Landlord not paying mortgage on property I am renting

[PlanB]

Re: Landlord not paying mortgage on property I am renting

I should also say that I know the lender - I have a mortgage with them too (I'm a Landlord for my sins). They are extremely ethical and sympathetic to Tenants' issues. They only provide Buy-to-Let mortgages so they are familiar with the anguish caused to Tenants by unscrupulous Landlords.

Plan B x

[PlanB]

Re: Landlord not paying mortgage on property I am renting

I've got all that now. It was the size of the documents which slowed things down.

Having read the papers I can see that there is a repossession hearing listed for 10 am on the 22nd of April (i.e. next month).

Your Landlord has known about this possibility since 2nd December 2014 when the initial paperwork was served on her and she signed for it.

The last mortgage payment she made was August 2014 which looks like your rent has never been used to pay the mortgage (your tenancy began in October 2014). She rented the property to you knowing it might be repossessed and you would be evicted. I hate this woman.

Either the Landlord has kept the rent for herself (and not paid the mortgage) or the agent has not passed on your rent (did you say you paid it to the agent direct?). I expect this is a Landlord issue.

Your Landlord lives in Northern Ireland so is unlikely to bother to turn up for the hearing (that's my guess not a fact) which means the repossession will go ahead undefended. Sadly the next step would be for the mortgage company to seek to evict you and your son.

The amount of the arrears is small at only £1,147.77. If the Landlord paid those arrears before the hearing on 22nd April then the property would not be repossessed. It's as simple as that. Can the agent persuade her to pay up before then?

When is your rent due and how much do you pay (if that's personal then email it to me)?. Sometimes the Tenant can pay their rent direct to the mortgage company to prevent repossession. It can be written into a suspended possession order too. At least that's in England and Wales.

I'm not suggesting that you should pay off those arrears for your Landlord but at least ask a lawyer whether there is a way for you to 'negotiate' with the lender so you can remain in the property. I would mention right away that you are interested in buying the property off your Landlord. Normally I suggest doing things in stages but in this case I think the way forward is to throw everything at it at once.

My immediate advice is you should ring Shelter's Scottish Helpline as a matter of urgency to get some free legal help. They will know your rights as a Tenant and may even offer to contact the lender's solicitors to broker a deal to avoid that court hearing.

Shelter Helpline 0808 800 4444

I would also have a full and frank talk with the letting agent. Tell him you're interested in buying the property and ask him if a deal can be done.

It would be wrong of me to suggest you did anything reckless, but ask yourself whether paying any more rent to the Landlord or the Agent may be a waste of money? The worse case scenario is you and your son will have to find a new home and the Landlord can whistle for her rent. Double-check everything with Shelter.

Plan B xx

[PlanB]

Re: Landlord not paying mortgage on property I am renting

Hi Plan B

Just to let you know I have emailed you the document and sent a copy to the letting agent.

It's not arrived

All your previous emails have so I know you've got the correct address. Do you mind re-trying.

Plan B x

[milliesmadmoth]

Re: Landlord not paying mortgage on property I am renting

If your Landlord wants you out of the property than he must serve you with a Section 11 Notice to Quit. If you don't go voluntarily on the date requested he has to apply to the Sheriff's court to evict you but he must have legal "grounds" not just because he wants to sell it etc.

These are the grounds he can use > http://scotland.shelter.org.uk/get_a...ssured_tenants

You'll see Ground 2 is "Mortgage Default" if the lender has repossessed the property and wants to sell it to recover the mortgage debt.

If a property is repossessed then the new "owner" i.e. the bank becomes your Landlord in effect, so it would be the bank evicting you not the original Landlord. In some cases a bank will let you stay in the property paying the rent direct to them. In other cases they may well be willing to sell it to you.

But this is early days since from what you say your Landlord may only have received a citation from the court for possession proceedings. May I see the letter you received please.

One possible option could be to make your Landlord an offer to buy the property direct from him before it's repossessed. The only difficulty there is he may use your offer to halt the repossession and then double-cross you later by not selling it to you. In England a court can make a suspended possession Order on the basis that a viable sale is in the pipeline. I need to check Scottish law on this.

Hi Plan B

Just to let you know I have emailed you the document and sent a copy to the letting agent.

[MrsD]

Re: Landlord not paying mortgage on property I am renting

If he accepts a lawful offer to buy in Scotland not quite so easy to walk away without any costs

[PlanB]

Re: Landlord not paying mortgage on property I am renting

I took 6 months and that expires end of April however I have received a letter from the letting agent on Wednesday asking me if I would like to extend my secured tenancy agreement...

If your Landlord wants you out of the property than he must serve you with a Section 11 Notice to Quit. If you don't go voluntarily on the date requested he has to apply to the Sheriff's court to evict you but he must have legal "grounds" not just because he wants to sell it etc.

These are the grounds he can use > http://scotland.shelter.org.uk/get_a...ssured_tenants

You'll see Ground 2 is "Mortgage Default" if the lender has repossessed the property and wants to sell it to recover the mortgage debt.

If a property is repossessed then the new "owner" i.e. the bank becomes your Landlord in effect, so it would be the bank evicting you not the original Landlord. In some cases a bank will let you stay in the property paying the rent direct to them. In other cases they may well be willing to sell it to you.

