Hi really need some good advice here.
Home is in jointly owned by person A and B (son and mother).
Person A is in considerable debt (county court judgments etc, the whole shabang). As Person C has been paying towards mortgage for over 5 years, person C would like to jointly own the house with person B, removing person A from the deeds and ownership.
However, some of Person A's debt are aligned into the house (not sure how), up to approx £10,000. Person C is concerned that taking ownership will result with debts falling on Person C, ruining their credit rating and chances of getting future mortgage etc.
Person A intends on filing an IVA (individual voluntary arrangements) to clear up to 60% of debt and repay the remainder over approx 5 years, however, can only do this after names are changed - is this true? and is this the best method? or is it really person C who has to apply for IVA?
Person C is not fully aware of the implications this can cause Person C and would like some advice. Person C is a very responsible person and has a promising career which should help gain them a mortgage soon but does not want to engage in anything that may ruin credit rating. At the same time Person C does not want to lose the house they've been paying mortgage for because of Person A's stupid debts, also as almost half the mortgage has been paid off. Person C has little savings as Person A has milked them dry.
Ideally, Person C would like to take ownership of the house and continue to pay the same amount of mortgage that is currently being paid but does not want to carry person A's debt. But if Person C applied for a mortgage then it is likely mortgage payments would end up being considerably higher than they currently are (also person C has little savings now and seems like name transfer is easiest way to get rid of person A as owner).
Any advice and best solution to this tricky situation would be greatly appreciated.
12qwaszx
uk england
Home is in jointly owned by person A and B (son and mother).
Person A is in considerable debt (county court judgments etc, the whole shabang). As Person C has been paying towards mortgage for over 5 years, person C would like to jointly own the house with person B, removing person A from the deeds and ownership.
However, some of Person A's debt are aligned into the house (not sure how), up to approx £10,000. Person C is concerned that taking ownership will result with debts falling on Person C, ruining their credit rating and chances of getting future mortgage etc.
Person A intends on filing an IVA (individual voluntary arrangements) to clear up to 60% of debt and repay the remainder over approx 5 years, however, can only do this after names are changed - is this true? and is this the best method? or is it really person C who has to apply for IVA?
Person C is not fully aware of the implications this can cause Person C and would like some advice. Person C is a very responsible person and has a promising career which should help gain them a mortgage soon but does not want to engage in anything that may ruin credit rating. At the same time Person C does not want to lose the house they've been paying mortgage for because of Person A's stupid debts, also as almost half the mortgage has been paid off. Person C has little savings as Person A has milked them dry.
Ideally, Person C would like to take ownership of the house and continue to pay the same amount of mortgage that is currently being paid but does not want to carry person A's debt. But if Person C applied for a mortgage then it is likely mortgage payments would end up being considerably higher than they currently are (also person C has little savings now and seems like name transfer is easiest way to get rid of person A as owner).
Any advice and best solution to this tricky situation would be greatly appreciated.
12qwaszx
uk england
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