Advice please on shortfall after repossession

lucylot

I hope someone can give me some advice please. In a nutshell my daughter and then boyfriend bought a property. They then split up she came back home he remained in property. Initially they both paid their half of the mortgage - he gave daughter cash she made the mortgage payments. He then stopped giving her money, she did pay for a while but with no money forthcoming from him she stopped paying. Property was then repossessed. Tellingly although he had lived in flat for 3 years after she left she was the only one to bother turning up at court. Now she has a letter saying that there is a shortfall of £10,000. She rang mortgage company who said over the phone if she agrees to pay in full her half (which she can't anyway) they will chase boywonder for the other half. However she has a job and he is selfemployed and in debt up to his neck and doesn't seem to give a damn. What is she best doing

Thanks in advance

richardginger

If the mortgage is in joint names she needs to pay her half and let them chase him for the other half. In any event they will do everthing necessary to get their money . . .

laurel7172

Legally, they're both liable for the full amount, and the mortgage company can chase whomever is most likely to pay. If the ex is a waster, and the mortgage company has offered to limit your daughter's liability to half, then that's a good offer. Get it in writing, though.

Sorry, I'm sure that isn't the answer you were hoping for.

lucylot

Thanks for the advice. I think the best outcome we can hope for is the mortgage company (who are about as helpful as boywonder) will confirm in writing that they will accept half from my daughter and attempt to get the rest from him. What is the likelyhood that they will agree to half paid in instalments. After the reposession there won't be a big queue of lenders offering daughter money and we haven't got £5000 to give her.

lucylot

The annoying thing in all this (well one of a list of hundreds) I went to court with her and the solicitor representing the mortgage company said not to worry because they are obliged to get the best price possible. They then sell about 8 weeks later leaving £10,000 owing

theartfullodger

the solicitor representing the mortgage company said not to worry because they are obliged to get the best price possible.

That could still leave a lot less money from the sale than what the mortgage outstanding was.

If you really think they have been negligent & sold for less than it could have made see a solicitor who understands this sort of deal

nervousmother

But if they can proove they got the best price in the current climate, We went to see a solicitor over a shortfall of £130k as we feel we were treated badly by NR.. he told us to forget about it as there was nothing we could do. They have a obligation to get the best possible price but its not a legal contract and as long as it was sold through estate agents or auction.

However, if you have it in writing that they will accept half the amount from you and will not chase you for any further payments you can either: make them a offer of £3k full and final or agree to pay a fixed amount monthly. They do have the right to charge interest.

lucylot

Thanks for everybodys help. Daughter has written to mortgage company to see if they will agree in writing to accept half from her and she'll take it from there.

Fire_Fox

Make sure the mortgage company agree that is is 'full and final settlement' - that specific wording.

Milliewilly

nervousmother wrote: »

But if they can proove they got the best price in the current climate, We went to see a solicitor over a shortfall of £130k as we feel we were treated badly by NR.. he told us to forget about it as there was nothing we could do. They have a obligation to get the best possible price but its not a legal contract and as long as it was sold through estate agents or auction.

However, if you have it in writing that they will accept half the amount from you and will not chase you for any further payments you can either: make them a offer of £3k full and final or agree to pay a fixed amount monthly. They do have the right to charge interest.

! For £130K shortfall I would have been asking to see the advert of the best offer in the press and copies of the offers from other bidders !:eek:

Richard_Webster

Make sure the mortgage company agree that is is 'full and final settlement' - that specific wording.

Yes, this is very important because she is liable for the whole amount and they can choose who they chase. Usually you would expect them to chase the operson it is easiest to get the money from. That person can then try to claim half from the other - for what that is worth.