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Currently Renting - Mortgage Company Employee Knocked At Door


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HOLA441

Hi all,

Currently we are renting an apartment from a private landlord, and have been doing so since last August. About 15 mins ago I got a knock at the door and it was someone representing the mortgage company. He asked if he could speak to the landlord's wife (or sister?), and I said they didn't live here and that we were renting from them. He then asked if I had a forwarding address, at which point I asked him what it was regarding. He said he couldn't divulge anything apart from he was representing the mortgage company. I asked to see some ID and everything seemed legit. He also asked how long we had been renting for and when our current lease was up.

Has anyone had anything like this happen to them? Could it be that the landlord is planning to sell at the end of our current contract (August)? Don't they have to let us know 3 months in advance if they are planning to sell the property? Or could it be that they are having trouble repaying the mortgage, or took out a regular mortgage rather than BTL?

Should we start looking for somewhere else to rent? :)

I am going to call the landlord right now to find out what is happening.

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HOLA442

Hi all,

Currently we are renting an apartment from a private landlord, and have been doing so since last August. About 15 mins ago I got a knock at the door and it was someone representing the mortgage company. He asked if he could speak to the landlord's wife (or sister?), and I said they didn't live here and that we were renting from them. He then asked if I had a forwarding address, at which point I asked him what it was regarding. He said he couldn't divulge anything apart from he was representing the mortgage company. I asked to see some ID and everything seemed legit. He also asked how long we had been renting for and when our current lease was up.

Has anyone had anything like this happen to them? Could it be that the landlord is planning to sell at the end of our current contract (August)? Don't they have to let us know 3 months in advance if they are planning to sell the property? Or could it be that they are having trouble repaying the mortgage, or took out a regular mortgage rather than BTL?

Should we start looking for somewhere else to rent? :)

I am going to call the landlord right now to find out what is happening.

If your landlord was arranging to meet someone from his mortgage company he wouldn't have arranged for him to go around to the place you are renting if he wasn't going to be there.

This must be something else, perhaps payments not being made or something like this. It doesn't look like it was an arranged meeting

Doesn't look good for you though, either way

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HOLA443
3
HOLA444

he's in trouble.

And you just made it worse by informing them he was renting out the flat without telling them / paying the right interest rate / paying tax.

Nice work!

Yep, but at the end of the day we can just move on somewhere else. If they weren't paying the correct mortgage/tax etc. then that's not my problem. In my eyes these types of people are the ones responsible for the greedy, exuberant property market that we have right now.

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HOLA445

Don't they have to let us know 3 months in advance if they are planning to sell the property?

Notice periods for both landlord and tenant(s) will have been written into the contract when you first moved in. I think two months on the part of the landlord and one month on the part of the tenant is normal?

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HOLA446
Guest Guy_Montag

Hi all,

Currently we are renting an apartment from a private landlord, and have been doing so since last August. About 15 mins ago I got a knock at the door and it was someone representing the mortgage company. He asked if he could speak to the landlord's wife (or sister?), and I said they didn't live here and that we were renting from them. He then asked if I had a forwarding address, at which point I asked him what it was regarding. He said he couldn't divulge anything apart from he was representing the mortgage company. I asked to see some ID and everything seemed legit. He also asked how long we had been renting for and when our current lease was up.

Has anyone had anything like this happen to them? Could it be that the landlord is planning to sell at the end of our current contract (August)? Don't they have to let us know 3 months in advance if they are planning to sell the property? Or could it be that they are having trouble repaying the mortgage, or took out a regular mortgage rather than BTL?

Should we start looking for somewhere else to rent? :)

I am going to call the landlord right now to find out what is happening.

Someone's been a bad boy. :lol::lol::lol:

I would start looking for a new place to live.

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HOLA447
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HOLA448

Almost certainly the landlord is behind on mortgage payments and the mortgage company don't know it's a BTL. If you find a plce to move out I would not expect to get your deposit back as the person probably has financial problems. You may want to consider not paying any more rent at this point until you have further information from the landlord.

