Mortgage Express are forcing me to sell my home – HELP!

Mortgage Express are forcing me to sell my home – HELP!

16:19 PM, 21st March 2013, About 9 years ago 148

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Mortgage Express are forcing me to sell my homeI own a property in the UK that I rent out since being made redundant, getting offered work in Spain and moving approx 4 years ago. My UK property is my only home and I intend on returning to live in it when the UK comes out of recession and I can get a decent job again. I have a standard variable residential mortgage with Mortgage Express.

I did not tell Mortgage express initially that I was renting my house out as it is my only home, I plan to return there and I do not know how long my work will last in Spain.

They have now been advised and are refusing to give us permission to rent the property out. Therefore they are saying that we are now in breach of contract. They are giving us no options whatsoever with them, they won’t change us to a buy-to-let mortgage and they will not give us more time to improve our LTV rate to be able to remortgage with another company.

We have been told we can not currently remortgage as the LTV is very high and we live in Spain. We are unable to sell as the sale price will not cover the mortgage, second charge on the property and the sale/solicitor fees.

Mortgage Express as saying that if we do not do any of these they will foreclose the mortgage and repossess our home.

We have been a loyal customer for 10 years, we have never been late or missed a payment, and now we have very good, loyal, paying tennants who is enabling us to pay the mortgage each month.

On top of the monthly mortgage payments we want to pay them extra to repay the capital as quickly as we can, or at least lower the mortgage value to improve the LTV.

They will do not do anything to help us.

We feel we are being treated very unfairly. Where they have been bought out by the Government they have changed their policies and taken away all of our options. We did not give permission for these changes, we did not sign anything to adhere to their new policies and we want to know how that affects the mortgage contract with us and if we have any case against them.

All advice very much appreciated.

Gary Byrne



Comments

by Gary Byrne

16:44 PM, 27th March 2013, About 9 years ago

Hi Judi,

This is a write up on another 'property 118' forum. Think you might find it interesting.

I’ve also heard that MX losses are subsidised to 75% of book value by the Tax payers bail out money. Therefore, if a property if sold for 50% of the mortgage value MX would show 100% profit on their books and somebody would probably get a nice bonus. Do you think this might be incentivising them to look for any old excuse to call in mortgages, e.g. letting to tenants on benefits and anything else they managed to squeeze into their mortgage conditions?

by

19:57 PM, 27th March 2013, About 9 years ago

I think the issue that has been highlighted here is to NEVER trust MX.
Don't let them know anything different to your original mortgage contract.
Only ever make generic enquiries; never give your account no and proper name.
It seems MX leave decent mortgage payers little choice once they know things are different to what the original mortgage was for.
The answer here is obvious..........................don't tell MX anything that would cause MX to try and call in your mortgage!!
Economy with the truth is called for where MX are concerned!

by Sharon Betton

14:55 PM, 3rd April 2013, About 9 years ago

I have read the thread on this with great interest. I think most of the comments have some merit. It seems to me that the Gary unfortunately and possibly in ignorance, did something that he should not have done. It is very clear when taking out a mortgage what it is for. I appreciate he may be making little excess from renting out without permission, but that permission was required. The fact he has now asked for permission is good, but there is no requirement to grant this permission retrospectively.

Mark's advice is good, fight it. There are reasons to feel that a Court may not allow a repossession provided you make it clear that should you have been benefitting from a lower mortgage rate, you will clear it - that is a more logical way of settling the money side than your saying you will pay extra to pay more off the mortgage - you've been in breach of your agreement for a no. of years and if you have had your mortgage at a cheaper rate, then you owe them.

I spend a lot of time fighting the corner for landlords with great pride, but no landlord should be bringing the profession into disrepute by making suggestions that really seem extremely dubious. Of course they somethimes work - but please, keep it quiet!

