Introduction
Have you recently attended a possession hearing regarding your mortgage and are unsure about what to do next? This article will guide you through the possible outcomes of your hearing and outline your options moving forward. Whether you’ve received an outright possession order or a suspended possession order, it’s crucial to understand your rights and the steps you can take. If you need additional support, you can find a solicitor on the Law Society’s website to get expert legal advice tailored to your situation.
If you’ve recently been to a possession hearing regarding your mortgage, you might be feeling a bit overwhelmed. Let’s break down what can happen next and what your options are.
Possible Outcomes of Your Hearing
At the end of your court hearing, the judge can make several decisions:
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Outright Possession Order: This means your lender can take back your property. You will have to leave by a specific date.
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Suspended Possession Order: You can stay in your home as long as you stick to an agreed payment plan to pay off your mortgage arrears.
- Adjournment: This means the judge is pausing your case, usually giving you a new date for a hearing.
- Dismissal: This is rare, but it means your case is thrown out.
Sometimes, the judge may also issue a money judgment at the same time. This allows your lender to recover any money you owe without having to go back to court.
What to Do If You’re at Higher Risk from Coronavirus
If you are at higher risk of severe illness from COVID-19, let your mortgage lender know. They may pause your case or eviction process, which could give you some breathing room. If they agree to this, inform the court and bailiffs immediately. They are required to give you seven days’ notice before any eviction.
If You Receive an Outright Possession Order
If the judge issues an outright possession order, you must leave your home by the date specified. It’s important to understand the eviction process related to mortgage arrears, as it can be complicated.
If You Can Repay Your Arrears
If you can afford to pay back what you owe, you can apply to have the possession order suspended. To do this, fill out form N244, which you can get from the court or download here. If your proposal is accepted, you can stay in your home while paying off your arrears.
If You Receive a Suspended Possession Order
With a suspended possession order, you’ll need to pay off your arrears in regular installments on top of your normal mortgage payments. If you fail to stick to this arrangement, your lender can apply to evict you. You’ll receive an eviction notice 14 days before the eviction date.
In some situations, the judge may give you time to sell your home to cover your debts. This is only possible if you can sell for enough to clear your mortgage and arrears.
Changing the Terms of Your Order
If you’re struggling to keep up with payments under a suspended possession order, you can apply to change the terms. This is called “varying” the order. Use form N244 for this as well, and be prepared to provide evidence at another court hearing.
If a Money Judgment is Issued
If you are evicted and your lender can’t recover all the money owed from selling your property, they can pursue you for the remaining balance. However, if you are compliant with the suspended possession order, this judgment may not be enforced.
If Your Case is Adjourned
An adjournment means your case is postponed. This can happen for various reasons, such as needing more time to gather information or if you were unable to attend the hearing due to illness. If your case is adjourned, you might incur additional costs.
What If You Missed the Hearing?
If you didn’t attend your hearing, you might be able to request a “set aside” of the possession order. This means the order could be canceled, and you would get another chance to present your case. You’ll need to show a good reason for missing the hearing and have a defense against the claim. It’s advisable to seek legal advice in this situation, and you can find a solicitor on the Law Society’s website to assist you.
Appealing a Possession Order
If you believe the judge made a mistake, you might be able to appeal the decision. You typically have 21 days to do this. If you think you have grounds for an appeal, seek legal advice promptly.
Paying Court Costs
Be aware that you may have to pay court costs, which your lender can add to your mortgage account. If you appeal, additional costs may arise, including court fees and legal representation. If you’re on a low income, you might qualify for legal aid to help cover these expenses. You can check if you can get legal aid on GOV.UK.
If Your Case is Dismissed
If your case is dismissed, you should ask the judge to order your lender to cover court costs, though you will still need to pay off your arrears.
Navigating the legal system can be challenging, especially when it comes to issues like mortgage arrears. If you’re unsure of your next steps or need assistance, consider trying Contend’s legal expert chat. Contend’s highly trained AI legal experts will work with you to provide guidance and help you understand and resolve your legal problems. Contend is the Easiest Legal Help in the UK.
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