Thanks Mish - I had a lovely break from work.
In readiness for your negotiations with the OR, you need to get the property valued. A local estate agent will usually do this free of charge, and at least you will know where you stand. Also find out a current redemption figure from your mortgage company, so that you can accurately predict the equity sum. The fact that this case has been referred to the RTLU suggests to me that the OR feels that the equity sum may be lower than £10,000, so at least get your own figure in mind before you consider how this may be addressed.
As you are a single Dad, with - remind me a 14 year old daughter? - it is unlikely that a Court will grant a possession order whilst she is still in full-time education, so you may be able to delay matters even further. It is also getting increasingly possible, once you have received your discharge from bankruptcy in less than a year's time now, to apply for re-mortgage funding to effectively buy back your equity yourself. This may provide a solution for you which you can persuade the OR to seriously consider, as there a high legal costs involved in possessory proceedings which may negate the reduction in money as you will not get a 100% loan to value re-mortgage. You could also consider taking out a secured loan to purchase the equity, as these lenders are becoming more and more amenable to ex-bankrupts.
My advice at present is sit tight - but get the paperwork in order - be as co-operative as you can with the OR, and keep your mortgage payments up to date. I gather property prices in Ipswich are a little flat at the moment, so you have nothing to lose.
Regards, Melanie Giles, Insolvency Practitioner for over 20 years.
For further details contact me at
http://www.melaniegiles.com and view my IVA blog at:
http://melaniegiles.blogs.iva.co.uk
