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Posted: Wed Mar 30, 2011 10:43 pm
by cooltony
i am entering my 5th year adn i have been ased to remortgage my flat. i have £11,000 equity in it but unable to get a mortgage due to the high loan to value rate. 4 years ago it was valued at 75000 and now its 63000. i am so worried. can someone please give me some advice.
Posted: Wed Mar 30, 2011 10:50 pm
by kallis3
Hi Mr Worried and welcome to the forum.
You are highly unlikely to be able to remortgage at all whilst in your IVA, speak to your IP and ask what will happen if you can't.
They will more than likely do a variation meeting and ask your creditors to extend for an extra year in lieu of the remortgage.
Posted: Wed Mar 30, 2011 10:53 pm
by jameshale6
most iva's are to get a remortgage quote in the last 6 months of the term and they do have specific fullfillments to adhere to, like mine states that at month 54 i will obtain a remortgage quote and if there is any equity over 5000 then a remortgage should be attempted to bring these funds into the iva. However the terms are the maximum loan to value i can go is 85% and also the payment must not be anymore than 50% of the iva payment. You will also find that there are going to be very few lenders willing to lend on a person in a iva. If a remortgage cannot be done then another 12 months payments must be made to cover any equity release that cannot be done.
Have a good read through your contract and if your in any doubt ask your IP, after all you are paying them for a service
Posted: Wed Mar 30, 2011 10:58 pm
by kallis3
As this is an older IVA then it won't have quite the same conditions as the ones which are protocol compliant.
The vast majority of the older ones have to go back to the creditors to ask for an extension.
Posted: Wed Mar 30, 2011 11:24 pm
by Adam Davies
Hi
Worse case scenario will be a one year extension to your IVA. Best case your IVA will conclude at the end of year five
Regards