House Has $30k or More in Equity
So, in Victoria, what will happen to their house when they apply for bankruptcy? In this case study we can consider the equity as anything above $30,000 so this would be the same scenario as if their equity was $30,000, $100,000, $300,000 or $1,000,000 it does not make any difference the principle is the same.
Surrendering the House to the Bank.
So, Bob and Sue decide to surrender their home to the bank. The very first thing we at Bankruptcy Experts Frankston would do for them is get them to sign a legal document which is like a deed of release meaning they have voluntarily surrendered their home.
A Question of Caveats
Bob is a builder in VIC and has really been struggling due to the fact that he injured his back. He owes $150,000 in overdue accounts to a particular hardware store who have actually been really patient with Bob and are aware of his situation.
When The House is in Your Partners Name and They Don’t Need to Go Bankrupt.
Why Would You Go Bankrupt If You Had Equity In Your House?
But I Have Mortgage Insurance?
I Have Heard My Property Can Be Tied Up for Eight Years or More When I Go Bankrupt?
What If I Decide to Hand the House Back to the Bank When I Go Bankrupt, How Long Do I Have Before I Am Required to Leave?
Bob and Sue have struck a few financial hurdles and have decided to go bankrupt. They cannot afford to maintain the mortgage payments and so have decided to walk away from their family home. The question is, once bankrupt how long have Bob and Sue got before they will be required to leave the property?
I Bought a House With Compensation Money, Is That Money Safe If I Go Bankrupt?
Bob and Sue have been living in their family house for many years. About five years ago Bob had a major accident at work, he got a large compensation payout from his employer which he put into the house mortgage. The question is, if Bob decides to declare bankruptcy is that compensation money safe or will he lose it?