Repossession mortgage and secured loan

freddy911

Can 2 different loan companies take possession of a house at the same time or will the court just grant possession to the one with the first charge?

Thanks

Gimpsdad

If a property is sold post repo then the 1st charge gets preference regardless of who instigated the repo proceedings.

silvercar

The court grants possession to whoever called the possession hearing, but the debts are paid off in order of the charges. So you could get a situation where a secured loan company took possession but all the money from sale went towards the main mortgage, leaving the secured loan company with the costs of the hearing and the property sale.