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HOLA449

You are in a very strong position if you want to buy the place. Sounds like its going to be repossessed. Offer the mortgage company the outstanding mortgage amount for a quick sale if you can get an honest answer as to what that is. They will take it, you can either keep it or flip it, I would flip it right now though.

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HOLA4410

You are in a very strong position if you want to buy the place. Sounds like its going to be repossessed. Offer the mortgage company the outstanding mortgage amount for a quick sale if you can get an honest answer as to what that is. They will take it, you can either keep it or flip it, I would flip it right now though.

What if it was bought on IO at the peak?

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HOLA4411

You are in a very strong position if you want to buy the place. Sounds like its going to be repossessed. Offer the mortgage company the outstanding mortgage amount for a quick sale if you can get an honest answer as to what that is. They will take it, you can either keep it or flip it, I would flip it right now though.

Repossessions don't work like this. They have a duty in law to get a reasonable price. Which will mean hawking it through their tame agent which means you won't see it. If it's hocked to the eyeballs or not, that's going to make no difference to the sale price.

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HOLA4412

Sorry - sounds like landlord defaulted on mortgage at early stages of the game.

There have been recent posts on a similar situation for other people.

Strongly advise you go to your local citizens' advice bureau - they are amazzingly clued-up on this stuff. You may have to wait a week before getting an appointment but do it now.

They'll tell you where you stand and how you can stay where you are.

You have rights to a point even if the landlord defaults - mine did - and only time I knew it was when the baliffs sent notice!!!

I was still there for 7 months until property was sold and got my deposit back the day I moved out. That was with help from CAB and also a freebie from the local lawyers (open to anyone who asks - can you give me freebie advice - they seem to have a quota they need to meet of pro-bono work).

Mortgages lenders NEVER turn-up on the door-step unless there is a problem!

But also they can't tell you - 'cos of privacy laws.

However, you may find as I did - that the landlord says he lives there - when he never has - and has defaulted again his mortgage agreement! But you still have the same rights!

Seek advice before talking to the landlord - although let him know the visit - as I did - he then confessed - which left me in a stronger position to get the right advice - rather than whatif scenarios.

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HOLA4413

On this note, I think I may be heading into a similar situation.

Whats a mortgage counsellor?

I've had 2 or 3 different bailiff type people come round for different small amounts owed by my landlord when he moved (ran off?) abroad. £200 Credit card, £50 catalogue etc.

I have since seen a letter from the mortgage provider stating that he should arrange a meeting with their mortgage counsellor....

Is this one step away from bad things happening?

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HOLA4414

I've had 2 or 3 different bailiff type people come round for different small amounts owed by my landlord when he moved (ran off?) abroad. £200 Credit card, £50 catalogue etc.

Time to move out. Sounds like your LL may have skipped the country, continuing to collect the rent but not paying the mortgage. That is ever so slightly illegal and I would suggest you do not want your name associated with that property.

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HOLA4415

Repossessions don't work like this. They have a duty in law to get a reasonable price. Which will mean hawking it through their tame agent which means you won't see it. If it's hocked to the eyeballs or not, that's going to make no difference to the sale price.

This one does - as a tennant you can make things very difficult for the mortgage company. Write to them declaring your tennancy and position. They have a responsibillity to find you somewhere to live. Remember you have no parents etc. Be uncooperative etc they will get the message.

A reasonable price means nothing, they only need to auction the place and the price is then considered reasonable.

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HOLA4416
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HOLA4417

Time to move out. Sounds like your LL may have skipped the country, continuing to collect the rent but not paying the mortgage. That is ever so slightly illegal and I would suggest you do not want your name associated with that property.

This one got me worried, thought I should bring it up again.

All of his important post has been redirected allegedly. I have just seen another ones from Lloyds/ C&G. Seems quite important in that he owes £x000 on his mortgage.

Whats the deal if he doesnt sort this out, where do I stand, having a contract for another 8 or 9 months?

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HOLA4418
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HOLA4419

Time to stop paying the rent?

I'm certainly going to hold the last payment from deposit perspective, although I have paid 1.5x so thats a bit of an issue.

Where do I stand if the bank decide they have had enough? I have a contract that states 2 months, so I guess I could stop paying then.

