How JustAnswer Works:

  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site.
    Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.

Ask Ash Your Own Question

Ash
Ash, Solicitor
Category: Law
Satisfied Customers: 10916
Experience:  Solicitor with 5+ years experience
75100385
Type Your Law Question Here...
Ash is online now

I am a struggling landlord. My mortgage company recently

Resolved Question:

Good evening.
I am a struggling landlord. My mortgage company recently instructed lpa recievers to deal with the accounts. I am in in arrears with both the mortgages and services charges, but have made pretty regular payments.
The recievers have told me they are going to serve the tenants notice on 2 of the properties and hand them back to the mortgage company for vacant possession. I will be happy to see the back of them if I am honest, and I know they have to be seen to get the best possible price for me, but one of them is definitely in negative equity anyway.
I just don't want to get stiffed in the meantime.
Whilst the property is empty and for sale who pays the service charge? Council tax? Do they freeze my mortgage or does that debt continue to escalate?
Thanks
James
Submitted: 7 months ago.
Category: Law
Expert:  Ash replied 7 months ago.

Hello James my name is ***** ***** I will help you with this.

When you say empty, does the mortgage company have possession at this time?
Alex

Customer: replied 7 months ago.
No they don't have possession. This is quite recent, they haven't even served the tenants notice yet, but have advised me there plan. I am OK with this, just don't want to get stiffed once they are empty but not sold
Expert:  Ash replied 7 months ago.

Ok - whilst there are tenants then they are liable for Council Tax. Service charge is generally payable by Landlord (you).

But if the Receivers take possession they are liable for the costs (well its added to your mortgage loan).
Once the property is empty then the Receiver is liable for all charges and costs, but in reality these are added to the loan account and you are ultimately liable.

It may be depending on the arrears and what is owing you consider an IVA or going bankrupt. Bankruptcy is a good idea if you dont have any assets as you are free from any debt after 12 months.

Can I clarify anything for you about this today please?
Alex

Customer: replied 7 months ago.
Do they have to go to court before repossession? Or can they just take them back and foot me with the bill? Is there anyway we can stop it happening?
Expert:  Ash replied 7 months ago.

No as under the LPA they can just give notice. You would need a Court order to stop it.

They can just serve notice, take them and charge you the costs.

You would need an injunction to stop them.
Can I clarify anything for you about this today please?
Alex

Customer: replied 7 months ago.
Thanks for clearing some things up for me.
The bankruptcy thing is something I need to really consider.
What happens. Would I be right to think they take all off my debt, take a chunk out of my wages for a year, and devide it up fairly.
Obviously I won't get any credit after the year has finished
Expert:  Ash replied 7 months ago.

Yes it would be divided up. You will be able to get credit but not straight away. It will take a few years to rebuild your credit so you have a good risk profile.

But it cant be as bad as if the property is repossessed as the bank will want paying.

Does that clarify? Alex

Customer: replied 7 months ago.
Do you know what percentage they would take from me monthly?
Expert:  Ash replied 7 months ago.

Sadly I dont - that is down to how much you earn etc.

I think there is a prescribed formula, but I do not know what it is as I am not usually involved in that stage.

Does that clarify? Alex

Customer: replied 7 months ago.
Thank you
Expert:  Ash replied 7 months ago.

Im sorry its not better news.

If I could invite you to rate my answer before you go today please, otherwise the site does not credit me for the time spent with you today. Thanks and good luck. Alex

Ash, Solicitor
Category: Law
Satisfied Customers: 10916
Experience: Solicitor with 5+ years experience
Ash and other Law Specialists are ready to help you

What Customers are Saying:

 
 
 
  • Thank you so much for your help. Your answers were really useful and came back so quickly. Great! Maggie
< Previous | Next >
  • Thank you so much for your help. Your answers were really useful and came back so quickly. Great! Maggie
  • A quick response, a succinct and helpful answer in simple English. I believe I can now confront the counter party with confidence -- worth the 30 bucks! Rick
  • Wonderful service, prompt, efficient, and accurate. Couldn't have asked for more. I cannot thank you enough for your help. Mary C.
  • This expert is wonderful. They truly know what they are talking about, and they actually care about you. They really helped put my nerves at ease. Thank you so much!!!! Alex
  • Thank you for all your help. It is nice to know that this service is here for people like myself, who need answers fast and are not sure who to consult. GP
  • I couldn't be more satisfied! This is the site I will always come to when I need a second opinion. Justin
  • Just let me say that this encounter has been entirely professional and most helpful. I liked that I could ask additional questions and get answered in a very short turn around. Esther
 
 
 

Meet The Experts:

 
 
 
  • Jo C.

    Jo C.

    Barrister

    Satisfied Customers:

    30316
    Over 5 years in practice
< Previous | Next >
  • http://ww2.justanswer.com/uploads/EM/emus/2015-7-7_192327_bigstockportraitofconfidentfemale.64x64.jpg Jo C.'s Avatar

    Jo C.

    Barrister

    Satisfied Customers:

    30316
    Over 5 years in practice
  • http://ww2.justanswer.com/uploads/BE/benjones/2015-12-1_0437_ennew.64x64.jpg Ben Jones's Avatar

    Ben Jones

    UK Lawyer

    Satisfied Customers:

    11553
    Qualified Solicitor - Please start your question with 'For Ben Jones'
  • http://ww2.justanswer.com/uploads/BU/Buachaill/2012-5-25_211156_barrister5.64x64.jpg Buachaill's Avatar

    Buachaill

    Barrister

    Satisfied Customers:

    1754
    Barrister 17 years experience
  • http://ww2.justanswer.com/uploads/JO/jojobi/2013-3-19_0265_maxlowryphoto.64x64.jpg Max Lowry's Avatar

    Max Lowry

    Advocate

    Satisfied Customers:

    894
    LLB, 10 years post qualification experience
  • http://ww2.justanswer.com/uploads/UK/UKLawyer/2012-4-12_9849_F2.64x64.jpg UK_Lawyer's Avatar

    UK_Lawyer

    Solicitor

    Satisfied Customers:

    750
    I am a qualified solicitor and an expert in UK law.
  • http://ww2.justanswer.com/uploads/KA/Kasare/kasare.64x64.jpg Kasare's Avatar

    Kasare

    Solicitor

    Satisfied Customers:

    402
    Solicitor, 10 yrs plus experience in civil litigation, employment and family law
  • http://ww2.justanswer.com/uploads/OS/osh/2015-7-7_19268_gettyimagesb.64x64.jpg Joshua's Avatar

    Joshua

    Lawyer

    Satisfied Customers:

    8199
    LL.B (Hons), Higher Prof. Dip. Law & Practice