What happens to Repossessed Properties?

Once a house has been successfully repossessed the mortgage lenderís next move is to sell the property for the best price that can reasonably be obtained. This is normally done via an estate agent, although the home may end up at auction where the value will be substantially less than on the open market. In order to get the best possible price for the property, former borrowers need to ensure it is left in the best condition and any necessary repairs are carried out.

To help alleviate any losses, borrowers should:

  • Ensure the property has been cleaned inside and out
  • Ensure that all rubbish has been removed from all parts of the house (rooms, garage(s), loft space, garden, etc)
  • Leave the garden in a neat and tidy state
  • Make sure a 'For Sale' sign has been erected
  • Take photographs of the condition of the property, preferably with a date stamp from the camera, upon leaving the house to provide witness to the condition at that time
  • Ask the lenders if they are supervising and ensuring that the estate agents are marketing the property in the same way as other properties for sale, OR
  • Visit the estate agents office to check the property is in the window or at least displayed inside