Europe
When the owner of an apartment stops paying, the apartment is auctioned, with the owner inside, as in Spain. That is, the bank does not throw the owner out on the street. It will be the person who buys it who has the option of kicking it out, negotiating a rental or making the best possible decision. Usually, this is not achieved and the owners of the apartments usually try to sell them, find something to rent or try to find another home to live in.
Evictions are unusual in France, where real estate loans are usually granted), and not mortgage loans, so the property does not support the loan, but rather the borrower pays insurance to the State so that it takes charge of the bills in certain cases, such as loss of employment.
Furthermore, in the event of losing the ability to pay, the affected party can turn to the Bank of France, which will act as an intermediary between them and their creditors, proposing a staggered payment, a reduction in interest rates or suggesting the sale of the home within a year.
Until 2009, Greek legislation on evictions due to non-payment of mortgages was similar to Spanish legislation, without the possibility of dation in payment. However, the social democratic government of Yorgos Papandreou approved a moratorium, valid until 2013, that prevents banks from expelling tenants of a house for non-payment of the mortgage if it is their first residence and is less than 200 square meters.
In the Netherlands, after 4 months of non-payment, the bank contacts the person who signed the loan and, if there is a prospect that the owner's financial situation will improve, a 'payment transition' measure is usually agreed upon in which the rent is temporarily reduced. In extreme cases, the owner himself puts the house up for sale or, if not, it is the bank that auctions it, a method through which the debt is considered settled.
In Ireland, the majority of evictions from homes of mortgaged people with debt problems occur voluntarily, according to data from the Irish Central Bank (ICB). The bank and the mortgagee address this issue through the so-called Mortgage Debt Resolution Process (MARP), designed by the ICB, which often results in the restructuring of the debt or the surrender of the home to avoid a long judicial eviction process.
In Italy, the legal system regarding mortgages is similar to that of Spain, but a 2008 decree-law suspended evictions for families who had an income of 27,000 euros per year or less.
Dation in payment is also not contemplated in Portugal, where more than 150,000 families are in default on their mortgage loans. This year, the Portuguese Government announced measures to make it easier for owners in default to renegotiate their debt and inhabit the property by paying rent.
The process to evict a person from their home because they have not been able to pay their mortgage in the United Kingdom can be long and full of legal appeals from both parties, both the mortgage entity that granted the credit and the owner.
The credit institution is obliged to sell the home at the best price, but if the sale does not cover the funds it must raise, then it will pass the difference in the debt to the person who owes the mortgage. If the person cannot pay what they owe, they can always declare bankruptcy, as in Spain and other countries.
Australia
In Australian states, eviction is a judicial process, the laws being specific to them and having certain variations depending on the state. However, the eviction process is quite general. It is illegal to block a tenant from accessing the property or force them to leave the property without first having an eviction order from a judicial authority. The landlord must send a notice to the tenant, asking them to vacate the property by the end of the notice period, which must describe a valid basis for eviction. If the tenant does not leave the property, the landlord must obtain an order from the court or leasing officer authorizing the termination of the lease.
In most states, the law protects tenants if the landlord's intention is not in good faith and the reason for forcing the tenant to leave is because the tenant, enforcing his or her rights as a tenant, has sent a complaint to public authorities against the landlord. Tenants, at the end of the lease, can go to court to fight the case.
Australian laws also take into account the hardships that a tenant is likely to experience following an eviction, whether due to age, illness or inability to find alternative accommodation. In these cases, tenants can request that the eviction order be temporarily suspended for a few days.