Lenders To Give More Repossession Notice

December 9, 2008

Lenders To Give More Repossession Notice

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The Government are considering a new law that would mean mortgage lenders would have to give even more notice to tenants if their buy to let property is to be repossessed.

The BBC has reported that, if approved, lenders would have to inform tenants seven weeks before the property is to be repossessed. Currently lenders only have to send a letter to tenants at two weeks in advance of a repossession order.

Adam Sampson, chief executive of the housing charity Shelter, says: "Very rarely does the tenant have the remotest idea that the landlord isn't paying the mortgage. The tenant must be kept informed about all the steps towards repossession."

Hopefully, in most cases where landlords are in arrears, repossession will never happen so this law will never be enacted. Landlords who are in arrears have a lot of options open to them and can do a lot before repossession is even mentioned.

If you are a landlord struggling with your mortgage, talk to a mortgage adviser and see what can be done to change your situation. As well as the tenant being in danger, your own home could also be at risk. So don’t let anyone have to face repossession – get help now.

To keep up with the latest News and comment on the UK buy to let market visit the Buy to Let Mortgage Blog

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