Foreclosure Loans Vancouver BC
Getting Foreclosure Help
Foreclosure may sound scary, but with expert guidance, it’s possible to navigate the process and get on with your life. Here’s what you should know about how it works, how it might change your life and why so many Canadians depend on Alexa Capital Corp. for foreclosure help.
Foreclosure is a process in the lending cycle where lenders try to recover the mortgage balance outstanding. It typically occurs when you fall behind on payments, you do not pay your property taxes and property insurance, or they do not renew your mortgage and want to be paid back in full.
Once you’ve been overdue for a certain amount of time, your lender might try to sell your home that you obtained a mortgage to buy. This process is also referred to as a lender “foreclosing” on you or you “going into foreclosure.”
The BC Supreme Court is in control of the foreclosure process. Each step of the foreclosure must be approved by the Supreme Court. This includes when you need to start selling your property and for how much, as well as the terms of the sale and any commission to be paid.
Here are the main steps of the foreclosure process:
- In the beginning, you will simply get a letter or a phone call from your bank if you have missed your mortgage payment. You are given a chance to get caught up.
- If, after two to three months, you have not got your mortgage caught up, you will then receive another letter from your bank asking you to pay the arrears in full by a certain date and if it is not paid by that day, they will be hiring a lawyer to start foreclosure proceedings.
- If you have not responded to your bank’s final letter and their deadline has passed, they will have sent your file to a lawyer to start foreclosure. Your next correspondence will be a demand letter from the lawyer asking you either to pay your mortgage in full or just the arrears. Again, you will be given another deadline to pay.
- The deadline of the demand letter has passed. Foreclosure has now begun. The lawyer will next file a document named “foreclosure petition” in which, you will be served with a copy within a few days after it has been filed in the court. The petition will also be sent to all those that hold an interest in the property, other mortgage holders, tenants in the property, other lien holders etc. It is important to read and follow the petition’s instructions on how to file a response to the petition.
- The first court hearing will occur about a month later. An “Order Nisi” will be given to the lender. The judge could make a final order of foreclosure ruling, but in most cases, a “redemption period” will be awarded to the borrower, usually six months, to give them a chance to pay the mortgage in full including all costs and interest.
- Once that six month time period is up and nothing has been done on the borrower’s end, the lender has a couple of options: Either have the property sold, listed and approved by the court or seek an “Absolute Order of Foreclosure.”
- If the lender decides to sell the property but the purchase price does not cover the debt in full, they can then file for a judgment against the borrower.
- An “Absolute Order of Foreclosure” can be granted by the court if the borrower has no assets they can cash in to pay down their mortgage and the value of the property equals or exceeds their mortgage debt. If the lender has gone about getting an Absolute Order of Foreclosure the borrower no longer owns the property, is removed from title and the lender is placed on title as the new owner. Once this taken place, no further action can be taken against the borrower.
As you can see the borrower has several opportunities to respond, to pay or to sell their property. The longer you let it go, the more costs and interest accrue. You will want to fix and stop the foreclosure process as quickly as you can.
So, you’ve found yourself in financial trouble and you’re worried about making that next mortgage payment. What should you do? No financial strategy is perfect, and everyone’s situation is different. These ideas may be useful if you’re not quite teetering on the edge yet:
- Manage your money wisely so that you have a savings buffer in case you lose your job.
- Let your lender know what’s going on when you’re having trouble with payments or expecting rough financial waters in the future.
- If you can’t make a whole payment, offer to make partial payments or arrange other repayment deals with your lenders.
- Respond to your lender’s communications to stop them from assuming that your silence means you’re unwilling or unable to work something out. Never disappear or try to ignore the problem.
Navigating Foreclosure Responsibly
So what should you do if your lender forecloses on you and you have no way of paying that debt off? Contact the professionals at Alexa Capital Corp. today to retain control of your live.
We work to help you obtain lending to pay off your foreclosure debt and get your head back above water. We can also negotiate with your bank about potentially reinstating your foreclosed mortgage by letting them know that we’ll be bringing it up to date. Most of the time your lender should be willing to reinstate, but if it happens that they won’t, not to worry; we may still be able to help.
Foreclosure Doesn’t Have to Be the End of the Line
We can offer Foreclosure Solutions custom suited to your needs
Contact an Alexa Capital Corp. specialist to learn more or seek personalized foreclosure help from the experts.