But this is early days since from what you say your Landlord may only have received a citation from the court for possession proceedings. May I see the letter you received please.

One possible option could be to make your Landlord an offer to buy the property direct from him before it's repossessed. The only difficulty there is he may use your offer to halt the repossession and then double-cross you later by not selling it to you. In England a court can make a suspended possession Order on the basis that a viable sale is in the pipeline. I need to check Scottish law on this.

[PlanB]

Re: Landlord not paying mortgage on property I am renting

The letter from the Sheriffs' Office may be a standard template letter. Was it addressed to you by name or was it sent to "the Occupier"?

I ask because if a court issues a Warrant of Eviction they usually need the occupant's actual name.

Just the Occupier

Remind me to tell you the story of a failed bailiff's attempt to evict an "occupier" who said their name was Mickey Mouse which was not named on the Warrant.

[nanna58]

Re: Landlord not paying mortgage on property I am renting

Oh Millie I'm so sorry to read this what a predicament Plan B is worth her weight in gold x

[milliesmadmoth]

Re: Landlord not paying mortgage on property I am renting

Excellent.

You and your son have legal rights.

I'll do my best to fight for them.

Plan B x

Thanks for your help Di

As you say it never rains but it pours! I thought I was going to have some time to decide my future but I keep getting things thrown at me from all angles.

My mum came in with a canvas that said 'Life isn't about waiting for the storm to pass, it's about learning to dance in the rain' I said mum I am fed up dancing in the rain!!

[PlanB]

Re: Landlord not paying mortgage on property I am renting

Just the Occupier

Excellent.

You and your son have legal rights.

I'll do my best to fight for them.

Plan B x

[milliesmadmoth]

Re: Landlord not paying mortgage on property I am renting

I'd be inclined to say "Yes Please" to the tenancy extension offer from your agent since you've already said/posted that you want to remain in the property. This may/may not protect your legal right to stay in the property. But we need to check out your legal situation first.

I believe that the Landlord would need to serve you with a Notice to Quit if he wants you out even if you don't agree to extend your current tenancy agreement as requested by their agent.

The offer to extend the tenancy was made before you received that frightening letter from the court which said that the Landlord may be in a bit of legal bother.

The letter from the Sheriffs' Office may be a standard template letter. Was it addressed to you by name or was it sent to "the Occupier"?

I ask because if a court issues a Warrant of Eviction they usually need their actual name.

Just the Occupier

[PlanB]

Re: Landlord not paying mortgage on property I am renting

I took 6 months and that expires end of April however I have received a letter from the letting agent on Wednesday asking me if I would like to extend my secured tenancy agreement...

I'd be inclined to say "Yes Please" to the tenancy extension offer from your agent since you've already said/posted that you want to remain in the property. This may/may not protect your legal right to stay in the property. But we need to check out your legal situation first.

I believe that the Landlord would need to serve you with a Notice to Quit if he wants you out even if you don't agree to extend your current tenancy agreement as requested by their agent.

The offer to extend the tenancy was made before you received that frightening letter from the court which said that the Landlord may be in a bit of legal bother.

The letter from the Sheriffs' Office may be a standard template letter. Was it addressed to you by name or was it sent to "the Occupier"?

I ask because if a court issues a Warrant of Eviction they usually need the occupant's actual name.

[milliesmadmoth]

Re: Landlord not paying mortgage on property I am renting

Looking good

The lender will have a duty to offer the property on the open market to achieve the "best price".

They will also to have to offer it with you in situ as a secured tenant which is not ideal to some buyers (who may just want to live in it).

We have lots to talk about.

Can you clarify when your tenancy agreement is due to end in theory. If at all

Plan B xx

I took 6 months and that expires end of April however I have received a letter from the letting agent on Wednesday asking me if I would like to extend my secured tenancy agreement...

[PlanB]

Re: Landlord not paying mortgage on property I am renting

Looking good

The lender will have a duty to offer the property on the open market to achieve the "best price".

They will also to have to offer it with you in situ as a secured tenant which is not ideal to some buyers (who may just want to live in it).

We have lots to talk about.

Can you clarify when your tenancy agreement is due to end in theory. If at all

Plan B xx

[milliesmadmoth]

Re: Landlord not paying mortgage on property I am renting

Oh Millie you poor thing. It doesn't just rain it pours. You have enough on your plate without this.

I do believe that everything happens for a reason so I'll be delighted to help you with this new issue. Let's hope we can find a way for you to buy this property off the mortgage lender if that's what you want. I'm pretty sure that's what they will want.

Hopefully your rights as a secured tenant will be the problem solver.

Can you email me your tenancy agreement please. You have more legal rights in Scotland than tenants in the rest of the UK.

Plan B x

Thanks Di....

I can send it to you on Monday when I am back at work.

The outstanding mortgage on the property is £108k but one upstairs sold for £60k so don't know what my chances are for getting it at a price like that.

These flats were built when prices were at the peek and now people cannot sell them because of the negative equity.

When the postie came today with a recorded delivery copy he said he had loads of these for the development so think the landlord bought a load of them as an investment and it's gone wrong... Hopefully this will help me.