Have i read this correctly? There isn't enough equity in the house so how can you remortgage? Most lenders won't touch anyone in an IVA with a large barge pole for a remortgage added to that they want at between 20/50% equity in any property so game end. Looking at this maybe IVA's should now exclude that clause unless of course there is a substantial amount in the house which can be released. Am i being unrealistic here?
Om shanti, namesté, good luck to all who are embarking on the IVA journey, it isn't always an easy one but the outcome is the best.
IVA COMPLETED August 2012, received Completion certificate 18.4.13.
Orchid - I don't think you are being unrealistic and I quite agree with you.
On the other hand, property prices will rise again - I've seen boom and bust twice since the 80's. I suppose the creditors are hedging their bets and hoping that house prices will rise in the initial five years. Who knows whether or not any mortgage lender will agree to a remortgage in the future.
Sharing from experiences of dealing with debt
The greatness of a man is not in how much wealth he acquires, but in his integrity and his ability to affect those around him positively.
Bob Marley. http://kallis3.blogs.iva.co.uk
Hi Jan, hope you are well, i think with the recent news on the current fiscal position of this country that isn't going to be for a few years yet so god knows what will happen, albeit i still think that the best place for any spare cash (oh i so wish) is in bricks and mortar.
Om shanti, namesté, good luck to all who are embarking on the IVA journey, it isn't always an easy one but the outcome is the best.
IVA COMPLETED August 2012, received Completion certificate 18.4.13.
I agree that buying a house is still the way to go. I remember buying a house in 1986 for £26k and doing a part ex two and a half years later for our current home and we sold it for £50k. The bottom fell out of the market and we immediately went into negative equity.
The market picked up and you had the boom time again but of course that's no longer happening. My house was valued at £215k when we started the IVA. Similar houses round here are going for about £170k.
Bit of a difference!
Sharing from experiences of dealing with debt
The greatness of a man is not in how much wealth he acquires, but in his integrity and his ability to affect those around him positively.
Bob Marley. http://kallis3.blogs.iva.co.uk
They may well do - we're almost 3 1/2 years in now and they've gone down significantly for us.
Sharing from experiences of dealing with debt
The greatness of a man is not in how much wealth he acquires, but in his integrity and his ability to affect those around him positively.
Bob Marley. http://kallis3.blogs.iva.co.uk
Yes i think you're correct Paul there was an article in the paper recently saying that house prices were going to rise again, however that was before they announced the current finances so maybe the year after next, i suppose that is the gamble of many creditors in all essence.
Om shanti, namesté, good luck to all who are embarking on the IVA journey, it isn't always an easy one but the outcome is the best.
IVA COMPLETED August 2012, received Completion certificate 18.4.13.
I am still seeing prices actually realised consistantly at least 10% below the asking prices in the South West. New builds are going up frantically, but. I imagine those sales are bouyed by Buy To Let and various equity loan schemes (which will bite back in 10 - 15 years time). New develoipments also have a higher percentage of social housing units these days.
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014
