Mortgage repossession, in the UK, is the repossession of a dwelling or home by a mortgagee due to default on the part of the mortgagor. The procedure of Mortgage repossession usually entails an order of possession in the courts and then an eviction notice. Once the mortgagee has obtained the home then it can be sold for recuperation of any arrears.

• Mortgage repossession involves legal proceedings in which the mortgagee or the lien holder obtains a court order before exercising the mortgagor’s equitable right of redemption. A lender typically gets a security interest from a borrower who mortgages the asset such as a house as collateral. A security interest is nothing but a legal obligation on the part of the mortgagor that the debt will be paid in a timely manner.
• Mortgage repossession is a type of repossession in which the lender has the right to take back the collateral. The difference between a mortgage repossession and foreclosure is critical for the borrower, Foreclosure of a property or house means that any surplus that is obtained from the selling or auction of the property is not given to the borrower or mortgagor. This is the most important feature of a mortgage repossession that separates it from foreclosure.
• Mortgage repossession is more common in the UK and foreclosures are a rare happening. This means that the borrowers financial condition does not deteriorate further in case of a mortgage repossession and may even produce some capital that may be useful for the mortgagor in such troubled times.
• In the United Kingdom foreclosure is a little used cure which vests the property in the mortgagee with the mortgagor having no right to any excess from the sale. Since this remedy can be inconsiderate, courts nearly never permit it. As an alternative, they will typically grant an order for possession and an order for sale, which reduces some of the severity of the repossession by permitting the sale.

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