Calls to protect private tenants from eviction have been raised, as more landlords struggle with debt problems and fail to keep up with mortgage repayments – leaving tenants increasingly closer to eviction than they realise.
Campaigners, including the charities Shelter and Crisis along with debt advice organisations, want new laws to be introduced that give people in rented accommodation more notice when a mortgage firm have repossessed their home.
At the minute, only two weeks’ notice is legally required, meaning many are left homeless. In some instances families are given no warning at all, and return home to discover that locks had been changed and their possessions were turfed out on to the street. From 6 April, the government has said it will increase the warning from two to seven weeks, to try and prevent this.
In addition to this, the charities want the law to be changed so that courts can defer repossessions, which will enable tenants to find a new home. They have also called for more to be done by lenders, to make tenants aware of repossession proceedings. Suggestions include getting courts to send notices to the tenant of a property which are clearly marked that would go out along with notices that are currently sent by mortgage lenders “to the occupier”.
Landlords who are struggling to maintain their mortgages may often have other debt problems which prevent them from keeping up with their repayments. In many cases they could benefit from impartial debt advice, so that their unsecured balances are re-scheduled – which could enable them to maintain mortgage repayments.
Reputable debt help organisations include Chiltern Debt Management, Hamilton Locke and The Debt People – all of whom offer free debt advice.
Their debt solutions include debt management plans, Individual Voluntary Arrangements (IVAs), Trust Deeds amongst others. For free debt advice, call the number at the top of this page.
Approximately 8,000 buy-to-let properties could be repossessed this year, which could mean around 10,000 people are made unexpectedly homeless. This could be dramatically reduced, in many cases, if landlords with debt problems seek debt advice sooner rather than later.