Can anyone give advice please?

[jkt1950]

All advice welcomed.
We have just put our property up for sale as we are finding it increasingly difficult to make ends meet. I am just coming to the end of the 2nd year in an IVA and my partner is in a seperate debt management plan.The house is in joint names and 50% of my 50% 0f the equity will need to be raised at the end of year 4.
When we sell, will this money be taken by the IVA automatically on completion of the sale? Our intention was to downsize and reduce our mortgage payment but we are really worried we will be left with no income at all from the sale. Can anyone give advice please?

[Lisa2009]

Firstly before the proffessional experts arrive to give advice.....
Have you had the permission from your IP to sell the house?
If so, what has he/she said about it?

[aguise]

Hi there and welcome to the forum. Have you spoken to your IP about this, I think it would be best to otherwise you could as you say end up with nothing from the house sale and cause no end of problems. I am not a technical expert, os other answers will follow, but I would speak to your Ip explain the problems with the mortgage payments and seek their opinion.

Ang

[Adam Davies]

Hi
I think that you will be allowed to sell up and downsize,releasing some of the equity into your IVA.However be aware of the fact that your disposible income will increase as your mortgage payment will reduce,this may mean an increase in your IVA payments and you could end up no better off.Also your creditors may want a second bite of your equity at the end of your IVA with the new property.
Have a good chat with your IP,you may be better to sell up and pass all equity in your property to your creditors and leave enough to put a deposit on a rental property.
Your IP is the one person that can advise you of your options
Good luck

[jkt1950]

Hi, No I haven.t spoken to my IP yet, but it is now the first on my list of things to do on monday.
Our thoughts were to downsize but we've not ruled out renting something. Our mortgage repayment is £1626 a month plus £216 insurances (payment protection and sickness redundancy etc) I pay £300 monthly IVA and my partner paying £152 monthly DMP Then there is all the essentials, food elec gas fuel etc etc, and nothing much left after that.

There is only 7 years left on the mortgage, and the property is in effect our retirement fund, but as Ive already said the situation just seems so desperate.

Do you think I would be allowed to clear my IVA with the sale of the house as clearing our debt is the only priority now

[jkt1950]

I should have mentioned that our house is valued at £259000 and the outstanding mortgage is £133000 approx, with no arrears

[Adam Davies]

Hi
What was you total unsecured debts when you entered your IVA and your partners in his DMP ?
Regards

[jkt1950]

Hi, Yes my debt was 39k and Christine, my partner, her DMP is approx 40k. We are very reluctant to sell our property and feel if we can see the IVA through to the end then our prospects at retirement will be infinately better. I am 57 and Chris is 56.
You can probably tell that we are on an emotional rollercoaster, so I do hope I am making sense here[:(] One worrying aspect is will I be able to afford the remortgage I have to raise at the end of year 4

[chris.g]

Hi jkt1950, just wanted to welcome you to the forum, you'll get good advice and support here

[jkt1950]

Thankyou to all for your advise and comments.

After long discussion with my parner we have decided not to sell our house, and to tighten the belts a little more and see this situation out. I tried numerous times to contact my Bolton based IVA company but to no avail! I have submitted a new post ref IVA transfer and hope you can give me some feedback.

Thanks again [^]