Landlords Debt

partysis81

Hi everyone,
Myself and my husband have lived in a privately rented house for the last 8 years, the owners of the house are distant family friends. We have always paid cash each week, the owner comes round to the house to collect it - we thought this was because he knew us, but im starting to think otherwise.

For the last 2 months we have had a few letters addressed to the owner and we have passed them on, he always makes out like hes surprised theyve come to our house. Anyway, this morning another turned up and id had enough of them so i opened it.
Its from the Halifax saying they are in arrears with a mortgage, the arrears total nearly £7000!!! its says "your existing payment arrangment has expired" and the next monthly payment is £900.

Im now seriously worrying, but also confused. I know they purchased this house a year before we moved in - so 9 years ago, and i know they payed around £50,000 for it, would they still be paying a mortgage on it??? Or have they had another mortgage for another property and used this address??? Apart from them blacklisting this address, if they continue to go into arrears with it, can this house be repossessed and us be homeless?? If this does happen, where would we stand? we havent the money to go elsewhere.
Because weve always paid out rent in cash, we obviously have no trail that weve paid rent. We do have a rent agreement, which they got done at a solicitors when we moved in, but they have made their own amendments to it each time the rent increased. Im worried that bailiffs are going to turn up, would the rent agreement plus our ID prove were not him be enough for them to go away?? I feel sick, this is the last thing we need at the moment, we lost our baby daughter in may, she was stillborn, and weve got enough to be dealing with

Bufger

sounds like time to move out. Save up and find somewhere else that plays by the system

Lil2002

partysis81 wrote: »

Apart from them blacklisting this address, if they continue to go into arrears with it, can this house be repossessed and us be homeless??

Hi,
not sure about all the rest, but the address would not be blacklisted - it would be the person the letters are addressed to.

I'm sure someone will be along shortly with more advice - but I would say time to start looking around for a new place.

Sorry for your loss.

partysis81

thanks for the replies already, i have now been on the land registry site, and downloaded the info on my address, it states the price they paid was infact £44,000 and where it says lender it says "none" does this mean they paid for it in cash?? Also the registered owners details are a different address to this one.

dopester

Distant family friends. Does the landlord drive an Audi or Merc? Any idea whether they started acquiring other houses/apartments during the boom... leveraging their position?

Yes, you have reason to be concerned. Especially if he isn't using a BTL mortgage. Keep all documents safe (rental agreement).

Do some research (inc this story), and prepare yourself best you can.

clutton_2

if the LL is not paying his mortgage (sounds like his initial cheap deal is now finished and he is going onto a more expensive standard variable rate) - then sooner or later you will have to leave the property - as the Halifax will take him to court and the judge will give them possession.

But this will take several months to happen, try not to panic.

the first thing to do is to write and tell the Halifax that you live there and send a copy of your tenancy agreement. Ask them to make sure you know when the court hearing is so that you can attend and ask the judge for time to find somewhere else - if you have not already moved.

but - move you must

best wishes