While the idea of having our homes repossessed may never have crossed our minds, we may find ourselves in a situation beyond our control, such as an unexpected change in financial circumstances, which means we are suddenly faced with this incredibly stressful situation.
With 1.4 million UK households struggling to pay their mortgage, house repossession is a harsh reality for some. However, there are alternative options…
House repossession process
If you fall behind on your mortgage repayments your lender will inform you of your mortgage arrears. This is how much money you currently owe them. Remaining calm and communicating with your mortgage provider will often stop the repossession process there and then, with many lenders giving time frames and alternative payment plans to help you take control of your situation.
If you fail to get in contact with your lender they will file for a repossession order; this means that the courts have decided your mortgage provider can repossess your home. You will be required to attend a court hearing where you can voice your case to a judge. Often, solutions to stop repossession orders can take place at this point.
If the court decided that repossession is the best option you will be provided with a date you must leave your property. If you fail to do so bailiffs will be sent to your home to remove you. Your mortgage lender will then sell your home and return any remaining funds to you.
However, house repossession doesn’t need to be the answer.