Rental predicament!!

adam500

Rental predicament

Ok my situation as follows. I'm currently renting a two bedroom apartment with my partner and our nine month old son. The apartment belongs to my uncle, with whom lives and works in London. Our rent is €857 a month, which is the mortgage repayment per month of the apartment. My uncle was kind enough to allow us to move in and just cover the price of the monthly mortgage repayment, as the property is in negative equity and which also owes communal maintenance and management fees and mortgage arrears. This is because my uncles previous tenants did not pay rent/mortgage for a number of months, so by the time my uncle became aware of this repayment deficit he either had an option to repay the mortgage arrears repayments or the over due contractual communal maintenance and management fees with what personal funds he had. The mortgage and communal fee was originally covered by the monthly payment of the rent from those previous tenants, but once they stopped paying there obligation to rent, the bank increased the mortgage to the current €857. Unfortunately it is not possible to retrieve the over due rent payments trough the legal route from the previous tenants as they have fled the country. He chose to pay the mortgage as best he could  for the sake of the apartment as well as his own home payments, until he could get cooperating tenants to move in, myself. The issue as of now is that there still remains outstanding mortgage fees from those previous tenants, which my uncle simply could not financially repay. It seems that my uncle is getting to the stage now were he feels that the best option would be to declare bankruptcy and allow the bank to repossess the apartment because of the massive outstanding fees as discussed above. The mortgage repayments were increased in August secondary to the mortgage arrears, for which since I have moved in am paying monthly as directed from my uncles mortgage bank. I think my uncle is stressing out with the constant letters from the bank and the local maintenance and communal managers responsible for the upkeep of the complex. So what I am asking is what is the best option for my uncle to take or were would myself and my partner stand if the banks took over the apartment. If the situation resulted in the apartment being taken over by the bank, would they allow me to remain in the apartment as a tenant and pay the rental fee etc

Thanks.

K.Flyer

If the banks take back the property, sooner or later you are going to be out of there as they will want to sell it.
Would increasing your monthly payments to try to off-set against the arrears be a possibility.