Hi portway and welcome to the trust deed forum.

If you have an asset worth £8000 you'll need to introduce that sum into your trust deed in addition to the monthly contributions. It would be fine if family members paid that lump sum.

As the situation regarding this property is quite complex you'll want to ensure your trust deed firm agree with your analysis of who owns what before you sign. Get this in writing. The transactional proof you have will be helpful for this.

Hi portway

I think you need to be careful in your calculations. You mentioned receiving £25k, however unless this was recorded against the house as a secured loan or the split was altered, then your 1/3rd share will be £33k still

Mark

Hi portway & welcome to the Forum

I would agree with Mark reagrding your equity. As there has been a few transactions here, you need to arrange a face to face meeting with someone, and make sure you have in writing exactly how much equity is required. If it is the £8,000, then the Trustee may accept less on the grounds that it would expensive to force such a sale when there are 2 other owners involved, and the fact that your parents still live in the house. " A bird in the hand is worth 2 in the bush." As i said, the important thing is to make sure you have it all in writing - before you sign anything. Sounds like your family are pretty supportive.

Hi portway

if you clarify the position re the property, hopefully we can assist further.

Mark

Hi

Many many thanks for the replies everyone. I will gather all the paperwork I can with regards to the payments as well as re do my annual budget. I'm self employed and I assume I need the past 12 months budget as opposed to my last tax return.

My family have been very supportive in the past few years, I'm just not moving forward in life, simply fighting it all off and just making ends meet. It is all starting to affect me on a more emotional level now and I have had enough of trying to live with it all.

Once I have more paperwork I'll arrange a meeting face to face to look through my options based on agreeable equity as well as affordable monthly payments.

Huge thanks again everyone....will be in touch very soon.

Hi portray

No problem. If you have a face to face meeting, you can look at all the options and weigh up the pros and cons of each

Mark

Hi

I have my bank statements showing the payments into my account from my sisters account, as well as the creditors I repaid at the time on my credit report.

It was a verbal agreement with my sister, but as the years have passed without getting repaid herself, she had our solicitor draft a letter ensuring the funds due to her, are repaid in full upon sale of the property.

It has also been discussed that they buy me out finally and remove me from the title deeds completely. Not sure they can afford to at the moment though.

It is very complicated for sure. Hopefully we can arrange a meeting within the next couple of weeks.

Cheers again....

Hi portway

Sorry, but proof of lending will make no difference as I suspected.

In any Trust Deed, irrespective of the sums, the Trustee will look at the position with the house and take account of the value, less the secured borrowings (mortgage) and then see who has title to the property. Unless there was a security placed against the property for the £25k, then your one third share will be for the full balance of that 3rd.

If I had a pound for every time I have seen this, I would be a rich man.

The most common similarity is when a couple divorce and the minute of agreement agrees for the house to be transferred in full to the wife. However there is no formal transfer and the husband signs a trust deed. As there is no formal transfer on the title deeds, then the property remains joint.

Sorry to be bad news on a Sunday. That said, I would still strongly advise that you look at all the options to try and regain some control of things.

Mark

Hi portway

I have to agree with Mark, and it doesn't look too positive regarding the equity. Had your sister's solicitor registered a standard security it would have been different. However, don't give up, we will help to find the right solution for you. The debt seems to be taking it's toll on you, so you need to get things sorted once and for all. Stay positive.

A wee afterthought

If you can show the 25k, then there is a possibility of this being a claim inany trust deed and therefore liable to a dividend payment.

Probably small consolation, but it all counts.

Mark

Ah that all sounds not so very good. Back in the sinking sand again. As it is her money, she is entitled to registering a standard security, so if she does that, would I then be in a better position, where my share would only be the 8k?

I have RBS threatening me with a decree on my flat. They are really heavy handed and forceful demanding 300 per month for a 17,000 debt. It's crippling me when all my other creditors are accepting less than that between them all. Would they then hold that decree against me for my full debt as they are 'in first' or would the trust deed overwrite their decree? Is it first come first served?

Cheers

Hi portway

I assume the property is held in the 3 names. If this is the case, you can try to register the standard security, however should you sign a Trust deed or proceed along the sequestration route, then the Trustee would move to have this cut down (removed)

The decree is first stage action and has no effect other than to show the debt is a legal debt, but more importantly it allows them to proceed with other action which could be wage arrestment or more likely letters of inhibition. The latter would stop you doing anything with either property and they would receive payment 1st from the net proceeds in any sale.

Sorry, it just seems to be bad news again.

Mark

Hi portway.

It might be worth having a read about the Debt Arrangement Scheme:

http://www.trust-deed.co.uk/debtarrangementscheme.php

If your creditors will support this being set up your property interests would be safe as DAS doesn't take assets into consideration (unlike a trust deed or sequestration).

So with a registered standard security, surely that is a legal document as to the fact she bought a larger share of the property the three of us own, sold to her by me. How can a trustee just have that removed?

Is it likely they would be successful in such a move?