Hello sallymilne; welcome to the trust deed forum.

Could you answer a few questions that will help the experts to answer your question please?

Could you confirm that the home is still jointly owned (or not)?

Can you tell us how much remains outstanding on your mortgage and other other loans secured upon your home?

Was there an agreement at the start of the trust deed for you to pay in a specific amount based upon the equity figure at the start of the trust deed?

Could you also let us know how much you pay into the trust deed each month?

Sorry to ask so many questions but the answers will be really helpful.

we pay ?ú320 into trustdeed
120 for me and 200 for my xhusband
house is still jointly owned been told we cant do much untill trustdeed is finished
we sighned the trustdeed with us thinking the house was woth around ?ú98000 they then valued it at ?ú105000 then wanting around ?ú25000 at the end i have since then revalued the house at just ?ú89000 they asked us to get this done but have heard nothing from them we also are paying an extra year 4years instead of 3 dont realy no why
we have ?ú75000 still outstanding

Hi sallymilne. Thank you for the extra information.

It seems as though raising the ?ú25000 originally mentioned will no longer be possible due to the reduction in the value of the home.

However I'd imagine that if your new valuation is accepted the trust deed company will be looking to realise at least the ?ú14000 equity that now appears to exist.

That probably will mean a ?ú7000 liability for each of you in order to bring the trust deeds to an end though this is one of these areas where we probably cannot provide a definite answer and you'll need to agree something with your Trustee.

If it were ?ú7000 it wouldn't have to be raised by the sale of the home. It could be raised by a family member, for example, contributing the funds. It might also be handled through additional monthly trust deed contributions but, as this appears as though it might take a very long time, it might not be considered to be appropriate.

One of our trust deed experts may have other thoughts and ideas on the subject for you...

what about a remortgage but where would i start to look also we have already paid an extra year i have contacted our trust deed but have had no help from them my husband nolonger lives at the house i have told them about our changes of circumstances but once again no reply

Hi sallymilne.

I'm not aware of any mortgage lender that is currently prepared to advance additional funds to someone who is currently in a protected trust deed I'm afraid.

I'm also not sure, from what has been written, whether you have paid an "extra" year. The term of a trust deed is usually three years, but in certain circumstances it can be extended beyond this (by agreement at the start) in order to make it viable. Did you agree to a four year trust deed at the start?

The period agreed at the start is the period for the monthly contributions. Any contribution in lieu of assets is in addition to the agreed monthly payments.

I suspect that the trust deed provider is waiting until the monthly contributions have been completed to determine exactly how the equity will be dealt with. If you agreed at the start to pay a sum in lieu of equity the ball will be in your court to some extent to come up with a plan to make that happen, though that doesn't mean that your trust deed company should not be helpful in laying out the options open to you.

I sympathise with your situation sallymilne. Unfortunately, when a trust deed is set up on the basis of equity somehow being released from the house to be paid in at the end then this kind of thing is bound to occur. As trust deed assistant says, remortgaging is hardly ever an option these days, as it used to be.
I think the best outcome is likely to be your trustee agreeing to accept the lower amount based on the new figure and a third party being able to find (borrow?) the funds to pay in for you. At least once you are discharged then you may be able to afford to repay the loan instalments that the third party may have had to sign up to.

Another alternative might be the mortgage to rent scheme? With this option you would be able to stay in your home and the equity would be released for your trust deeds, but you would become a tenant instead - usually to a housing association.

thanks for your advice il have to try and get answers from my trustdeed about whats going to happen at the end the thought of losing my home is horrible this kind of way out of debt sounded good at the start but has ended up a nightmare il also have a look at the mortgage to rent idea