House Has $30k or More in Equity
Surrendering the House to the Bank.
A Question of Caveats
Bob and Sue have owned a property for many years, have worked really hard and have $200,000 equity in their home. Their home is valued at $700,000 and they currently have about $500,000 on their mortgage.
Bob is a builder in Vic and has really been having a hard time since he hurt his back. He owes $150,000 in overdue accounts to a particular hardware outlet who have been very 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?
Bob and Sue have owned their Bendigo house for years and have actually worked really hard to build up some equity in the property. Their house is presently valued at $700,000 and they owe the bank $600,000 giving them $100,000 equity. In this case study Bob and Sue have a combined debt of $180,000, far greater than the $100,000 equity they have in their house.