My rented house is going to be reposessed

Tom271185

Hi,
My friend and her partner are currently living in a small 1 bed flat in a converted house of now 4 flats, this morning they received a letter to the landlord but didn't relaise this until they opened it.
It was from the landlord's mortgage company and it stated that as the landlord had not paid mortgage on house it would be reposessed.

I have had a chat with her and it now seems that they didn't get a signed tennancy agreement as he was offering it at a really good price and they were in a rush to move in (Same day) they've been there about 8 month's now but with no agreement i'm under the impression they're stuffed and don't have a leg to stand on and, as he's in this much trouble with money they stand very little chance of him putting the deposit away in a protected account!

Could anyone give me some ideas on where they stand legally - i.e. would they be able to just be kicked out??.

Cheers.

mattwallisuk

Dont pay anymore rent.

alunharford

My understanding (although I am not a lawyer) is that they probably have a statutory periodic contract and the landlord would need to give two periods notice to get rid of them (two rent payments). However, if the mortgage company wasn't informed then they have few rights if the landlord gets repossessed.

Personally, I would give the landlord 24 hours to protect the deposit in the tenancy deposit scheme and then if the landlord fails to protect it I would start legal action to recover the deposit and 3x deposit penalty.

I would also consider withholding the rent unless the deposit is protected, although I'd strongly suggest you get legal advice before going down that sort of route.

Tom271185

Thanks alunharford - when you say start legal action to recover the deposit and 3x deposit penalty - what do you mean by the 3x bit (as in add on a fee for the hassle??)

Much appreciated.

franklee

If there was no consent to let from the lender then I think they can ignore the tenancy and get on with the repossession. There was supposed to be something new about a tenant getting 7 weeks notice but god knows what happened to that and I don't see it binding on a lender who did not give consent to let.

Things for the tenant to try:

1. Contact the lender and let them know they are living at the property.

2. Attend court hearing. At least the tenant will know what's going on and find out how much time they have to get out.

3. If the deposit was protected then the tenants would have been given this information. So if the deposit wasn't protected I'd stop paying rent.

franklee

3x = 3xthe deposit which is supposed to be the penalty awarded by the courts to the tenant if the deposit isn't protected. Assuming the LL has money to make this worthwhile.

jamesd

Read Shelter's guide Repossession by a landlord's lender and contact them for additional information.

Communicate frequently with the mortgage lender and be sure they know that there is an offer of rent paid direct to them.

Tom271185

Thanks for the info, anyone else have any more advice

clutton_2

""I would give the landlord 24 hours to protect the deposit in the tenancy deposit scheme and then if the landlord fails to protect it I would start legal action to recover the deposit and 3x deposit penalty.""

what a silly piece of advice - this landlord is not paying his mortgage that is why he is being repossessed - he has no money - dont waste your time energy and effort by even thinking about taking him to court - a judge may rule in your favour - but you will never get the money out of the landlord

Stroof

How about letting your friends take a view on their own position, decide what to do, and step back your self ?

It seems to me you are positioning yourself to advise them when you are simply passing on hearsay, and they should get proper legal advice from someone who is equipped to take the liability

Gorgeous_George

It is illegal to open mail addressed to somebody else.

Your friends should start looking for somewhere to live. They could ask the 'LL' what the problem is and they could express their concerns. Ask him to advise the lender that they live at the property so that the lender can write to them advising them to leave. Once repossessed, they will be evicted immediately.

If they wish, they could try for 3x the deposit but I don't hold out much hope that they will be awarded it despite the clarity of the law. They probably cannot prove that the LL took the deposit or that any money that he took was a deposit. Even if they win in Court, they may not be able to extract the money from the already broke LL.

GG