Sorry to ask again, but I'm a bit confused about repo responsibilities.

Legacy_user

I've been trawling the old threads but I'm no clearer on exactly what the situation is with my flat once it's repo'd next neek. I'm seeing a lot of conflicting info so I'd like to just settle a few points once and for all (if possible!).

The property is 'mine' once repo'd until the mortgage company manage to sell it. No point handing keys back then incase I ever need to get access?

I get water and electric accounts shut down but there's no need for them to physically cut the supplies off - I've seen both being touted as the right thing to do. Once I get the accounts shut down I'm no longer liable - correct?

I understand I'm still liable for council tax, but there's a 6-month (Class L) exemption - correct? Or is it permanently exempt until the property is sold on? Again, I've seen both versions been given as advice.

I am still liable for the place if it burns down so is it best to keep the buildings-only insurance going until it's sold on?

Is there ANYTHING else I need to consider?

Thanks for your patience!

tiggerbodhi

messedupmoney wrote: »

I've been trawling the old threads but I'm no clearer on exactly what the situation is with my flat once it's repo'd next neek. I'm seeing a lot of conflicting info so I'd like to just settle a few points once and for all (if possible!).

The property is 'mine' once repo'd until the mortgage company manage to sell it. No point handing keys back then incase I ever need to get access? No, it is the Mortgage companies once they write and tell you the date they officially take possesion, you are responsible for any interest and charges until the property is sold.

I get water and electric accounts shut down but there's no need for them to physically cut the supplies off - I've seen both being touted as the right thing to do. Once I get the accounts shut down I'm no longer liable - correct? Yes, take meter readings when you move out, tell the suppliers in writing you have moved out and who the mortgage company is.

I understand I'm still liable for council tax, but there's a 6-month (Class L) exemption - correct? Or is it permanently exempt until the property is sold on? Again, I've seen both versions been given as advice. Depends on the Council, but tell them you no longer live there, once the Mortgage Co take official possesion you are no longer liable, you may have to send a copy of the possesion letter to the Council to prove it.

I am still liable for the place if it burns down so is it best to keep the buildings-only insurance going until it's sold on? keep the buildings insurance going until you get notification of possesion, once this happens you can cancel the insurance.

Is there ANYTHING else I need to consider?

Thanks for your patience!

Answered the bits I know from experience... mine was VR though but that makes little difference.

OutofDebt-NOT-OutofDanger

I understand I'm still liable for council tax, but there's a 6-month (Class L) exemption - correct? Or is it permanently exempt until the property is sold on? Again, I've seen both versions been given as advice. Depends on the Council, but tell them you no longer live there, once the Mortgage Co take official possesion you are no longer liable, you may have to send a copy of the possesion letter to the Council to prove it.

CT exemption for an empty property will be 6 months, but if you leave the property after BR then you can apply for exemption Q - house left by bankrupt which lasts until the lender takes possession (then the exemption changes until such time as the property is sold).

I am still liable for the place if it burns down so is it best to keep the buildings-only insurance going until it's sold on? keep the buildings insurance going until you get notification of possesion, once this happens you can cancel the insurance.

If you can keep the insurance that you have on the building then do, but I found I couldn't get insurance as the property was empty - at the end of the day the worst possible outcome would have been that something happened to the property and the sale value would be reduced increasing the shortfall value which would fall into the BR anyway. I tried explaining this to the lender but they still wouldn't insure it so their risk really.

CIS

I understand I'm still liable for council tax, but there's a 6-month (Class L) exemption - correct? Or is it permanently exempt until the property is sold on? Again, I've seen both versions been given as advice.

The Class L exemption is not time limited , it runs until the property is disposed of, handed back to you or it is occupied.

The reference to 6 months will be for a Class C exemption.

but if you leave the property after BR then you can apply for exemption Q - house left by bankrupt which lasts until the lender takes possession (then the exemption changes until such time as the property is sold).

Only where the property is taken under the control of a trustee in the bankruptcy.

CIS

Depends on the Council, but tell them you no longer live there, once the Mortgage Co take official possesion you are no longer liable, you may have to send a copy of the possesion letter to the Council to prove it.

Exemptions are (currently) set in legislations and councils cannot vary them. The legal owner remains liable for council tax purposes however they are able to claim any relevant exemptions. (Class L from the date of repossession).

System

Thanks folks, much appreciated.