A family in Cardiff have been saved from eviction and losing possession of their family home following intervention by Martyn Prowel Gartsides Solicitors.
Mother and daughter, Pam and Lucy (names have been changed to protect identities of our clients) took out a mortgage of their family home 17 years ago. Six years later, Lucy moved out of the home and Pam continued to make the Mortgage payments. In fact, for the last 14 years, Pam has worked two different jobs, one being a full time “Monday to Friday, 9 to 5” role, and the other being a weekend job, in order to ensure that she was able to keep up the mortgage payments.
Unfortunately, the mortgage which they had taken out was an “interest only” mortgage. This meant that, despite all due payments being made on time for 15 years, the amount of the debt (mortgage) did not reduce at all.
In the circumstances, at the end of the mortgage term of 15 years, the Mortgage company expected to receive a lump sum payment in the full amount of the whole mortgage, in the region of £100,000. Pam and Lucy were not, unfortunately, financially in a position to make such a significant payment.
Despite Pam contacting the Mortgage company to explain her financial position and anticipated sums of money being received from various sources, the Mortgage company issued Court proceedings for Possession whereby they requested that the Court give them possession of Pam’s home.
Understandably, Pam and Lucy were distraught at having received the Court proceedings from the Court, and receiving information that they would have to attend a Court Hearing to defend their rights to stay in the family home. They therefore contacted Janine Griffiths of Martyn Prowel Gartsides Solicitors for help.
Janine arranged to meet with Pam and Lucy at our office in Cardiff and took full and detailed instructions from them both in relation to the circumstances of the possession claim being brought against them. Following the appointment, given the impending Hearing which was scheduled to take place within two weeks of the appointment, Janine prepared a lengthy and detailed Defence Statement on behalf of Pam setting out the circumstances in relation to her continued and diligent payment of the mortgage interest on a monthly basis, her attempts to have contacted the Mortgage Company’s Solicitor to discuss matters following receipt of the initial Letter of Claim and details in respect of monies which Pam was expected to receive in the forthcoming months which would enable her to make payment of the outstanding mortgage balance in full. Janine filed this Statement at Court on behalf of Pam in order that, should a Hearing still go ahead, the Court would have the appropriate evidence in place in order that it would be unlikely that a Possession Order would be granted in any event. Aside from this, Janine then contacted the Mortgage Company’s Solicitors, provided them with a copy of the Defence Statement which had been filed with the Court and suggested that, in all the circumstances of the case, it would be unlikely that a Court would order a Possession of the property to the Mortgage Company and that, in fact, the Hearing should be adjourned with no Order for Possession. The Mortgage Company’s Solicitors obtained their client’s instructions and responded to Janine that they would now adjourn the Possession Hearing and the proceedings generally. The Mortgage Company’s Solicitors then made an Application to the Court for the Possession proceedings to be adjourned.
Janine immediately reported the good news to Pam and Lucy who thanked her for her “help, kindness and support in the matter” and confirmed that she had, finally, managed to have a good night’s sleep following a very anxious and worrying time. Janine said, “all too often, we see clients who have taken out a mortgage product which is on an interest-only basis. Whilst this may seem a good idea at the time and will certainly reduce the amount of monthly payments to be made, eventually, the Mortgage Company will expect to receive payment of the full balance of the mortgage, at the end of the mortgage term. Whilst we can, as we have in this case, save a family from losing possession of their home when Court Proceedings have been issued and a Court Hearing has been listed, it is always preferable for us to be in a position to commence negotiation with the Mortgage Company’s Solicitors as soon as an initial Letter of Claim has been received, rather than needing to prepare Court documentation and comply with Court deadlines with a Hearing for Possession looming in the near future. I was very pleased to have been able to help Pam and Lucy in keeping their family home. It is results like that this that remind me of why I became a Solicitor in the first place”.
If you need any help or advice in relation to a Mortgage Repossession Claim please do not hesitate to contact our Civil Litigation Team on 02920470909.