IVA declined due to too much equity

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hrobson

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Post by hrobson » Thu Oct 04, 2018 2:19 pm
What to do if house is has too much equity according to IP so Iva declined

SteveUK

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Post by SteveUK » Thu Oct 04, 2018 2:34 pm
hrobson wrote:
What to do if house is has too much equity according to IP so Iva declined
Re-mortgage?
Downsize?

kallis3

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Post by kallis3 » Thu Oct 04, 2018 3:11 pm
We had a load of equity in ours and had no problem with an IVA. If you are already in debt you are unlikely to be able to remortgage.

Which company was this with.
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Foggy

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Post by Foggy » Thu Oct 04, 2018 3:15 pm
What are the figures involved and at what stage were you told this .... and by whom?

Sometimes this can be a hurdle for some creditors.
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014
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luluj

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Post by luluj » Sat Oct 06, 2018 1:46 am
We were faced with the same situation at the outset of our iva in 2007.
For us the option was either sell the house and go into rented or consider bankruptcy.
Due to my employment bankruptcy was not an option so we sold up and moved into rented for 3.5yrs - a decision we have never regretted. It allowed for the secure loan to be paid off as well as the mortgage, and then our iva was set at a repayment that provided 91p in the £ return.
Due to sad, unforseen circumstances in December 2009 our iva came to an early end and through inheritance we paid 100% back of our original debt plus IP fees.
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Shaun Vickery

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Post by Shaun Vickery » Mon Oct 08, 2018 11:09 am
Creditors do seem to be raising this question increasingly at the moment. If you are unable to re-mortgage to settle the debts and they need to be resolved I suspect selling up may be the only option.
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Lisa Thomas

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Post by Lisa Thomas » Mon Oct 08, 2018 12:11 pm
The IVA has to be fair and reasonable to creditors and attractive enough for them to accept the alternative that you might propose through an IVA.

I presume you have not actually put any proposals forward but an IP has told you an IVA would not be viable based on whatever alternative you were proposing?

What did the IP tell you was your best option?
I'm a licensed IP with 16+ yrs at Neville & Co covering the South West area. I have a YouTube channel with advisory videos on here: https://www.youtube.com/channel/UCMPTTu ... Z5k9ZcC2MA http://www.nevilleco.co.uk 01752 786800 Lisa@nevilleco.co.uk

hrobson

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Post by hrobson » Tue Oct 16, 2018 7:48 am
I have been declined an IVA as allegedly following a zoopla search my house has too much equity.
The reality is that it is a paper exercise.
If i did sell my house and pay off the debts I would be homeless as couldn't buy again as insufficient funds and would be declined a mortgage and would not even be eligible to rent as that involves a credit check.
What do you advise?

Foggy

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Post by Foggy » Tue Oct 16, 2018 8:32 am
How much equity do they "calculate" and how much is it in reality ? Who advised you and was this at initial enquiry or was it refused by creditors at the meeting ?
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014
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Foggy

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Post by Foggy » Tue Oct 16, 2018 8:34 am
Topics merged.
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014
http://foggy.blogs.iva.co.uk
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