MTA Solicitors undertake mortgage repossession work for lenders, including banks, building societies, financial institutions as well as third party companies. Our team of highly experienced litigators offer a comprehensive and streamlined service, covering pre-action letters, repossession, sale and shortfall recovery. MTA Solicitors uses a bespoke case management system ensuring that your repossession process is effective and efficient.
At MTA Solicitors, we also offer a pre-litigation arrears management service. This involves agreeing and monitoring the payment arrangement with your borrowers you have been prompted to make payment following the pre-action letter. This service can also be used after the Suspended Possession Order has been granted. With this service, we will monitor payments made for 3 months before returning the file to you, ensuring that any defaults are dealt with promptly.
What is a Suspended Possession Order?
This is when the home owner makes regular payments as set out in the order, which allows them to stay in their home. However, if you fail to make payments, your lender can ask the court to evict you.
If an eviction is necessary, our litigation department will also deal will all the formalities, including the instruction of a locksmith. Other services include instructing a conveyancing solicitor who is experienced in dealing with repossessed homes. Our conveyancing department offer seamless transactions between both repossession and sale.
In the event of a shortfall, our team provides a comprehensive enforcement service in order to obtain the maximum debt recovery for you.
If you are a mortgage lender and you would like discuss your case in more detail simply call us on 0208 313 5118 to speak with a member of our debt recovery team.
What is Mortgage Repossession?
Mortgage Repossession is a legal process which enables a mortgage lender to take possession of a property due to unpaid debts after a court order has been issued.
Can I avoid Repossession?
There are several things you can do to try and avoid mortgage repossession:
- Keep around 3 months worth of salary in your savings account
- If you are struggling to make payments, make sure you notify your lender at the earliest opportunity
- If you start to fall behind contact your lender straightaway - do not ignore the problem
- Look at the option of remortgaging your home
- Investigate consolidating your debts
Its important to remember that repossession is a last resort and there are several options for you to take in order to prevent your house being repossessed.
Mortgage Repossession Process
If you have been unable to meet a suitable arrangement with your mortgage lender and you have fallen behind on your mortgage repayments, you will be issued with a 'notice of default'. Once this notice has been issued, your chosen repossession solicitor will be able to represent you once the mortgage lender has moved to the next stage of repossession. This stage consists of the mortgage lender going to court to request a 'claim for compensation'.
During this period, we would advise that you keep negotiating with your mortgage lender even when formal proceedings have begun to repossess your home. It is important to note that repossession solicitors can be invaluable during the repossession process as they have the ability to negotiate on your behalf. It is always advisable to have a legal representative when going to court.
In addition to this, you should be aware that all mortgage lenders are bound by property law which ensures that they follow a set of procedures called 'pre-action protocol' which gives you the opportunity to resolve your dispute with your mortgage lender, before filing for court action.
Alternatives to Repossession
When you start negotiating with your mortgage lender there are a few alternative options to consider before you accept the repossession of your home. For example, you could look into:
- Using the Governments Mortgage Rescue scheme
- Using sale and rent schemes
This sale and rent scheme enables you to sell your home to a third party who then rent your house back to you. These type of schemes could potentially help you pay off your mortgage and any arrears you may have, however you should seek legal advice first. Please note that a sale and rent scheme should not be undertaken without qualified advice from a repossession solicitor or lawyer as it may result in you losing your home.
Here are some useful links for further information on mortgage repossession.
Citizens Advice Bureau
Council of Mortgage Lenders