Walking out of a mortgage

Posted on 3 March 2011 by JAYNE


Can you walk out of a joint mortgage and what would happen if you did?

Jayne,

In short no. When you took out your mortgage you gave a legal commitment to ensure that all mortgage payments were paid on time and the mortgage debt repaid within the agreed term. These covenants last whether or not you occupy the mortgaged property and if the Lender makes a loss on sale in possession they mean you are liable for that loss and they can pursue you through the courts for payment.

Peter

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YOUR PROPERTY MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON A MORTGAGE OR ANY DEBT SECURED ON IT.

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