Buying ex partners share of house from his creditors.

[pertempsnooo]

I live (with our children) in the house me and ex partner bought together as joint tenants.
Last year my ex declared himself bankrupt.( June 2012.) He now lives with GF and their DS.
The creditors said they would be happy as long as I put the house on the market which I did, thinking I would soon have a better job (for a mortgage and possibly a move elsewhere).
I haven't managed to find a job which would support enough of a mortgage to buy something else. It makes sense not to move yet. In the meantime a buyer has offered a sum I would've been happy with.
The creditors have refused the 3 offers I have made, saying they want the full 50% of the valued equity. I had been told that they would be more flexible. A CAB advisor said she used to work for a company like this and they would accept a minimum of 10% of the debtors owed amount.
I have been offered a loan of 10,000 by a relative and reckon I could get a loan from the bank for more. (Well I think, as ex's searches are all over my otherwise pristine credit record due to the house.) It seems to make more sense than paying my 20,000 equity to a landlord!
I don't feel like I know enough about the whole process. The creditors have a restriction order on the property.
Should I take it off the market again and sit tight?

Yes, an insolvency practitioner.
They keep saying they need more because the official receiver needs to be satisfied.

also, Do I need to get my ex to sign something to say that he won't try to claim anything from the house when he is discharged from bankruptcy? (He would presumably still be on the land registry and the mortgage until I can take it over, hopefully soon!)

Thanks, yes, I am trying to get hold of a solicitor but they all seem madly busy at the moment!

OP. It's a balancing act for the Trustee in Bankruptcy (TIB). They would rather sell your ex's share to you because it's quicker and easier. However, the TIB has a duty to realise the full value of the asset vested in him (the half share in the property fomerly belonging to your exP). If the house is work £100k, and the mortgage is £50k, the half share is work £25k. You 'd need to offer something close to the actual value the TIB is entitled to. They have a bit of negotiating room but not a lot. Because they have a duty to creditors of the bankruptcy estate.

If you manage to agree a figure with the TIB, you'll get a formal assignment of his interest and exP will have no claim on the property, even after he is discharged from bankruptcy.

If you don't agree a figure, worst case scenario is the TIB taking possession proceedings and obtaining an order for possession and sale.

If you want to stay in your home you need to find a deal the TIB finds acceptable, or sell at a price they are happy with. Have the offers made to date been much lower than the valuation?

mmm... well, valuation of equity would be 55,000 so half that, 27,500 but they DO save legal costs which would come out of it..
I have only gone up to 10,000 so far, because I heard about this 10% rule which was certainly the case a couple of years ago, the CAB ex insolvency worker told me. As far as I know he was in about £70,000 of debt... (NO CLUE how!!)

Not heard of the 10% rule in connection with buying out a TIB's interest in property. If the TIB's share is worth £27,500, and allowing for done legal costs - perhaps a maximum of £5k to be borne equally, I would guess your offer needs to be upwards of £20k and closer to £25k to be acceptable.

An alternative would be to ask the TIB what the minimum they would be prepared to accept and then you will know whether it is possible to raise that sum.

Yes I have asked and they were quite vague, saying 'nearer 20k'

We have to use different solicitors so 5K each

OOps I mean, 500 each probably and yes maybe more legal costs