www.iva.co.uk

Hi I am in the 6th and final year of my iva , but pay plan are requesting a further survey to establish the equity in my property ? As my property is jointly owned and my partner has spent heavily on home improvements I am concerned this will increase the equity and therefore leave me with a large lump sum to pay ! But as with all people on iva@s how do I possibly raise this money please ?

You won't be able to so they will probably ask for a 12 month extension (I'm assuming you have had 6 years because it was a NRAM mortgage or your original IVA was agreed at 6 years).

This is standard practice with home owners and, as lifenoteasy says, will probably result in a 12 month extension as it will prove impossible to raise equity.

If you wanted the IVA to close you could consider a secured loan but the extension would probably be cheaper in the long run. You should also advise your IP of the work your partner has done as this could be used as justification for a reduction in your equitable interest possibly avoiding an extension altogether.

Does your partner have a legal interest in the property? Most IP firms don't carry out a physical valuation of the property- you may want to see what their estimated value turns out to be and then decide whether to get one of your own or accept theirs. try not to sweat it - It may be academic if the 12 months extension kicks in anyway as the others have stated.

Hi Lisa,

Yes my partner has a 50% share in the property and also I am in the last year of a 24month extension.

Hi Your partner may be able to argue that they have more than a 50% interest due to all the improvement works they have paid for personally. Consider keeping that up your sleeve as an extra dispute if necessary...