This content applies to Scotland only.

Housing laws vary between Scotland and England. Get advice relating to England

If you fall behind with your mortgage payments, your lender may repossess your home. If the lender has given you permission to take in a lodger or sublet your home, your tenant's position will be lawful and they will have certain rights, even if your home is repossessed and you no longer own the property.

Common law tenants

If you are a resident landlord, your tenant will have restricted rights. They will probably be able to remain in the property until your mortgage lender takes action to remove them. However, once the lender has got a court order to evict them, they will have to leave.

Assured and short assured tenants

Your tenant will have the right to stay on in the property as the tenant of your mortgage lender. However, if the lender serves the tenant with a valid notice to quit, they will have no choice but to leave.

What should I do?

If your property is going to be repossessed, it's only fair to let your tenant know as soon as possible, so that they can find somewhere else to live.

This is a complicated situation and both you and your tenant should seek advice if you find yourself in this position. Use the Advice Services Directory to find help near you.

The section on repossession has more information on what to do if your lender wants to repossess your home.