The ethics behind repossession

seven-day-weekend

onlyroz wrote: »

I don't understand why somebody being reposessed would willfully damage their property. All they are doing is hitting their own pocket even further.

I don't understand either, for the same reasons as yourself.

densol_2

I viewed a repossession quite a few years ago. Sadly it belonged to an old school friend. It was in a dreadful state ( cat smells, dreadful painting etc ) but hadn't been wilfully damaged.

It wasn't for us but sold at the asking price. I live just around the corner from it and have watched it grow back into a beautiful family home ago. It still makes me feel sad though.

silvercar

onlyroz wrote: »

I don't understand why somebody being reposessed would willfully damage their property. All they are doing is hitting their own pocket even further.

Normally it is because they are bitter against being 'forced' out of their home, so they are taking it out on the people that are directly forcing them out ie the lender repossessing. Their line of thought is that they want to reduce as much as possible the amount going to the lender.

They can be concerned only with the short term and not focus on the fact they will be chased for the shortfall, or they may know that bankruptcy looms and the shortfall will be included in it.

If there is no equity then any loss is the lender's and if they have no way of ever repaying it could well be a debt that is written off.

The other reason is that dire financial straights mean they need every penny they can to secure a rental, so sell off copper piping, second hand appliances etc.

moneyistooshorttomention

onlyroz wrote: »

I don't understand why somebody being reposessed would willfully damage their property. All they are doing is hitting their own pocket even further.

I would say that I do understand why people would actually.

Personally, if it were my own fault it had been repossessed (ie because I had been a bad money manager) then that would be one thing and leave house intact and fully functioning to maximise amount of money from it for myself so to say.

If it weren't my fault (ie unemployment and DWP hadn't paid me enough to cover mortgage interest) then I would have to be very very sure I never went in my house when I had had more than a solitary glass of wine - just in case my temper got the better of me. I know...I know....and it wouldn't make logical sense...but if it HADNT been my fault then I wouldn't trust myself not to wreck the place.

But that's me personally - and I'm a reasonable/sensible/very self-protective/etc/etc person - and I couldn't speak for how people set on Self Destruct Mode might think/feel. Self-destructors might wreck the place anyway - even if perfectly calm etc etc.

EDIT; and people who are self-destructors/not fully au fait with how our Society functions might not realise that they personally are the ones that would get "bitten on the backside" from wrecking the place and think the buck will stop with the lenders.

Davesnave

moneyistooshorttomention wrote: »

EDIT; and people might.... think the buck will stop with the lenders.

Definitely. People have regularly visited MSE and talked of "handing back the keys."

This is an expression that probably originated in the USA, but it's not applicable over here.

moneyistooshorttomention

I admit I had heard this phrase of "hand back the keys" often enough that I had previously thought people could/might do that.

Its only from my more recent reading that I've seen that lenders might still chase after a defaulter for the shortfall some time subsequently. Hence its wise to ensure the maximum price possible is obtained from the property to minimise any possible losses.

seven-day-weekend

Well it's biting off your nose to spite your face. I can understand it if they need the money to get somewhere else to live, but not otherwise, it's just stupid, pointless behaviour.

However we don't always behave rationally and I thank God that I am not in that position.

Old_Git

I knew someone who had their house repossessed many years ago .
The story was the husband ran of with the next door neighbour and the house had to be sold .
The wife took the kitchen with her because it cost £ xxxxxx and no one was going to get it .
The fact it probably didn't fit anywhere else didn't matter .

newbie_emma

I can believe that, I don't think someone would necessarily think about how rationally they're behaving when facing a repossession of their home. This house had been empty for a while though so we dont feel like we're shipping anyone out etc..We're due to exchange and complete on same day this Thursday, wish me luck!,