LL is in serious debt - Very concerned

Discocat

Hello there

I moved in to a property 4 months ago and took up a 1 year tenancy. Within days of moving in, literally dozens of letters from bailiffs arrived. I have read on this site before that Bailiffs don't go away if you put 'no longer at this address' on the envelope so I opened the letters (this wasn't done maliciously so isn't in breach of the postal act) and I contacted the bailiffs.

My Landlord appears to have moved to Southern Ireland leaving a mountain of CCJs and debts behind. He has defaulted on his mortgage, 2 secured loans, 3 unsecured loans, an assortment of credit cards, mobile phone contracts and school fees.

I contacted the letting agent who told me off for opening the post (fair cop) but spoke to the Landlord and reassured me that he only has one debt caused by fees on his mortgage for declaring it as having been let.

I checked the Land registry and the mortgage is still assigned to the tenancy address and it also details 2 secured loans and details of the defaults.

I sent a letter addressed to the Landlord at my address and it didn't arrive so I have reason to believe that he is now redirecting his post. The LL's wife has also defaulted on more than 10 credit agreements.

The mortgage company and the 2 loans companies are seeking to reposess the house or force sale. I dread anyone knocking on the door as although I know that they cannot seize anything of mine, it is distressing.

It is causing me a lot of anguish and although I love the property I can't stand being there.

I suspect I know what the answer will be but is there anything that I can do to end the tenancy early? There is no get out clause just a straight forward 12 month agreement so I suspect it won't be good news...

Thank you

geoffky

There is not a lot you can do is there. just be careful.If it gets repoed you can still stay in the place for a few months or maybe more and pay rent to the bank or bs.

theartfullodger

Send LL a recorded-signed for letter at your address (it can be a blank page..). I'm told (but never seen it..) that if there is redirection the GPO tracking will reflect this & give you his redirection address..

Sorry to read your story. We don't want crooks & cheats like this in our country..

See here..
http://england.shelter.org.uk/get_advice/eviction/repossession_by_a_landlords_lender
.. for Shelter'sadvice on repos of LL property..

Better luck in future..

franklee

"I suspect I know what the answer will be but is there anything that I can do to end the tenancy early? There is no get out clause just a straight forward 12 month agreement so I suspect it won't be good news..."

Unfortunately I don't think so. Suggest you have a read of these which will put you in the picture of what happens should a repossession take place:
http://england.shelter.org.uk/get_advice/eviction/repossession_by_a_landlords_lender
http://www.communities.gov.uk/publications/housing/mortgagerepossessionguidance

The second link gives you good background information on the consent to let issue and what to look out for. If it were me I'd be writing to the mortgage lender asking for confirmation of consent to let and letting them know I'm the resident tenant.

Needless to say if you'd looked at the land registry before taking the tenancy you might have seen this coming in time to change your plans.

nomoneytoday

If he does get repo'd then surely the 12 month contract becomes invalid with the LL and the bank takes over their position?

Ulfar

nomoneytoday wrote: »

If he does get repo'd then surely the 12 month contract becomes invalid with the LL and the bank takes over their position?

If only this were the case but its not.

poppy10_2

nomoneytoday wrote: »

If he does get repo'd then surely the 12 month contract becomes invalid with the LL and the bank takes over their position?

No. If the LL had done everything above board and had had a BTL mortgage (or consent to let) then the contract could become binding upon the bank when they repossess the property

PasturesNew

theartfullodger wrote: »

Better luck in future..

It shouldn't be luck though should it. There's more/faster protection if you buy a bad sack of spuds at Asda.

Discocat

I know it's wrong for me to be judgmental but it irks me that I'm paying £2000 a month to someone who refuses to pay his bills. He owes well in excess of £100,000 and has closed one business here and set up another identical one in Dublin leaving a trail of creditors.