A debtor of mine already has a judgement mortgage on their property.

Discussion in 'Askaboutlaw' started by A99, Mar 13, 2012.

  1. A99

    A99 Frequent Poster

    I have just discovered a debtor of mine already has a judgement mortgage on their property.

    Does this eliminate me from attempting to secure a judgement mortgage on the same property ?

    Or if they had 2 judgement mortgages against them would they be required to sell the property to discharge all their debts ??

    Thanks in advance
  2. nuac

    nuac Frequent Poster

    You can still register your judgement mortgage.

    Either judgement mortgage can apply for an order for sale ( which is in effect another Circuit Court action ) assuming order for sale granted, first judgement gets paid first.

    If the property is a family home there are complications - see Mahon v Lawlor
  3. A99

    A99 Frequent Poster

    Thanks for your reply.

    What are the complications ??
  4. itsallwrong

    itsallwrong Frequent Poster

    What sort of money threshold starts the ball rolling for Order Of Sale?
    I would imagine tens of thousands gets sufficient momentum?
  5. Alwyn

    Alwyn Frequent Poster

    If the home is in negative equity there will be very little chance of a forced sale.

    How large a scale is the debt?
  6. Bronte

    Bronte Frequent Poster

    If there is no equity and in additon already a judgment mortgage then a 2nd judgement mortgage would probably be a costly waste of time. The owner of said propertly would in all likelyhood not pay anything to anyone so hoping on house price rises would also be pointless.
  7. 44brendan

    44brendan Frequent Poster

    Sale of any property on foot of a JM is technically feasible. However it is expensive and time consuming. Rarely a realistic option unless there is a large debt to be repaid and there is good equity in the property. Minimum of 2/3 years before an Order for Sale is obtained.
  8. 10amwalker

    10amwalker Frequent Poster

    Judgement on NPPR- apartment


    I am a director of an owners management company and the OMC is in the process of registering a second judgement mortgage on an apartment within our complex as no service charges have been paid since the apartment was purchased, approximately 10 years ago.

    Just to clarify- our company is obtaining its second however our second will be the third judgement registered on this property.

    The property has been rented out continuously for the last 10 years however we do not know if any rent is paid to the owner of the unit.

    The first judgement mortgage is only for a few thousand however our two are for about €30,000 in total.

    Can anyone explain the 12 year rule for judgement mortgages assuming the first judgement mortgage for the few thousand was registered in 2007, second one in 2008 and now one in 2012.

    What options are available to the Owners Management Company to collect this money ?

    Could the Personal Insolvency Bill impact on service charges that are owed on units in Multi Unit Developments ?
  9. Time

    Time Frequent Poster

    You need a well charging order to force the sale of the unit. Solicitor time.