Maybe your partner's best bet to remove any uncertainty would be to make an offer to buy out the trustee's interest in the property in which he lives. As long as all parties or willing, this transaction could be backed by a formal legal disposition and he could take sole ownership of the property. He would still own half of the other property too.

Kevin, thanks he is considering this,it's sounds like his best option and has spoke to the trustee again today. They don't have an interest in the properties at the moment however there is a 19 months still to go to the end of her TD. What they did say though that the equity has gone up to 22,000 big difference from 7'000! the first being an estimate at commencement of her TD. there is £30.000 in the one she is living in.what if he offers them £11,000 how would that affect his other house? as the deficiency would still be roughly 19,000 after all is paid?

Lucy, I'm confused-I'm guessing you are too since you don't have direct access to any info.
You said earlier that 2 x £500 had been paid to protect equity in both properties. I understood that would mean values at the beginning of the TD would be the ones used in calculating equity to be paid over and would be fixed throughout, 'protected'
I'm not sure a higher figure of equity can now be introduced IF the £500 payments were made. How sure are you of what was agreed in writing with the trustee at the start regarding property/equity?

Hi Pamjo,

I think that the issue is that these £500 payments were not made.

Might the £22k be their total interest in both properties - ie £15k in the other place (half of total equity £30k) and £7k in the property he lives in?

I think he has a right to see the valuations that they are basing these figures on and a written summary from them of the situation so that he can assess his options.

Hi,TDA

yeah, I re-read Lucy's post, she said that 2 x £500 had been 'added' to protect the equity and prevent the need for other valuations being needed. That's why I'm confused, what does 2 x £500 'added' mean and if valuations have already been done, are they needing to be redone or have they been redone at all?
I think Kevin may have reached 4 by adding 2+2, the figures work for £22000 being the combined figure of £7000 added to the £15000.

TDA is correct, they were added but not been paid.

At the time of signing the mortgage they said there was not much equity in his I.e 2x 3.500,= £7,000..and seemingly since then they revalued the house (Nov 11) and now reckon the equity in it is more than speculated at the beginning.ie;11'000 x 2 22,000

In the other house they said they've valued it at 70,000 now it's lower than a valuation done by local agent from last year by 10,000 only 50'000 mortgage owing on that one i.e equity 15,000 x2 30,000

it's a total mess so now my partner has to find according to them £11,000 to buy her interest in the property.. he spoke to his lawyer and he said they could sell his home or hers seems so unfair as none of the debt his! he's so frustrated at the moment.

sorry meant to say TD instead of mortgage!

Kevin, he has asked to see the valuations. they did say they would post them out two days ago.perhaps recieve them soon

Hi lucy.

It's all very unfortunate and must feel quite unfair from your perspective.

Hopefully opportunities will arise to bring this all to a conclusion that you are reasonably comfortable with.

Surely if the other property is having to be sold anyway to realise your partner's ex's share then it will realise your partner's share at the same time? He could use then use some of this money to buy out the trustee's interest in the property he is living in.

That would be the Ideal answer Kevin in my opinion too. but they're likely less to sell her property ?as I would have thought because of a child being in that home.

Hi lucy.

I suspect the other home may be more exposed.

Using your figures from below:

If the home your partner lives in is sold the trust deed gets £11000 and your partner gets £11000. That doesn't cover the amount owed for equity by his ex. Your partner has no incentive to use any of his share of the equity to help his ex. They may then need to look to her home as well.

If the home his ex lives in is sold a higher figure of £15000 is generated for the trust deed creditors, and your partner may agree to contribute some of his £15000 share to keep the home he lives in out of the equation.

Forcibly selling a home is an absolute last resort for a trustee. Selling one would generally be much more preferable than selling two in the rare occasions that this arises.

I can't see a sheriff looking too favourably on any action to sell the property that your partner lives in if there is a solution whereby the other property can be sold. Your partner is not the insolvent person after all so I'd have thought a sheriff would lean in his favour.

However, I am not a lawyer, and I would strongly urge your partner to get independent legal advice if it looks as though the trustee is likely to target the house he lives in.

an update of what is happening, my partner recently received the valuation report for the property he is in from the Trustee. It consists of a drive by valuation and the price speculated by the going prices of the same type of properties in the area.

My partners question to trust deed experts..

1. what if he got a legal valuation done on his property and it was less than the drive by one would the trustee be likely to accept this?

2.If my partner gave them 11,000 would it need to consist of a lump sum or could he make monthly payments to her td?

3.If the full amount was paid would that therefore release her from the Property with her having no further interest?

4.Is it possible he could offset his share of equity in the other property to the trustee - which he would be prepared to do! in order to free their interest in this property

My partner is trying to work out the best option here never seen him so stressed!

Lucy