Does the Mortgage Arrears Code apply to rental properties?

[Brendan Burgess]

From the Central Bank's [broken link removed]:

I am having difficulty keeping up the repayments on my rental property. Is my lender obliged to comply with the Mortgage Arrears Code in this case?

Provided your rental property is a residential property and is the only property you own, you will be afforded the protection of the Mortgage Arrears Code. Otherwise, the provisions of the Mortgage Arrears Code will not apply.

I was surprised to find this in the Code. It is aimed at people who have let their home and are renting another home.

I suppose if you had a home and a rental property and you sold the home, then you would get the protection of the Code on Mortgage Arrears.

 

[hastalavista]

From the consumer guide at cbi.ie, its above the Q and A
my emphasis
"Are you having trouble paying your mortgage? Do you think you may have trouble paying your mortgage in the near future? The Central Bank’s Code of Conduct on Mortgage Arrears (the Mortgage Arrears Code) sets out clearly how your mortgage lender will deal with you. This Code came into effect on 1 January 2011 and relates to the mortgage payments on your sole or main property. It replaces our previous Mortgage Arrears Code. It does not cover mortgages from credit unions.
A copy of the Mortgage Arrears Code is available to download at: http://www.centralbank.ie/regulation/processes/consumer-protection-code/Pages/codes-of-conduct.aspx ...."

HTH

 

[Brendan Burgess]

It's very interesting.

if someone lets out their home, it is reasonable for the MAC to apply to them.

However, if someone with a rental property, then sells their home, it should not apply. But apparently it does.

brendan