I would also say that the suggestion that you say you are moving back and the tenant is the lodger though interesting, may be on shaky ground. How did Mortgage Ex. find out that you were letting it? Is it not possible that having had the discussions with them you have had, they would keep a very close eye on what happens with this? Your scheme may work when the discussion has been very limited, but where they are fully aware that the owner is in Spain, that he has lived there for some years, he would need to put some effort and time into getting his family back to England, I think they may be cynical and believe somebody has come up with a cunning plan.

by Mark Alexander

15:05 PM, 3rd April 2013, About 9 years ago

@Sharon Betton - yes I completely agree and at the risk of making Paul Barrett even more paranoid, who's to say that MX are not monitoring this thread?

by Gary Byrne

17:30 PM, 3rd April 2013, About 9 years ago

We have a member of parliament who is now looking into it. We are also looking into remortgaging with another lender.

@ Sharon Betton. Thankyou for taking the time to read this thread. My main aim was to seek advice and to try to get people in the same boat as me to get together so we could, in numbers, be heard. I am totally up for keeping to the contract and staying within the guidelines. I did not cause this economic meltdown, the banks did. I did not know how long I would be out here and I did not know that MX would become nationalised by the banks. If I had the ability to know that I was not going to find work and that I was going to end up here in Spain then I would not have wasted my savings on paying the mortgage, I would have changed to a BTL. Unfortunately I do not possess such abilities and had to bend the rules to buy myself some time. Now I have managed to sort my finances and family I can know go back and sort out things like this. Unfortunately MX are saying no. I have read on many forums that the government (tax payer) bailed them out for somewhere between 75 and 100% of their debts. Of course now it all makes sense. They can now foreclose on people forcing them to sell at say 50% of market value and still make a massive profit. This is simply unethical and immoral accounting. Once again 'joe public' is being screwed. No matter what you think I have got away with Sharon it was not done with malice and it is nothing compared to what MX are doing to hard working people. I can quite simply give the keys back. I dont live in your country anymore and I have no assets here not even a car. I did what I could at the time to keep my home but it did not work. They do not want to find a mutual way around this so I will probably sell and live debt free for the rest of my life. Least when the interest rates go up I will not be affected by it. I successfully sued my bank once for 5K for illegal bank charges before they managed to turn that around. Its amazing what the banks can do when they want to.

by

20:08 PM, 3rd April 2013, About 9 years ago

Wise advice from Sharon Betton; 'they may work; but please keep it quiet'
Absolutely; mouth now well and truly zipped!!!!

by M W

2:47 AM, 13th April 2013, About 9 years ago

I have a mortgage with MX (previously with B&B). I have been overseas for many years and last year I finally decided to 'legalize' my arrangement. I have had tenants in my house since I first let it out 16 years ago.
When I contacted MX they sent me a change of address form to fill out. I did that and then sent some documentation proving my new address and that was it. No change to the interest rate payable (at least not to my knowledge) and it was all done. No heavy phoine calls or threatening letters and no extra costs or liabilities. My circumstances would appear to be very similar to the OP with very different outcomes and experiences. It may well be individual managers within MX that are driving this situation.

by

12:07 PM, 13th April 2013, About 9 years ago

Morning Gary,

Any joy with MX or mortgage brokers?

by Gary Byrne

8:49 AM, 14th April 2013, About 9 years ago

At the moment we have a member of parliament helping us with MX. To be honest we are thinking of selling and relieving ourselves of the chains of debt. I get so angry with these faceless cowards that refuse to talk to you personally and I feel sorry for the people that have to take the flack and verbal abuse one gives them over the phone. I guess they are only doing their job and if the computer says 'no' then 'no' it is.

“The modern banking system manufactures money out of nothing. The process is perhaps the most astounding piece of sleight-of-hand that was ever invented. Banking was conceived in inequity and born in sin... But if you want to continue to be slaves of the bankers and pay the cost of your own slavery, then let the bankers continue to create money and control credit "

Josiah Charles Stamp. President of the bank of England during the 1920's apparently said that.

This world has more debt than it has money to pay for it. The biggest crime is not what these Bankers, politicians etc do, its the fact that the common people do nothing about it. Except moan on forums. LOL Thank you all for your concerns and I will keep you posted and if any of you are up for a revolution count me in. We were going to have one over here in Spain but it was too hot so we had a beer instead.

by

16:56 PM, 19th April 2013, About 9 years ago

Hi Gary,

Just interested to know how you got on with mortgage broker/other lenders.


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