mortgage repo help please

fredfred123

Hello
firstly thanks for reading this.....


the house I live in is owned by a friend of the family - I have lived here for almost three years. I pay rent on the property directly to friend and owner of the mortgage/house. however yesterday I received a letter from a solicitor (simply law) on behalf of the mortgage people (GE Money) saying they want to repossess due to 6k in arrears and various payment plans not being stuck to. This has already been filed in the county court. I have no tenancy agreement at all but can prove I have lived in the house since 2010 and paid all utility bills etc.

I have never missed or even been late with a payment but it seems the money has not been paid to the mortgage lender by my landlord.

As I love the property last month I decided to see if it was possible to buy it. I got the house valued by 2 estate agents. They valued it at 300-310K however the mortgage (not including arrears) is 365K outstanding.


If the mortgage people do repossess it they will lose at least 65K by the time sale costs are taken.

Can anyone help with any ideas - I would much prefer not to move (very settled and the cost of moving too).

Would the mortgage people let me pay the monthly payment direct (its not a buy to let mortgage) (Rent 950 mortgage 1046 - I can increase my rent to 1046 if needed but dont want to pay the arrears off for the landlord)


any help greatly appreciated

many thanks

opinions4u

Prepare to move.

Dave_Ham

You need to let the court/lender know you are living there as a tenant and have done so for x years, may want to send some proof of payments/utilities.

Furthermore you need to speak with the owner and just ask if they are going to recover or if this will be repossessed. If you have paid a deposit, you are unlikely to see it and would suggest you consider suspending rental payments as you are likely to need to find another property.

As stated, get ready to move because unless the owner has a plan to recover arrears then it is unlikely to be resolved.

Best of luck

dimbo61

If the landlord has never given you a tenancy agreement did you get details of where your deposit is registered ?
Is the landlord declaring this income to HMRC ?
Do you get a gas safety certificate every year when the landlord has a gas safe engineer check the boiler, hob/oven, gas fire ?
Does the property have smoke alarms, CO alarm ?
If you have no proof of a tenancy agreement I would speak to a solicitor and shelter/CAB
Did the landlord get consent to let or a Buy to let mortgage ?
You may not get your deposit back so consider not paying the rent

kingstreet

If the lender was not aware the property was let;-

As the law stands, tenants who have kept their side of the bargain and paid their rent on time can be forced to leave their home with as little as a few days notice if their landlord has failed to keep up mortgage payments.

From a Shelter article.

http://england.shelter.org.uk/news_and_blogs/previous_years/2009/november_2009/government_failing_tenants

Not only will you be unable to remain in the property, you'll have little time to find somewhere else.

Thrugelmir

Attend the repossession hearing in person. A judge may grant you a temporary stay for a couple of months. In the meantime you would pay rent to a receiver.