If you have been threatened with house repossession by your mortgage lender for getting behind with payments, then you may be confused about what will happen next.
Rest assured though, just because your lender says they will apply to the courts to repossess your house doesn’t mean this will be granted. There are ways to manage your debt that don’t include losing your home. If you are worried and anxious about what the future may hold because you’re finding it difficult to get out of debt then please speak to our expert team here at Faster Property Solutions. We can certainly help you keep your home. We can also put you in touch with counsellors to make sure you don’t find yourself in a similar situation again.
Note though that repossessions and evictions have currently been put on hold due to coronavirus. Payment holidays for mortgages are also still available.
First, if your lender is threatening you with eviction, there is a legal process they must comply with. And here, we will explain exactly what that house repossession route entails. We will also point out what you can expect to happen over the next few weeks and months.
Before repossessions in the UK can go ahead legally, your lender must have followed certain steps. These include:
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Letting you know exactly how much you owe them
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Considering a request from you about altering the monthly payments and responding to it.
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If they won’t go ahead with it, they should let you know why within 10 days.
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If they make you an offer, they can’t rush you into making a decision.
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If they’re thinking of taking you to court for repossession, they must give you at least 15 days’ notice (in writing)
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They must tell you when and at what time the repossession hearing is taking place
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They must notify the council within five days of knowing the date of the court hearing. That way the council can start thinking about rehoming you.
The above steps to house repossession can sound intimidating – especially if you have never been to court before. And there are a lot of deadlines to take note of. On top of that, the whole house repossession process can be stressful.
So, why making yourself go through this? You may feel you have no choice, but that’s not always the case. Here at Faster Property Solutions we can show you how repossession isn’t inevitable. There are lots of steps you can take to prevent it from happening. And, even if your home has been repossessed, it’s still possible to get it back. At the same time, we can also help with a plan for managing your debt.
At Faster Property Solutions we can deal with lenders for you. Through our Helping Hands service we can also support you through the court process and/or give you a cash advance to pay off outstanding debts. In many cases, it makes more sense to spend money on your house doing improvements – for which we can provide a cash advance too. That way you will make more money when you come to sell your property (certainly more than if you sell at present), which you can put towards finding a new home for yourself and your family.
What happens in court?
The first thing to mention is that you won’t actually end up in a courtroom! Rather, this will be held more privately in the Judge’s chamber, where you are entitled to bring along a lawyer or friend for support.
If your lender does start court proceedings against you, then they will send you a form which you must return within 14 days. On this form, you can say why you think they shouldn’t go ahead with legal action. It could be that your circumstances have changed, i.e. that you are about to start a job and will be able to make the repayments.
You’ll also be sent copies of the forms your lender has submitted to the court so that you have all the paperwork related to your case.
The judge’s ruling
These are the decisions a judge can take, having considered both you and your lender’s submissions:
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Outright possession order. Your lender will own your home within 28 days. Failure to leave at that point will lead to an eviction process (which could take another few months).
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Suspended possession order. You can stay provided you make the payments that the judge decided in court.
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Money order. You make regular payments; failure to do so could see the money being taken from your bank account and/or bailiffs coming around to take and sell your possessions.
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Possession order with money judgement. Your house is repossessed and you have to pay court fees, your lender’s legal costs and the amount you still owe in mortgage repayments. If your house sells for more than your debt the latter is cancelled. With this judgment, it’s possible to get the eviction delayed if you start to make your mortgage payments again.
Other decisions a judge can take is to delay the hearing or even to ‘set aside the hearing’ (which means there is no hearing).
Even if a judge has decided to award a repossession order to your lender, it’s still possible to appeal the decision. At this point, the eviction decision could even be reversed and you can stay in your home. However, you may not want to stay at this point, having been tired and fed-up with all the court proceedings and eviction threats. It may be better for your mental health to sell up and move somewhere else for a fresh start.
At Faster Property Solutions we can buy your house from you for cash to prevent court action. We can also lend you the cash you need to make improvements so that you’ll be able to sell for a better price. Alternatively, we can help by offering support and talking you through the whole eviction and court process. Don’t despair – there are always solutions to house eviction.
To find out more about the support and help we can offer, visit our website Faster Property Solutions. Don’t worry a minute longer – get in touch today!
