Hi All
As part of starting my IVA, I had my property valued today at between 85k and 90k, I owe 65k on the property, and I have 34k debts.
Do you think I could sell my house and offer a lump sum to my creditors and avoid having to pay into an IVA for the 5+ years, would they accept that? and if so how much do you think they would accept?
I am no expert and I think your question is a very difficult one.
We have equity in our house, and we put it on the market at the beginning of last year with a view to downsizing and easing our financial burdens. In reality we had one viewing, reduced the price with no further interest, and took it off a couple of months later.
We entered an IVA in March this year and are finding life a lot less stressful.
My gut reaction would be to hang onto your asset and not sell in a buyers market. What do the experts say?
Forest it isn't easy to sell at the moment my friends house as been on the market for two years and she has had 6 viewers and received her price by £30k so I would agree with Hyper but your really need the expert advice for this one
It depends on how many creditors you have and which ones they are.You could start the ball rolling by making some of your creditors a offer explaining your circumstances to see how the land lies.Before my IVA i did a similar thing by offering my creditors payments based on my disposable income,i based this on pro rata payments so i did,nt prefer one creditor against others.You could also explore a IVA with a FULL and FINAL offer to clear your debts,but you would need a IP company to set that offer up.
Last edited by MRBLUESKY on Wed Jul 25, 2012 10:25 pm, edited 1 time in total.
Hi mrbluesky has a good idea. I would explore a way of selling and offering a sum to my creditors. Bearinng in mind that if you enter into an iva their is sometimes an equity clause at the end which can extend the iva by 12 months in lieu of equity or even recently people have had a loan put on the end of their iva I would if I could try and deal with reditors directly. Before we gave the keys to our house back creditors actually offered us reduced sums to pay the loans off. Overall speak to the experts on her and there is an ip who posts regularly who may be able to help. Read all the small print if you do enter into an iva. Do what's best for you after taking expert advice. Take care