TBH I was hoping that I might be able to make a cheeky offer. Houses like mine have been selling for 275k up until last year and 260k this year. He owes approx 190k, so if I could get a cheeky offer in at 220k-ish, this is 2002/ 2003 prices according to nethouseprice.

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HOLA4420

Don't just stop paying rent as this could leave you in deep trouble and interest charges.

Find out the facts first! It could just be a door to door salesman trying to sell a mortgage or

trying to get landlords to sell up.

Facts first, act later.

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HOLA4421
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HOLA4422

I'm certainly going to hold the last payment from deposit perspective, although I have paid 1.5x so thats a bit of an issue.

Where do I stand if the bank decide they have had enough? I have a contract that states 2 months, so I guess I could stop paying then.

TBH I was hoping that I might be able to make a cheeky offer. Houses like mine have been selling for 275k up until last year and 260k this year. He owes approx 190k, so if I could get a cheeky offer in at 220k-ish, this is 2002/ 2003 prices according to nethouseprice.

What I don't get is why you think a multibillion pound bank will change its standard procedures and its multimillion pound repossession repossession programme because you have a quiet word with them. As I have said before, the mortgagee if in possession is required to obtain the best price they reasonably can - are they going to risk being sued by the mortgagee for doing an off the table deal with you ? Of course not. They will repossess, then put up with other agent/put it on the block if that does not work.

It might be a cheeky offer, but it's not one that's very likely to work.

And as for a responsibility to give you somewhere to live - where's that then ? It's a bank, not a charidee..... - they have responsbilities to the FSA, they have duties to shareholders, they DON'T have any responsibility to a tenant in a property they need to repossess....

Edited by Rachman
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HOLA4423

What I don't get is why you think a multibillion pound bank will change its standard procedures and its multimillion pound repossession repossession programme because you have a quiet word with them. As I have said before, the mortgagee if in possession is required to obtain the best price they reasonably can - are they going to risk being sued by the mortgagee for doing an off the table deal with you ? Of course not. They will repossess, then put up with other agent/put it on the block if that does not work.

It might be a cheeky offer, but it's not one that's very likely to work.

And as for a responsibility to give you somewhere to live - where's that then ? It's a bank, not a charidee..... - they have responsbilities to the FSA, they have duties to shareholders, they DON'T have any responsibility to a tenant in a property they need to repossess....

Thanks for your imput Rachman - I was looking from a slightly different perspective i.e once the landlord is in the sh*t a cheeky offer could be accepted, as it could get him out of it.

If he owes them 190k and I offer him 220k, surely he (the landlord) would take it, rather than get repossessed?

Does that make a bit more sense?

Edited by Salsa
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HOLA4424

Thanks for your imput Rachman - I was looking from a slightly different perspective i.e once the landlord is in the sh*t a cheeky offer could be accepted, as it could get him out of it.

If he owes them 190k and I offer him 220k, surely he (the landlord) would take it, rather than get repossessed?

Does that make a bit more sense?

nope. i'd offer 190k less deposits owed less any other money you think he can scrape together.

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HOLA4425

Thanks for your imput Rachman - I was looking from a slightly different perspective i.e once the landlord is in the sh*t a cheeky offer could be accepted, as it could get him out of it.

If he owes them 190k and I offer him 220k, surely he (the landlord) would take it, rather than get repossessed?

Does that make a bit more sense?

My starting point would be his mortgage balance and arrears to date and not a penny more......... :) - and see where you can get to from that - if they repo, there will be about another 3 months fees and late interest and all the full commissions of EAs, court costs etc to take out of the pot, hence you may not be to far away with that number - maybe a bit less if you can exchange in less than two weeks (remember not to pay the deposit, but have an obligation to pay the deposit in the purchase contract (ask your conveyancer.... :) )

If he's skipped the country, finding him could be hard bit - though I presume the managing agent can do it (or his bank) - to flush him out, you could try changing your bank payment details for the rent, saying you need an up to date, accurate address and phone number for money laundering or something similar..... if you can find someone you can do a deal, your problem may be finding him.... good luck with it - someone's nightmare can be another man's opportunity (or his future wife....)

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