If you feel that missing a single or multiple mortgage payments or not carrying the required home insurance coverage would make you lose your house, then don’t you worry, because real estate investment companies buying houses for cash are still there to save your home from the preclude.
As everyone must be familiar with, foreclosures can be a terrifying experience; however, if you deal with it smartly and with the right people, it can be taken care of quite easily and comfortably.
Look for Professional Help
The last thing any person would want is to lose their roof from over their head. Thus, no matter what, you must find all possible ways to prevent or mitigate and look for professional help regarding preventing foreclosure before it is too late.
Get the Absolute Facts
There are plenty of people misguiding and giving wrong information to those going through the foreclosure process. There is a lot of scare tactics, intimidation, which can be very scary. Selling houses privately to professional investment companies with a proven record would be the right place to start.
Talk to a few locally known real estate investors. These cash home buyers will provide you honest and absolute facts that will certainly help you come up with bypassing the foreclosure process.
For example, in Alberta, Canada, the home foreclosure process is called a Judicial Sale, and to those of you who don’t know about foreclosure completely, we are here to help you with that as well:
- The bank or the lending company will file a financial case to sue you for the full amount owing on your mortgage because you have failed to pay your agreed upon mortgage payments.
- A claim would be filed against your name by the law firm, which would make an application to the court to repossess your home. There will be a time given to you by the court, which is generally one to six months depending on the equity and occupancy time of your home. You will have to come up with the entire sum of payment including the back-dated mortgage payments, interest and penalties.
- Once the redemption period passes, and you are not able to repay the amount, the lawyer of the bank would again move to the court and would request the court to transfer the house in the bank’s name. You will be evicted, and the bank would sell your home and keep the proceeds from the sale to pay off the mortgage.
To prevent this foreclosure, you can always call a team of professionals who’ll help you with everything from foreclosure prevention to loan modifications and other alternatives.
Various home buyers are available in your area to help you if you are looking for a quick no-hassle sale.
There are plenty of options to stop foreclosure if you face one, as everyone would agree that losing your own house might be the worst feeling anyone would have ever.
If you ever feel that foreclosure might be the next and last step for your house, just don’t feel that sad and cheer up as there are some options through which one can stop this foreclosure quickly.
- Negotiation with your Lender
If there is a situation where you are not able to pay the mortgage payments on time or are lagging in that, and you do feel that your lender/ bank would try to foreclose your house, then you can try to negotiate with the lender/ bank by coming up with a new payment plan.
Many people would feel that it is impossible to negotiate with the lender/ bank; but, many lenders are more than willing to negotiate rather than foreclose on their clients. By preventing foreclosure or delaying it, they will keep their contract and get ongoing mortgage payments. It’s a win-win. You get to keep your property, and the bank would continue getting their mortgage payments.
There are 2 ways in which you can do the negotiating part:
- Repayment: This is the more comfortable and more straightforward way of negotiating with the lender as in this, the lender might ask you to pay a little bit extra for the next few mortgage payments every month, so the skipped payments are equally divided over the length of the allocated time to recover the lost payments as well as interest on those payments.
For Example– If you had to pay $2000 per month and failed to give the last two payments, the lender can ask you to give $2210 per month for the next 20 months. But it all depends upon the lender and your financial status.
- Modification: This is another popular way of negotiating with the lender or the bank in which the homeowner might have a change in the lifestyle for which he/she can ask the lender to pay a lesser amount of money for the mortgage amount but for a longer total mortgage period/duration of time thus making everyone satisfied.
For Example– If you had taken a 25-year mortgage, then you can refinance it for 30 or 35 years instead and lower your monthly payments.
- Reinstate your Loan
This process requires paying the full amount, summing all the fees that the lender had to incur due to the homeowner’s negligence.
- Forbearance Plan
Forbearance of loan would make the lender/ bank suspend all the mortgage payments for a certain amount of time, generally three to six months or even a year.
Once this duration of time is over, then the homeowner is expected to pay everything he owes to the lender, which might include full payments and any deficiency as well.
- Sell your House
If no other way works well, then this might be the last option available for you, which would be to sell your house to stop foreclosure.
This might not help in keeping your house, but it would certainly help you in keeping your credit score in good condition, which would not stop you from getting a loan again in your life.
Investment in Happiness!
Problems are part and parcel of our lives; however, we need to focus on the solution, not the issues. If you are a homeowner in Calgary, Alberta, Canada, and are on the verge of losing your property to your lender, then give a call to MAXX, Calgary home buyers. They don’t just deal with the property business but also invest in people’s happiness. So, if you’re in such distress, contact them, and they will find a way to help you save your house from foreclosure.