Welcome to the trust deed forum getting close.

Do you have equity in your home do you think?

Was there any discussion about how equity would be dealt with when you signed the trust deed, and indeed also about your car?

Could you also tell us when your trust deed was signed?

Equity of which I think is about £40000, jointly shared with my wife. IP says £60000 from drive by valuation. This was mentioned at start as was car. Have had to swap car for much older model due to an expensive repair being required. This was cleared by IP. IP says they will put us in touch with mortgage broker who specialises in remorgages for Trust Deed customers.
Trust deed signed in May 2009.

Hi getting close.

It does sound as though you'll be expected to "release" this equity according to the information that you have provided.

I'm a little sceptical about the idea of there being a mortgage broker that will be able to assist with releasing the equity for the trust deed by way of remortgage.

It's a long time since anyone on this forum has been able to achieve that due to the way the mortgage lending market has changed.

We've heard in the industry press that there might be mortgage lenders prepared to offer a 70% loan to value remortgage to people while they are in trust deeds, though this obviously falls some way short of releasing all of the equity in a property.

Could you tell us how much you believe that the home is currently worth and how much is owed on your current mortgage?

The identical house next to ours sold for £110000 last quarter of last year. this had been fully modernised, new kitchen, bathroom etc. I think ours would be worth no more than £105,000 at a push. Outstanding morgage is approximately £58000 I think.

OK. If a 70% loan-to-value remortgage could be obtained that would be for £73500 based on a valuation of £105000.

After £58000 was repaid on your existing mortgage there might be £15500 lump sum available to put towards the equity. I'm not sure whether your trustee would consider that to be sufficient if such a new mortgage were obtainable.

It may be the case that mortgage availabiility has changed in recent weeks, so there probably is no harm in at least speaking with the specialists your trust deed firm have suggested.

Can I ask how much was owed in unsecured debts at the time your trust deed was signed?

If I remember rightly it was about £35000, but due to non existant advice from the IP my wife ended having to face a decree as my bank took her to court for our joint account which she never used. This should be reduced by about £3000. I could have changed the account to my name only and this would have been covered by the trust deed.
At present I have had very little contact with the IP recently so there has been no names mentioned.

Hi getting close.

You may wish to further enquire about the mortgage broker mentioned by your insolvency practitioner.

Usually these days it's a non-starter as an option but given the amount of equity that might exist, and the fact that only half of it is yours, there might be something to work with.

I know of several people who secured a mortgage while IVA's were still on file but the LTV is important,so a deal may be out there but expect a horrendous interest rate and be cautious of any early release fees etc.

Paul

Thanks to all for your helpful reply's, will contact IP after the Easter break to see what they say.