fourth year release?

[Shining]

Can I add one question on here. Do you get the valuation first and if it's evident there is less than 5K equity do you still try to remortgage or just send in the valuation and latest mortgage statement. Can the valuation be on a resale basis by inviting an estate agent in to value?

[kallis3]

I think you would need to get the valuation done first but then if it was less than £5k I'd speak to the IP first and be advised by them.

[Shining]

Thanks Jan that made sense to me and as I'm at that stage I was just thinking out loud. I'll check with IP first but seems silly to get remortgage refusals if nothing to remortgage so to speak.

xx

[kallis3]

That's what I think as well.

[tobymoz]

Hi

Like you I have been really worried about this as we have a lot of equity in our home. My payments haven't increased in the 3 years since I started as I haven't had a pay rise and everything else has gone up so there is no surplus funds.

I checked my agreement and there was no reference to an extra 12 months payments in lieu of equity and when I checked with my IP they said we would cross this bridge nearer the time!

I couldn't rest with this and was so worried I asked them to put this forward to my creditors to be added to my agreement now rather than wait and to my relief they agreed to it.

I am still really worried as they aren't going to get anywhere near the return expected and if I can't re-mortgage then I will have only paid a tiny fraction of my debts back.

Can they do anything else now that they have agreed to this - I just can't believe they will accept 60 months payments and then let me walk away from so much debt.

Thanks for listening!!

[orchid5]

Hi Mark see what your house is worth and then speak with your IP for advice, I attempted to do that Lesley as i knew my home has reduced in value and as many of you know all i submitted to DFD at their behest was a copy of house down the road from me which was up for sale and evidence of my mortgage settlement figure they did the rest. I did however send in Zoopla's valuation of my house as well as evidence of valuations of property prices in and my borough over the last 5 years, the result for me was that as i had a 63pence in the pound to achieve, after my final payment in July of £565 i have to pay a further £743 wahoooo, then finished. Good luck Mark.

[brokebryn]

Hi Tobymoz,

Like you I can't see them letting me walk away after paying off about a third - which is what it will come to - would have been over half if I could have released the equity. Nevertheless, all the knowledgeable people on here seem to think that is exactly what will happen - that your creditors will realise that that is the best you can do in the circumstances and that you are seeking to pay off what you can by sticking to your IVA. There is also the factor that it represents a hell of a lot of work / time / money for your creditors to make you bankrupt - and one of the experts on here posted on a different thread that any such behaviour once you had ALREADY completed an IVA according to the conditions THEY laid down in the first place wouldcause utter outrage in the financial sector [you can readily see why as thereafter IVAs would be fundamentally blackened as viable debt solutions]. So I am just passing on to you what other much more knowledgeable and experienced people on this amazing forum have passed on to me - just keep up with the payments and things should really be ok if you have to go the extra 12 months. PLUS, don't forget, your creditors realised that you were thinking of this issue and THEY accepted the variation. If they had not done so, then it's time to worry, the fact that they did means that that's what they will accept in the eventuality that - as has happened to us all virtually since the recession - you are unable to release the equity through a remortgage. So smile and, like me, see it half full rather than half empty. Cheers.

[brokebryn]

Tobymoz:

Just read your post again - No, they won't accept 60 months - by agreeing the variation they have accepted that you will pay 12 extra months 'cos u can't release the equity so that takes it to 72 months.

[orchid5]

There is a plus side to this that if you can't re-mortgage and go on for a further 12 months that is the end of it, if you re-mortgage then it carries on for the duration of the mortgage term. Good luck for the remainder of your IVA. x

[kallis3]

Bear in mind as well that the vast majority of debts have been sold on to other firms for peanuts so these new creditors are usually happy to accept the extra 12 months.

[orchid5]

Yes and then finished, whereby if re-mortgage, interest rates up down, increased payments etc for the duration of the term, so probably more than it would've been over 12 months.

[kallis3]

Mine was actually a modification at the creditor meeting which we were happy to accept.

[Shining]

My valuation is booked for next Saturday at 9:30am, and I've got my mortgage statement to hand so hope they put the valuation in writing and then it can go off to IP. That's all I've been asked for to date. x

[back on track]

when i come to get valuation i can truthfully say im thinking of relocating and might want a quick sale.my firm actullay do pay a set amount to relocate if i wanted to.so im not really telling to many porkies.on zoopla my house has just dropped another £2000 since just before christmas.

[kallis3]

I've just had ours valued in case we need a variation and I was fine with telling porkies - managed to get it in writing as well with no problems.