the area. Many Estate Agents will have qualified surveyors on staff who will value correctly, rather than a sales valuation, as long as they know the score.
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014
