So as an example, a lot of landlords well, I would say majority of landlords are unaware of what the Landlord the property act 1925 actually is that even exists. So that’s the first point, because it’s actually a little known a point that’s written in any contract drawn up for an unregulated or buy to Let loan. But yet it’s probably the most powerful and the least known. 

For example, you’re in arrears by more than three days, or you are at the end of time or the certain rights if you haven’t fulfilled within the property (e.g., you may be insured it or you started to live in the property that’s regulated any of these types of things, etc.) which may lead to the breach in your contract and will give the LPA receivers the right to take the property back, to start collecting rentals, and to also sell at their will.

The second thing is that the lender themselves, when they realize that conditions in broken, they don’t necessarily give much time for anybody to realize what it actually means. If you are in arrears, they’ll send you a letter and they will appoint receivers with minimal notice and minimal time. So, they say initially, we’re going to appoint receivers, and within those five or six days off that first letter, then they’ll appoint receivers. One of the stealth tactics is that they will send that letter to the wrong address. 

Now they’ve gotten properties, and your normal residential address is where you receive your post. They may end up sending it to your Buy-to-Let property just to in fact, ideally take you off their mortgage book because it suits their profile, because they’re trying to reduce the amount of risk they’ve got on their debt ledger, and they’re trying to increase their amount of income or poor assets on their books. So that’s one thing that actually, I would say fairly commonly done change of address is typically known with one particular organization called up. They do that quite a lot. Within that there’s an organization called Mortgage Express that’s been commonly known to do it and then what happens is that once that person realizes that’s what’s happened, it’s too late, the property’s already been taken, and they’re already in auction or rentals, already been collected or locks have already been changed, and they don’t know what to do. Usually at this point is when we usually get called to try and rectify the problem. 

The second thing a lot of people aren’t aware of it is even worse in some ways is that the landlords got, let’s say, 20 properties. Five of them are with that same lender. They also have within these contracts; something called All Money’s Charge. So that means that if one property is sold and is a shortfall and they’ve got restrictions of all other four properties, and even if you’re trying to sell them to try and pay the short fall on the one that they’ve taken over. Technically, you’re not going to be able to do that because they’ve got restrictions over all of them and they’ve got control over the power of sale of the other as well. So, it’s a bit like dominoes.