Tips on How to Avoid Foreclosure

How to avoid foreclosure on your North Vancouver home

A foreclosure is every homeowner’s nightmare. But what does foreclosure really mean? How does it happen? And more importantly, how can you avoid it? Keep reading to find out more.

What is foreclosure?

Foreclosure is a process that the lender can take to legally repossess your home when you fail to make your mortgage payments. This happens after you have repeatedly defaulted and ignored demands for arrears.

What happens during a foreclosure?

If you have bad credit, you may feel like you’ll never be able to own that home in North Vancouver that you’ve always dreamed of. But this isn’t necessarily true. There are a number of options we can discuss with you to get you on the path towards homeownership:

  • Reminder letter—The first letter you will receive is a simple reminder to pay.
  • Demand letter—If you ignore the reminder letter, you’ll receive a demand letter indicating the amount you owe and the date by which you have to pay if you want to remain in good standing.
  • Petition—If you do not pay by the date set out in the demand letter, the lender will file a petition with the courts to start the foreclosure process. A copy of the petition will be sent to you.

Once foreclosure proceedings begin you can either go to court and plead your case or work with one of our mortgage brokers in North Vancouver to redeem your mortgage. The foreclosure mortgage brokers at Rala Investments have helped countless homeowners keep their homes and get back into good standing with their lenders.

How can I avoid foreclosure?

Work with one of our North Vancouver mortgage brokers to find a solution that will help you hold onto your house and in the meantime:

  • Talk to your lender—Let them know what is going on. With the help of one of the foreclosure mortgage brokers from Rala Investments, you may be able to work out a short-term solution until your finances are back on track.
  • Cut back—Cut back on expenses as much as possible to free up extra cash.
  • Liquidate—Sell your assets and save your house. Even if you can’t cover all of your arrears, the effort will go a long way with your lender.
  • Get a second job—Spending less and working more will get you back on stable ground a lot sooner.
  • Refinance—Speak to one of our foreclosures mortgage brokers in North Vancouver about refinancing. You may be able to re-amortize the loan or even consolidate other debts into your mortgage to help make monthly payments more manageable.

Facing a foreclosure can be stressful. But there is hope. The foreclosure mortgage brokers at Rala Investment’s North Vancouver office understand what you are going through. Contact us today to keep your dream alive.