Repossession Order

[Hocus Pocus]

Help needed please !

 

I have a property with a buy to let mortgage. The tenant stopped paying rent in April 2007 and I had to take him to Court to have him evicted in mid November 2007.

 

I was unable to meet the mortgage payments and although I advised the mortgage company they applied for a repossession order which was granted 2 days before tenant was evicted.

 

I attended Court with the papers but the Judge was not interested - even though I told him that I had put the house on the market but could not have viewers due to the tenant. He told mortgage company solicitor that he would not issue a suspended order - but gave me 70 days possession order - so time to get purchaser. He told me to reapply to court if I did this.

 

I have not secured a buyer as yet ( I have reduced price & placed with a second agent) - a relative has offered to loan me the funds to clear the arrears and I can manage the mortgage payments going forward until house sells.

 

Does the repossession order automatically cancel if I pay the arrears ?

 

What is the best / guaranteed way to stop the repossession order from taking place ?

 

Thanks for any advice that you can give.

[Oh Boy!]

Hello,

 

Can you tell me if your claim number begins with 7PA, or another.

 

Normally, if you apply to the court, and they are made aware of money available to pay off the arrears the possession order should be suspend with liberty to restore if you fail to pay the arrears under a suspended court order.

 

Which court is it.

[Ell-enn]

I didn't think the property could be repossessed if there were no arrears? and I understand that you can apply to the court to have the order cancelled as soon as the arrears are paid.

[Hocus Pocus]

Thanks for replies - number starts 7PB - in Wigan , Lancashire district.

[depressed]

good luk

[Oh Boy!]

i see its on pcol, if you wish, you can pm if the claim number and i will have a look for you.

[sequenci]

AFAIK a Suspended Possession Order will always sit there, even when the arrears have been cleared.

[Ell-enn]

isn't it possible to apply to the court to have it cancelled once the arrears are paid? I think Sillygirl has posted about this?

[Killerschick]

An application can be made to the Court for a possession order to be cancelled once the arrears have been cleared. It has the advantage of slowing down proceedings if you fall into arrears again in future as the mortgagee will have to issued from scratch. The disadvantage is that you will get charged all over again for the preparation of the claim.

The best option is not to fall back into arrears after having the order cancelled.

[Weird Al Yankovic]

AFAIK a Suspended Possession Order will always sit there, even when the arrears have been cleared.

 

 

Are you sure about this?

 

I went through this and was able to clear all my arreas within two months of the order and when I phoned the court they said the order is automatically cancelled.

[Killerschick]

I can confirm that a suspended (or indeed any) possession order in a case relating to a mortgage remains valid even after the arrears have been cleared. You have been given incorrect information by the Court and I would advise you never to trust what you are told by a someone in a Court office as they are poorly, paid administrators with absolutely no legal knowledge. Quite possibly they confused the law in relation to mortgages and rent, once the arrears under a postponed (formerly known as suspended) order in a rent case are cleared the order is automatically cancelled but NOT with orders in relation to mortgages.

It's a bit complicated (I can't think how to explain properly) but it's partly because the mortgage technically falls due in it's entirety as soon as it completes and the mortgage company shows forbearance in accepting monthly instalments so there's always an amount outstanding. Technically mortgage companies don't need a possession order to take possession at all (see Ropaigealach v Barclays) but unless a property is abandoned most mortgage lenders will go through the courts before taking possession.

[Weird Al Yankovic]

Great info Killerschick.

 

I have searched online for the application form to cancel the order regarding my paid arrears and can't find one anywhere. I received no info regarding this either within all my legal papers!

[Killerschick]

Mortgage companies don't exactly publicise this it's generally more convenient for them to have the order sat there ready for to go straight for a Warrant if you ever get into arrears again. Also, once made an order is enforceable if there are any arrears - the usual two months before it goes to Court goes out of the window.

An application can be made on the good old N244 explaining what you're looking for and can be dealt with without a hearing. Make the application with the consent of the mortgage company or without notice and the fee should be £40.00. You will need evidence that the mortgage is up to date such as a statement or letter from the mortgage company. Hope this helps.

[Weird Al Yankovic]

Hi Hocus Pocus,

 

If you email me the details of the property i might be able to help you out. I buy properties from all over the uk. Drop the details to (link removed)

 

Cheers

 

Do you pay the survey fees?

 

Do you pay the market rate for a property?

[21stcentury]

yes i pay the survey fees!!

 

Dependant upon the rental and the projected growth.

 

Send my details and i'll have a look at it.