If you owe money to a lender then there is always a chance of repossession if you don’t pay up on time. Sadly this repossession process is legal in most situations however most people in debt don’t actually realise when the lender is LEGALLY allowed to repossess your home. Most home owners need more repossession information. A tell tale sign for the reliability of what the lender is saying is how far the lender is willing to go to repossess your home. If the lender is willing to go to court fairly quickly then it sadly isn’t looking good. The legal process is explained in more detail below.
Agreeing to the repossession of your property
If you agree to have your home repossessed then your money lender will agree terms with you on the sale of your property. If your mortgage or loan was taken out after the 1st December 2009 then your lender must get a court order to repossess and sell your home unless you give them written consent 7days prior to the sale of your property. This is due to the government putting a law in place called the Land and Conveyancing Law Reform Act 2009, this therefore gives you just a little bit more security and (most importantly) time. This repossession information is important to be aware of.
Another order which has been put into place by the government is known as the well-charging order.
This is needed by the re-possessors to sell your house onto someone else, without this order then The re-possessors will struggle to get a buyer for your property. Whatever happens though the issue should really try and stay out of court as you are generally forced to pay the costs of the trial.
Disagreeing to the repossession of your property
If you don’t agree to the repossession of your property then be prepared to go to court and pay for all
the costs of the hearing.
The re-possessors may start the process in either the circuit court or the high court, however if the
mortgage was taken out after the 1 December 2009 then the case must first be taken to the Circuit Court.
Once the lenders have taken you to either or both of these courts then they will apply for one or more
orders – a possession order and/or a well-charging order. These orders generally come after the court has
granted you a period of time to pay back the money you owe the lenders. After this period of time, the
orders have been passed and you still will not allow the repossession of your home then the orders
will be enforced by the police or the County Registrar.
There is a lot of repossession information available to homeowners. If you need more repossession information then feel free to call Property Buyers on 0800 977 45 45