Mortgage Express – UKAR – end of term on buy to let mortgage

by Readers Question

22:51 PM, 12th May 2015
About 4 years ago

Mortgage Express – UKAR – end of term on buy to let mortgage

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Mortgage Express – UKAR – end of term on buy to let mortgage

My mum has come to the end of the term of her mortgage with Mortgage Express.

The loan is £100,000 and realistically the property would only sell for about £75,000 max.

The term ended in March 2015. Mortgage Express - UKAR - end of term on buy to let mortgage

Has anyone any experience with a buy to let mortgage coming to the end of the term with Mortgage Express or those that manage in now UKAR?

She hasn’t got the money to pay the shortfall.

Is there any other option other than them repossess the property?

Any advice appreciated.

Thanks

Emma



Comments

Mark Alexander

23:44 PM, 12th May 2015
About 4 years ago

Hi Emma

It's not good news I'm afraid, UKAR are notoriously ruthless in these situations.

It your Mum has any other asetts to protect then she must do all that she can to save them. UKAR will not simply walk away from any debt not covered by the sale proceeds of the property. Also, if they conduct the sale you are likely to be shocked at how cheaply the property will sell for. Your Mum will then be haunted by UKAR until she pay up or declares personal bankruptcy.

If your Mum has other savings, investments or equity into properties to protect her best course of action would be to instruct a free service, Citizens Advice approved debt management company such as Paylan ASAP - see >>> https://www.payplan.com/

She then needs to sell the property as quickly as she can before the matter is taken out of her hands by UKAR. Chances are they will sell it for far less. The debt management company will then negotiate on your Mum's behalf toth UKAR to buy her time to raise more cash and hopefully to come to a settlement arrangement. Appointing a debt management company can also help staive off unwanted harrassement. They achieve this by obtaining an interim protection order via the Courts as part of their appointment.

I wish you well and please let me know how you get on.

All the best

Mark
.

Richard Elderfield

23:19 PM, 13th May 2015
About 4 years ago

I thought these reverted to favourable bbr + 1.99% at the end of the term?

Mark Alexander

23:44 PM, 13th May 2015
About 4 years ago

Reply to the comment left by "Richard Elderfield" at "13/05/2015 - 23:19":

Not always, I have BBR plus 1.5% and BBR plus 1.75%.

Some residential mortgages reverted to SVR that don't track BBR at all.
.

Richard Elderfield

7:04 AM, 14th May 2015
About 4 years ago

Reply to the comment left by "Mark Alexander" at "13/05/2015 - 23:44":

So is Emma saying the actual mortgage term is up, as opposed to the end of a fix, leaving limited options due to negative equity?

Mark Alexander

8:15 AM, 14th May 2015
About 4 years ago

Reply to the comment left by "Richard Elderfield" at "14/05/2015 - 07:04":

Hi Richard

That was how I read it.

For Emma's Mum's sake I hope the situation for her is just as you have said, i.e. fixed rate coming to an end. However, I doubt that very much given the amount of time it has been since MX stopped lending. It would have had to have been a very long fixed rate to only be expiring now.
.

Chris Cooper

8:50 AM, 16th May 2015
About 4 years ago

I was told that UKAR had 7 years to clear its books and then we all may be offered some sort reduced exit amount, surely that time is around now anyone got anymore info on this. I am in a similar position to this person, property seriously underwater and mortgage ending in 2 years.
Thanks Chris

Janet Carnochan

21:45 PM, 19th May 2015
About 4 years ago

Could she convert it to a repayment with them? Since it is such a good interest rate it may not be that expensive and may keep them off her back.


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