if you lose your home to bankruptcy does the morgage lender have the right to make you move out straight away? we have a son of 16 does that make a deference? also is it very hard to get into the retal market when you are bankrupt?
What happens to your home depends totally on the equity situation. If you are in negative equity and can afford the ongoing mortgage and any secured borrowings on the property, you may not lose your home. If however there is equity available in the property, in the first instance a third party will be offered to purchase your equity share. If this is not possible the OR may take steps to realise the equity, which means you will lose your property. The OR has up to 12 months to make this decison so you will not be immeadiately 'homeless'
Renting can sometimes be difficult when bankruptcy appears on your credit file and a guarantor may be required from a letting agency. But agencies vary so not definitive answer can be given
The most important thing to remember, whatever happens - your home is where you actually live - it is not the bricks and mortar that's just a house - yes it will be hard to upsticks to an another property, if that is the outcome, but it is not the end of the world, it will be a far easier, worry free life to have a home elsewhere with no debt worries!
Hope this helps
Melanie
Melanie Nicholas 29 years insolvency experience - 23 of which in the Insolvency Service - Insolvency Manager Jones Giles email me at melanienicholas@jonesgiles.co.uk telephone 01792 899996
if you lose your home to bankruptcy
Posted - 29 July 2010 : 23:07:23
