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Topic starter
17/04/2011 7:54 pm
I've entered into a td and like others I'm struggling to get my head around the issue of equity.
A recent drive by of my property resulted in a £120k valuation of our property, minus outstanding £108k mortgage we've been told that we have £12k equity to find at the end of the TD. However, recent sales in our street plus 2 houses currently on the market show that the current going rate for this type of house is nearer £100k.
My question is, should I challenge the valuation now.Furthermore, if we dont challenge this now, is the valuation currently made cast in stone, or would the trustee value the house again at the end and alter our equity if necessary.
17/04/2011 8:05 pm
I too am a little unsure about the question of equity as unfortunately it seems some companies work different to others. From experience i have had with my trust deed anything you are unsure of or unhappy with needs to be addressed as soon as possible. I think they would go with the figure at the start of the trustdeed so it is important to get a correct figure so you know how much equity if any you have to find at the end of your trust deed. Im sure in some cases the trust deed can be extended to meet these payments but again you are best to double check with your trustee and dont leave anything to chance. Good luck
annemariemcalpine
17/04/2011 9:45 pm
Hello newtothis and welcome to the forum.
Whether or not your property will be revalued later may depend on the exact nature of your trust deed.
I tend to agree with anniefun though, if you dispute that valuation I think you should gather some evidence and do it as soon as possible.
Qualified Debt Adviser & Forum Administrator - Ask me anything about Trust Deeds 
17/04/2011 11:18 pm
I agree too, it is always better to sort this typr of thing out immediately - your argument is weaker if you have not said anything at the time.
The trustee should go by the equity at the start, not at the end, though it is probably wise to seek assurances about this and hopefully they will put your mind at ease at least about this newtothis
Scottish Debt Solutions Expert - Ask me for help setting up a Scottish Trust Deed or Debt Arrangement Scheme plan.
18/04/2011 9:23 pm
my trustee did a drive by valuation 5 years after I signed trust deed! At time of signing there was very little equity and he said that he would only look for £500 in respect, now wants over £13k!
I got my own valuation done and sent it to him, and he is accepting mine along with the face that I am going to a solicitor.
Challenge it immediately! It cost me £180 but worth it
