www.iva.co.uk

Hi im in the process of getting info together with a view to making a f/f offer thanks to an offer from my sister. I have just entered my final year based on 60 months,my property has been valued at £165,000(i asked for a quick sale valuation) and i have a mortgage of £130,000 the house is in joint names with my wife and she is not included in my iva can anybody tell me what my share of the equity will be based on the figures shown and also when i first took out the iva my proposal states that the property was valued at £185,000 although i cannot recall getting a professional valuation at the time and suspect it was a rough guess based on property at the time in my street,does anybody think there will be a problem with such a fall in value over the last 4 years Thanks Marcus777

have you got the 85%ltv clause in your proposal?

Do you have any redemption penalties on your mortgage?

Our house was valued 87k in 2007 and now its worth 60k in a quick sale situation. One of the major factors in the depriciation is the dire need for repairs and of course the economy going to pot.

Hi. I hope every IP realises ( and certainly the creditors!) that the property market was at it's latest height in 2007, since which time it has fallen steadily, back to about 2004 / 2005 levels.

Hi thanks for the replies,yes i have the 85%ltv clause in my proposal and i dont know if there are any redemption charges just going off my mortgage statement that arrived last week but based on the figures stated what would my equity be ,just trying to get my head round it. Thanks Marcus777

£5,125.

Look for the £5,000 clause in your IVA proposal.

Ooops sorry forgot.....

85% LTV on £165,000 = £140,250
£140,250 - £130,000 (Mortgage) = £10,250
£10,250 / 2 (You & Wife) = £5,125

Thanks for the reply ,yes i do have the 5k proposal in my agreement and it would seem that im that close to not having the required equity that it may not need my sisters help and my iva will finish in December . Can anybody tell me if you have slightly over 5k does it automatically trigger the extra years payment or is there some discretion Thanks Marcus777

Hi Marcuss - you appear to be on the cusp...I would really talk this through with your IP as only they will be able to advise you on the specific circumstances of your case. Good luck and let us know how you get on.

It would seem that Marcus may have to contribute £125 based on the figures he has presented. A good deal all round perhaps, and full compliance with the terms of the IVA.

Hi, i decided not to pursue a f and f and plod on to the end of the year i am now at month 54 and have had a professional valuation and received my mortgagae redemption statement, It would appear that i have £11.000 equity split between myself and my wife making my share £5500 based on this do you think i wiil have to pay another year or just the £500 over the 5k Thanks Marcus

You won't get the benefit of the £5,000 deminimus figure, Marcus, so the figure you would need to raise would be the full £5,500 - or 12 months additional payments as an alternative if you could not raise the money. How much are your monthly IVA payments now?

Thanks for the reply Melanie my monthly payments are £387 ...Marcus777

In which case you would need to make 12 additional payments of £387 during an extended sixth year.

Hi Melanie or anyone else ,I decided to contact another estate agent to value my property after your last post to get a second opinion,the new valuation based on a forced sale came out at £160,000 so i sent this off .Today i have received a later back stating valuation £160.000, mortgage redemption £112.547.75, secured loan, 16.268.16 ,equity £31.184.09, your share £15.592.05 , and they are now asking for a re mortgage quote ,can this be right ? The figures above and the advise i received earlier seems to contradict this .Very confused Marcus777