# Is it possible to buy back your home after bankruptcy



## Eilish (19 Apr 2017)

Hi, has anyone ever heard of anyone buying back their house after bankruptcy. I fell into mortgage arrears in 2010. After lots of negotiations with the bank and trying to sell the house I surrendered it at the banks suggestion. I moved to the UK and declared bankruptcy. I have beed discharged since early 2014. I am now back living in Ireland and livning in the house owned by my husband. The house I owned is on my familys land and is still sitting idle. Was up for auction in 2013 & 2014 but didn't sell. Was up for sale with auctioneer until it was delisted mid 2016. I thought it must be sold when it was delisted, but as yet no one has been in it so I assume its still not sold. Also I got the land registry information and my name is still on it and no new names added. The issue now is that a lot of "undesirables" are hanging around it, putting animals in around the house and which are then going onto my parents land. Its frustrating for them and I feel terrible. My husband suggested that he could sell his house and buy my old house if the bank were willing to sell it to us. There would most likely be enough equity in his house to buy it as a cash buyer. The house has been idle now for 6 years so I am aware it will need work. I don't want to approach the bank if its going to start up loads of issues. I got a third party to contact the bank saying they were interesred in the house but they just replied that they don@t give information about property to anyone but the account holder. Any thoughts or advice would be appreciated. Thanks in Advance


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## Brendan Burgess (19 Apr 2017)

If you are discharged from bankruptcy, you are free to buy any house you like if the seller wants to sell it to you.

Why don't you contact the bank yourself or ask your parents to contact the auctioneer who failed to sell it? 

Brendan


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## Eilish (19 Apr 2017)

Hi Brendan,
Thanks for the reply, I really appreciate the advice. We contacted the auctioneer and he said has no information on the house now. My sister contacted the bank as a potential buyer and they just replied that they don't give information on houses to anyone but the account holder and if the house was to be up for sale in the future it would be with the local auctioneer. I could contact the bank myself but I am just worried about opening myself up to being hassled again although I know that should not be the case post bankruptcy. Also i'm not sure they are even obliged to give me any information seeing as I willingly gave up the house and went bankrupt. Would you think it wise for me to just go ahead and contact them or is it possible to have a solicitor or someone in that line to make an offer on my husbands behalf.


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## Stuboy (19 Apr 2017)

If your name is still on the property register as the house owner you should be able to engage with them.


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## Brendan Burgess (19 Apr 2017)

Maybe try moving back into the house and see what happens? 

Brendan


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## TLO (19 Apr 2017)

There is nothing the matter with you contacting the bank directly but it might be less stressful on you if you were to use a third party like a solicitor to approach the bank on your behalf.  The bank may also feel restrained in talking to you as they are restricted from contacting bankrupts and  former bankrupts.  A professional "in the middle" might make communication easier.


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## noproblem (19 Apr 2017)

I would love to see what would happen if you do what Brendan suggests.


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## TLO (19 Apr 2017)

noproblem said:


> I would love to see what would happen if you do what Brendan suggests.



It may depend on what might/mightn't have been signed when the house was surrendered.  Possession being nine-tenths of the law and all that, and with the property still registered to the OP, it gives rise to the possibility of living rent/mortgage free for a very considerable period of time, as well as strengthening the OP's negotiating position.  The bank would need a court order for vacant possession and the process surrounding that would open a credible chain of communication which could facilitate the OP.  The Official Receiver (of England and Wales) might be less than impressed but won't act as the OP has been discharged and there is nothing to realise for the bankruptcy estate.


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## Eilish (19 Apr 2017)

Thanks everyone for the replies, great to get different advice and opinions. I could never move back into the prpoperty like that. I would die of a heart attack with stress. I feel awkward even driving past the house as it is. As TLO suggested, the bank might not want to engage with me due to my bankruptcy so it might be best to go through a solicitor. Although they did continue to contact me throughout my bankruptcy term but I am unsure if they were just automated letters. The form I signed was just a letter they sent me saying I surrender the keys on "date" and I waved my right to legal advice. It asked for a witness signature from a solicitor as far as I remember but I didn't bother with that part. I sent it back with a key. I got a letter a while after to say if I wanted my posessions from the house to collect them by a certain date.  I'm sorry but I am so clueless about all this stuff, Is there a particular type of solicitor I would look for in this type of situation?


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## Bronte (20 Apr 2017)

Brendan Burgess said:


> Maybe try moving back into the house and see what happens?
> 
> Brendan



Dearie me you can't suggest that.


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## Bronte (20 Apr 2017)

Eilish, I would try taking the auctioneer for a cup of coffee.  The bank will tell you nothing.  But the auctioneer might have an idea why it wasn't sold etc.


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## Eilish (20 Apr 2017)

Hi Bronte,
The auctioneer said they have no information on the house at all and don't know what happened with it. It was up for sale and then suddenly was delisted. Could the bank have sold that debt on as it's been hanging around for years? I assume the bank are under no obligation to give me any information on the house as I gave it up.


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## Jim Stafford (26 Apr 2017)

Legally speaking, a "normal" bankrupt would still own their family home, and they would have no liability to the bank, as that liability was written off in the bankruptcy. Whilst you have "surrendered" your home, I can see no reason why the bank could not reverse that surrender.

Many bankrupts cannot simply afford any type of mortgage, and thus have to surrender up the family home. What some bankrupts hope to do is to "_assume_" the mortgage  and continue paying it in order to retain ownership of the family home.

The whole situation is in a state of flux at the moment, with different banks having different policies.

In the UK they have legislation that allows bankrupts to "assume" the mortgage.  However, I understand that Irish legislation has no such provision.

Legally speaking, what a bank needs to do is to grant you a new mortgage.  However, the bank may argue that their underwriting rules prohibit them giving a new mortgage to a bankrupt.  What needs to happen here is that the Central Bank needs to relax the rules on lending to bankrupts so that they may retain their family homes.

Jim Stafford


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## Eilish (26 Apr 2017)

Hi Jim, thank you for your comment. Makes for very interesting reading. It seems Ireland is trying to play catch up to come in line with what's available in other countries. Very hard to find any information on this situation. Thanks for your help.


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## Jim Stafford (26 Apr 2017)

Eilish

We have more detailed information on our web site as to what happens the family home in a bankruptcy.

http://www.frielstafford.ie/personal-insolvency/what-happens-the-family-home-in-a-bankruptcy/

Jim Stafford


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## Eilish (4 May 2017)

Just thought I would update and hopefully get some more advice. So I contacted the bank and they replied thankfully. The house is still in their possession and no further action has been taken as "The referenced mortgage account is considered as part of a Central Bank instructed Examination relating to tracker mortgage related issues" . Does this mean I was actually on a tracker mortgage or are they just investigating all mortgages. Thanks in advance for any information.


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## Mauritius (4 May 2017)

Do you not remember having a tracker mortgage at one point and having lost it...? Or maybe you were denied one in some form. Your account wouldn't be included in the CB Review if there wasn't a good reason. They are not reviewing all mortgages.


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## Eilish (4 May 2017)

Hi Niall, thank you for your reply. I thought my mortgage broker said I was on a tracker when we got the mortgage but I could be wrong as there is nothing in my documents that actually says tracker. It also doesn't say standard variable either. It says fixed for 1 year but doesn't say what it reverts back to after.


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