Mortgagee In Possession Cases North Queensland
Property Control Services
Providing Comprehensive Support
Unforeseen circumstances can lead a homeowner into a position where they are no longer able to pay their mortgage repayments. In this unfortunate scenario, the lender will reclaim ownership of the property and resell it to recover any losses. This is known as a 'mortgagee in possession' sale—and the mercantile agents from Vanguard Mercantile in North Queensland provide assistance to lenders throughout this process. There are a number of reasons why a borrower can fall into financial disarray and default on their loan. Common reasons include:
Changed Employment Status
Mortgagee in possession will occur if a borrower loses their job and falls into unemployment without ample savings to pay their mortgage. This often happens in single-income households.
Variable Home Loans
Variable home loan rates often begin at a low introductory rate but can increase over time—especially if the Reserve Bank interest rates increase. This will lead to a dramatic jump in mortgage repayments, which can be tough to keep up with.
Sudden Medical Expenses
An accident can lead a borrower to have to pay large medical bills at a moment’s notice, which can have a serious financial impact.
Death
The death of the person primarily responsible for paying the mortgage can force a borrower to become unable to pay their loan.
Divorce
A split of finances during a divorce can often lead to mortgagee in possession sales.
Debt
Repayments from other sources, such as credit cards, student loans, and financed vehicles, can restrict the amount of money available for your mortgage.
When Can Mortgagee in Possession Be Enforced?
The Property Law Act 1974 features several requirements that a mortgagee must meet before the mortgagee in possession process can begin. Firstly, the borrower must miss a payment on any part of the loan. From there, the mortgagor must be given a notice from the mortgagee requiring payment of the missed payment. If the default on the payment continues for 30 days from the date the notice was served, a mortgagee in possession can be enforced. To find out more about the process from one of our agents, get in touch today on (07) 4774 4844.
So, How Do We Help?
When it comes to mortgagee in possession cases, the mercantile agents from Vanguard Mercantile help lenders recover possession of the property. We prepare and provide all of the required documentation to serve the borrower. Naturally, in cases like these where issues of finance are involved, tensions can be high when it comes to serving documents to the individual involved. Rest assured, our agents will deliver all paperwork in a professional manner and treat every client with respect. Our services are available to clients throughout North Queensland—including Townsville, as far south as Mackay and surrounds, and as far north as Cairns and surrounds.
Why Choose Us?
At Vanguard Mercantile, we pride ourselves on our exceptional communication skills and providing high-quality conflict management services. No matter how difficult or emotional the situation at hand may be, our agents will help you communicate effectively and make sure you’re putting your best foot forward. If you have an urgent case you need sorted quickly, we can provide same-day document serving services for a negotiated fee. Contact our team for more information.
Mortgagee In Possession FAQ
What does mortgagee in possession mean?
A mortgagee in possession is a lender (usually a bank) that takes control of a property after the borrower defaults on their mortgage. The lender manages or sells the property to recover the outstanding debt, exercising legal rights under the mortgage without needing court approval in many cases.
