Facing repossession in Leicester can be a stressful time. There is a lot to think about, from legal implications to managing stress.
If you’re determined to stop the repossession, you will need to get prepared and organised to be able to handle the situation. This, of course, can only start with research.
In this article, we’ll explore everything you need to know about repossession in Leicester. From the reasons it may have happened and what you can do about it. We’ll also discuss the options you have available in the short term and long term to help you plan accordingly.
Can a house repossession be stopped?
To get started, the biggest question you will have is, can a repossession even be stopped?
You’ll be pleased to know that there are potential avenues to stop or at least delay the repossession process. In this section, we will explore the various options available to homeowners in Leicester facing repossession.
Seek Legal Advice
One of the first and most important steps to take when facing house repossession is to seek legal advice. Consulting with a solicitor or a housing advisor with expertise in repossession cases can be incredibly valuable. They can help you understand exactly what your rights are in terms of your specific situation.
Additionally, they can provide guidance on the best course of action. If you can’t afford to consult a solicitor, then consider organisations such as Shelter England, which can still provide guidance.
Contact Your Mortgage Lender
If you have been failing to keep up with mortgage payments, your mortgage lender may look to repossess your property as their course of action. At the first opportunity, get in touch with your mortgage lender. You will find that many lenders are willing to work with homeowners facing financial difficulties to find a solution that avoids repossession.
As difficult as the conversation may seem, contact them as soon as you realise you are struggling or going to struggle to meet your mortgage payments.
They may offer potential solutions such as:
Payment Plan
Your lender may be willing to negotiate a temporary payment plan to help you catch up on missed payments gradually. This can be a lifeline if you need some extra time to make payments.
Payment Holiday
Some lenders offer temporary payment holidays, allowing you to suspend mortgage payments for a short period. However, this is only a short-term solution. You will still need to be able to continue making payments. So, if you have recently been made redundant, you will be expected to find another job in time to continue making payments. Don’t forget that a payment holiday may result in the overall mortgage term being extended.
Seek Government Support
For people facing repossession in Leicester and across the UK, there is government help available. The UK government offers programs and initiatives to support homeowners facing financial difficulties. While they won’t pay towards the mortgage, they can help with interest payments.
For example:
Support for Mortgage Interest
SMI is a government loan that helps cover the interest on your mortgage. There is an eligibility criteria which can affect whether you’ll be able to qualify for this initiative. Again, you will still need to be able to pay a monthly sum to the lender; it is only the interest that SMI can help with.
Consider Selling Your Property
If all else fails, selling your property is a viable option to prevent repossession. Not only will it get the lenders off your back, but you can avoid the negative consequences of repossession. However, you will need to ensure that you can find a buyer in time so that you can use the funds to clear mortgage debts.
Attend Court Hearings
If your case has reached the repossession court stage, make sure you attend the hearings and present your case. The courts may consider your individual circumstances and may grant you more time or alternative arrangements.
Why is my Leicester home being repossessed?
There can be many reasons why you may be facing repossession in Leicester. However, understanding the reasons why it may be happening can be useful to address the underlying issues and potentially prevent it from happening.
Here are some common reasons why homes in Leicester and the UK face repossession:
Mortgage Arrears
The most common reason for home repossession is failing to make payments to the mortgage lender. This can occur due to multiple missed payments and failure to make arrangements to catch up on them. This can occur due to changes in your financial situation, such as job loss, health issues, or unexpected expenses.
It is important to let the lender know about your situation so that a solution can be found. In the meantime, take a look at the underlying cause for why you’re struggling to make payments and attempt to fix those problems.
Interest Rate Increases
Some people may have agreed to a mortgage that has a variable interest rate. This can result in an increase that significantly impacts your monthly payments. Add to that other issues like increased costs of living due to the economic climate, and many may find themselves unable to afford their monthly mortgage costs.
Repossession Court Orders
This is the final stage of the repossession process, so many will already be aware of their fate at this point. However, if you have previously attended court hearings related to repossession and have not adhered to the court’s orders or repayment plans, your lender may proceed with repossession.
How do you stop repossession of a property?
Stopping the repossession of a property ultimately comes down to two avenues.
- Speaking with lenders and arranging a plan to get back on track
- Selling the property and paying off any outstanding mortgage debts.
The sooner you take action, whether through negotiations with your lender or the sale of your property, the more likely you are to find a solution.
How do I stop repossession in the UK?
Stopping repossession in the UK will require you to follow the steps listed above. This includes either getting an agreement in place with your mortgage lender or to sell your property. However, your local council may also have other support in place, so be sure to look at those for any additional support during the process.
Can you get your house back after repossession?
Once your house has been repossessed, the process of regaining ownership becomes more challenging. However, it’s not entirely impossible and depends on the circumstances of the property.
If your property has been repossessed but not yet sold by the lender, there may be a slight chance of negotiating with the lender to buy back the property or potentially reversing the repossession. However, this would require you to pay off the outstanding mortgage debt and any associated costs, such as legal fees and arrears.
On the other hand, if your property has already been sold by the lender, regaining ownership becomes much more challenging. The new owner is typically entitled to their property rights. However, you may be able to make an offer. Keep in mind that they are unlikely to accept a low offer.
If you believe that the repossession was wrongful or not carried out following the proper legal procedures, you can seek legal advice and potentially challenge the repossession through the courts. If successful, this could result in the return of the property.
Additionally, in some cases, lenders may be open to negotiation even after the sale of the property. If you can demonstrate a credible plan to repay the outstanding debt, the lender may consider arrangements to allow you to buy back the property.
If you find yourself in the unfortunate position of facing repossession in Leicester, we can help. Here at We Buy Any Home, we can buy your property and help you sell a house fast. If you’re looking to recoup market value for your property quickly, then we’re a great option.
Not only do we provide a full cash payment, but we act fast. In fact, we can make you a free cash offer within 24 hours and then complete the sale in as little as seven days. Get in touch to find out more.
