Landlord not paid mortgage...
Discussion
Hiya,
Have a potential issue here... had a knock at the door from a sheriff officer on monday advising that our home owner has not paid his mortgage and run up a fairly substantial debt with his mortgage supplier and the mortgage supplier has applied to the court for a repossession order. We rent the apartment through a letting agent, property is located in scotland.
This happened last year but the homeowner paid what was due, albeit a much smaller amount. Obviously, first thing i did after the S.O's departure was contact the letting agent who assured me that he would contact the owner immediately, we still havent heard back from him yet (Friday)!
We've been here for 3 years and its been fine until last couple of months when we had a water leak from our roof which was reported and has never been followed up, the roof leaks when it raining (fixed with a baby bath catching the drops!) and there is damage to the internal decoration...
Anyway, has anyone any ideas what we can do with regards to him not paying the mortgage?
Should we withold any further rent payment on the strength of this? Im tempted as it would appear that our contract has been breached. Will this affect credit rating if we do withold? Should i request deposit back now?
Thanks for taking time to read this and look forward to replies!!
Have a potential issue here... had a knock at the door from a sheriff officer on monday advising that our home owner has not paid his mortgage and run up a fairly substantial debt with his mortgage supplier and the mortgage supplier has applied to the court for a repossession order. We rent the apartment through a letting agent, property is located in scotland.
This happened last year but the homeowner paid what was due, albeit a much smaller amount. Obviously, first thing i did after the S.O's departure was contact the letting agent who assured me that he would contact the owner immediately, we still havent heard back from him yet (Friday)!
We've been here for 3 years and its been fine until last couple of months when we had a water leak from our roof which was reported and has never been followed up, the roof leaks when it raining (fixed with a baby bath catching the drops!) and there is damage to the internal decoration...
Anyway, has anyone any ideas what we can do with regards to him not paying the mortgage?
Should we withold any further rent payment on the strength of this? Im tempted as it would appear that our contract has been breached. Will this affect credit rating if we do withold? Should i request deposit back now?
Thanks for taking time to read this and look forward to replies!!
No, it wouldnt help but im just wondering where the rents going because we're not getting any maintenance done and its obviously not going to the bank as this has happened previously! The rental amount we pay will fall way short of what is due, looking at 3 years to even eat into it!!!! Im kind of under the impression that we're going to be out soonish!
I understand that the Mortgage Repossessions (Protection of Tenants) Act received it’s Royal Assent on April 8, 2010.
From the recent press release, where a mortgagor (other than one under a buy-to-let mortgage) has granted a tenancy of the property and fallen into arrears on his mortgage, the court will now have power to postpone any possession order obtained by the mortgage company for up to two months, so as to allow the tenant to make alternative housing arrangements.
The OP should continue to making rental payments.
This is the link to the new Act;
http://www.opsi.gov.uk/acts/acts2010/pdf/ukpga_201...
From the recent press release, where a mortgagor (other than one under a buy-to-let mortgage) has granted a tenancy of the property and fallen into arrears on his mortgage, the court will now have power to postpone any possession order obtained by the mortgage company for up to two months, so as to allow the tenant to make alternative housing arrangements.
The OP should continue to making rental payments.
This is the link to the new Act;
http://www.opsi.gov.uk/acts/acts2010/pdf/ukpga_201...
Since the OP is based in Scotland then any Tenancy Agreement will come under the Housing (Scotland) Act 2006, section 14 covers the Landlord’s duty to repair and maintain.
http://www.statutelaw.gov.uk/legResults.aspx?LegTy...
Here down South, any tenant in a similar situation to the OP, would be legally entitled to notify the landlord, agents that unless the remedial repairs were carried out within 10/14 days, then the OP/tenant would instruct his own contractors to carry out the repairs, and deduct the costs for the same from the rental payments. The OP would also be entitled to seek either a rental deduction or alternative accommodation, both before and during the repair works. I see no reason why the same would not apply under Scottish legislation.
http://www.statutelaw.gov.uk/legResults.aspx?LegTy...
Here down South, any tenant in a similar situation to the OP, would be legally entitled to notify the landlord, agents that unless the remedial repairs were carried out within 10/14 days, then the OP/tenant would instruct his own contractors to carry out the repairs, and deduct the costs for the same from the rental payments. The OP would also be entitled to seek either a rental deduction or alternative accommodation, both before and during the repair works. I see no reason why the same would not apply under Scottish legislation.
I surprised at some of the advice here. It may be legal, but may not be practical.
If the landlord is struggling to the extent that he is not paying a mortgage. Who's home will be first to go, the one he lives in or the one he rents out
I personally would be looking to move at this point, (probably before this point if the roof was leaking and not being repaired). Is your deposit held in a Tenancy Deposit Scheme (not sure on the law in Scotland). If not when you have found somewhere I would give further consideration to withholding the last months rent.
It's all very well to say that the law is on the OP's side. Ultimately thought it's whose got the money with counts.
If the landlord is struggling to the extent that he is not paying a mortgage. Who's home will be first to go, the one he lives in or the one he rents out
I personally would be looking to move at this point, (probably before this point if the roof was leaking and not being repaired). Is your deposit held in a Tenancy Deposit Scheme (not sure on the law in Scotland). If not when you have found somewhere I would give further consideration to withholding the last months rent.
It's all very well to say that the law is on the OP's side. Ultimately thought it's whose got the money with counts.
Some good advice guys, thanks for this.
Yeah, the agents pretty useless, like someone has pointed out, just collecting their commission! Havent really seen or heard from them in the time we've been here.
Deposit is held by the "landlords agent who will act as a stakeholder".. I'll try and chase up and see if i can get hold of the landlord. But as a tenant, we wont really have over much in our favour!!
Yeah, the agents pretty useless, like someone has pointed out, just collecting their commission! Havent really seen or heard from them in the time we've been here.
Deposit is held by the "landlords agent who will act as a stakeholder".. I'll try and chase up and see if i can get hold of the landlord. But as a tenant, we wont really have over much in our favour!!
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