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hi there,my brother is about to go bankrupt,he has two houses

 

Customer Question

hi there,my brother is about to go bankrupt,he has two houses , the one he lives in he owes £160,000 on and is worth £200,000.the on he rents out he owes about £90.000 and its worth £110.000. credit cards and buissnes loans are about £50.000.he has rented a house to live in and his father in law has payed 6 months rent sso they can get back on there feet,he is worry is that the liquidater will take his belongins ,he has sold his car buy what about everything else?

Submitted: 338 days ago.
Category: UK Bankruptcy Law
Value: £33
Status: CLOSED
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Expert:  UK-Justice replied 338 days ago.

Thanks for your question. Please remember to click ACCEPT once you get my answer.

If there is equity in the properties then he will either have an opportunity to purchase the equity (property) or the OR will take control and sell the assets.

However with his home he will have around 1 year to raise the money to buy the property.

But the OR will want to sell the property if there is equity.

The OR will only take belongings of high value (such as large plasma TV or luxury watches etc).

The OR will not normally take possessions that are essential for every day use.

Please remember to click accept so that I am credited for my time. Thank you.

Customer replied 337 days and 21 hours ago.

will the OR come to his rented home?or even ask where it is? and will his new landlord get to find out he has gone bankrupt?can the O R find out where he is going to live?will he be advised to put high value things in to storage? and how long can the OR have a claim on them? can he return time after time?

Accepted Answer

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Expert:  UK-Justice replied 337 days and 21 hours ago.

The OR will require a full disclosure of all assets.

The OR will advertise the bankruptcy so the Landlord may see it, although unlikely.

If he rents his home (as tenant) then he wont lose this.

The OR owns ALL assets once his is made bankrupt.

Please remember to click accept so that I am credited for my time. Thank you.

Expert TypeBarrister
Category: UK Bankruptcy Law
Pos. Feedback: 96.4 %
Accepts: 178
Answered: 5/8/2012

Experience: Called to the Bar in 2007

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