Arrears and repossession
Mortgage arrears and repossession worries
Understand what happens next and what options remain open.
The short answer
In Scotland a lender must follow pre-action requirements before applying to court for repossession, including giving information and considering reasonable proposals. Selling the property yourself is often still possible, and usually achieves more than a court-ordered sale. Free housing and debt advice is available, and legal advice should be taken as soon as court action is mentioned.
What this means
Repossession in Scotland is a court process, not something a lender can simply carry out. Pre-action requirements mean the lender has to provide information, consider proposals and make reasonable efforts to agree a way forward first.
Selling voluntarily, while you still control the timing, normally produces a better price than a sale after the lender takes possession. That is the main reason arrears cases benefit from early decisions.
Nobody should be pushed into a sale by a website. If you are in arrears, take free advice first — the answer is sometimes that the property can be kept.
Your possible options
These are possibilities to consider, not recommendations. Which of them fits depends on your own circumstances.
Agree a repayment arrangement with the lender
Arrears can sometimes be capitalised or repaid over time alongside normal payments.
Specialist advice: Your lender, and ideally a debt adviser alongside you.
Get free housing and debt advice
Advice services in Scotland deal with arrears cases daily and can negotiate on your behalf.
Specialist advice: Independent debt adviser or local authority housing team.
Take legal advice if court action has started
Court action can sometimes be paused or defended, and there are statutory protections.
Specialist advice: Scottish solicitor — this is legal advice, not information.
Sell on the open market before matters progress
A normal sale keeps price and timing under your control, provided there is time to market it.
Consider a faster sale where time is short
A faster route trades price for certainty. Compare the net figure against an open-market sale before agreeing anything.
What should I do first?
- Contact the lender and ask for the arrears figure in writing.
- Get free advice from a debt or housing adviser immediately.
- Take legal advice if a court action has been raised.
- Establish the redemption figure and any other secured lending.
- Find out what the property would realistically sell for.
- Work out whether a sale would clear what is owed.
- Compare keeping, arrangement and sale with your adviser.
- Only then decide whether to market the property.
You may need specialist advice
Lothian Property publishes property information. It is not a law firm, lender, financial adviser or estate agent, and the professionals below are independent of us.
- Independent debt adviser
- Free, impartial help is available from services such as Citizens Advice Scotland and the Money Advice Service.
- Scottish solicitor
- Scots property law differs from England and Wales. A solicitor regulated by the Law Society of Scotland can advise on your specific position.
- Your lender
- Lenders can only discuss your account, redemption figure or forbearance options with you directly.
- Estate agent or selling solicitor
- Marketing and selling the property is carried out by the agent or solicitor you appoint, not by Lothian Property.
What to do next
Understand your property position first
Tell us about the property and what has changed. We will set out what the information says, with no obligation to sell and no pressure to decide anything today.
Common questions
- Can I sell my house before repossession in Scotland?
- Often yes, particularly early on. Lenders will usually consider a genuine proposal to sell. Once a court action is under way, take legal advice before relying on a sale.
- How many missed payments before repossession?
- There is no fixed number. The lender must follow the pre-action requirements and apply to court, and the court considers whether it is reasonable to grant the order.
- Does Lothian Property buy properties in arrears?
- No. We are not a buyer and not an estate agent. We publish information and, with your permission, can introduce you to appropriate professionals.
Sources
- Citizens Advice Scotland — charity
- Scottish Government — home owners' support — government
- Law Society of Scotland — find a solicitor — professional body
Related situations and guides
About Lothian Property
An independent starting point, not an estate agency
Lothian Property is an independent property information and introduction service. We are not an estate agency. We help homeowners understand their property, their options and their local market, and — where appropriate and only with your permission — introduce them to independent estate agents and other property professionals who can assist.
How Lothian Property worksPrepared by Lothian Property. Information last reviewed 2026-08-18; next review due 2027-02-18. General property information for Scotland, not legal, tax or financial advice. Editorial policy.