What amount would satisfy my creditors?
January 12th, 2015 by Questions
I own 2 houses, my wife and I lived in both homes. One home is in Alberta and the other is in BC. My wife is not on title with either home. We are currently in the Alberta home. The home in BC has been vacant for over 6 months ( no tenants). My wife is suggesting we sell the Alberta home and pay off our credit cards, we have approx $40,000 equity in this home (if we don’t use real Estate). Being in Alberta with Dower rights my wife has 50% equity in the home so that would leave approx $20,000. for me to pay off $40,000 worth of credit card debt. AND The short fall on the BC home will be appox ($125,000.) according to our Realtor. Here is the main question can the BC home be included in the consumer proposal, it is back by CMHC. My wife is not on title.
The bank suggested 6 months ago that I sign a some sort of agreement that states I would be liable for all the short fall, if I gave the home back to them. Also would the $20,000 be enough to satisfy the all the creditors including the Bank with the mortgage, as a lump sum payment to all of them? I’m just turned 65 and cannot see paying monthly payments until I’m 95 or older. Also I desperately need a new vehicle, would this financing have to be included in the proposal?
Posted from: Alberta