Taking out a mortgage is a serious commitment, and most only do so with the best of intentions. Yet while the desire to remain on top of payments may be sincere, the misfortunes that life brings may mean that a mortgagor is unable to meet their payments throughout the many years their mortgage lasts.
If the worst should happen and repossession of the property is necessary, then the property is usually sold by the mortgage provider.
Yet there is a chance the repossessed property may be sold for a price that falls below that of the terms in the initial mortgage. This leads to a shortfall that the lender will then seek to recover from the mortgagor/s.
Naturally, however, when an individual has been unable to meet their mortgage payments and is beginning anew, there may be difficulties reclaiming this mortgage shortfall given their recent circumstances.
Consequently, many lenders opt to abandon chasing payments. The limited returns for pursuing fiscally limited individuals tends to make such attempts somewhat fruitless, but that doesn’t mean mortgage providers need to write off what they are owed.
Mortgage shortfalls have a long limitation period
The limitation period on reclaiming mortgage shortfalls is currently established to be 12 years from the date on which the lender had the right to receive the money. Therefore, those who owe you money due to a shortfall can be pursued years ahead of the occurrence – therefore increasing the chances these individuals will have regained financial stability and the means to pay you what they owe.
Mortgage lenders attempting to pursue unpaid shortfalls both new and old can benefit greatly from quality legal representation. Having an experienced firm of solicitors assist in reclaiming the sums owed can take much of the pressure off the lender, increase your chances of success, and bring the matter to a resolution swiftly.
At Robertsons Solicitors we have extensive experience in reclaiming shortfall sums owed for mortgage providers across the country. Our team is dedicated to the efficient recovery of debts incurred by possession, always remaining transparent in our methods and what our clients can reasonably expect in each matter.
Through the passing of time and changing circumstances, the options available to lenders looking to recover shortfalls will change. We remain committed to exploring each option available to you, finding the best solution to your needs and maximising the chances for lenders to obtain the sums owed.
