The thought of losing your home a matter of weeks is one most homeowners avoid. However, when faced with foreclosure, the thought becomes the new normal and sends homeowners running around for help. Due to the economic crisis, job loss, divorce, medical emergencies, or any other unforeseen circumstances, many homeowners cannot make payments to their lenders. Some homeowners can get out of financial difficulties within a few months. For others, it can take many months. Whichever category you belong to, you don’t have to give up your home. In Alberta, the foreclosure process starts when you stop making your monthly payments. Your lender will contact you after you missed 2 or 3 payments to discuss alternative solutions. Usually, the offers require you to pay up your loan, which is a no-option for struggling homeowners. So what can you do to stop foreclosure in Alberta? Contact your lender
You can consider so many options with your lender, although not all will be granted, you should be able to conclude. Consider the following:
You can discuss a new repayment plan with your lender provided you do not have enough money to pay off all the missed payments. Your loan balance with other incurred charges, such as late fee charges, will be reconstructed in the new repayment plan. Most lenders will consider this provided there is proof that you will make regular payment henceforth.
A loan modification lets you make changes to your loan agreement. With the help of a lawyer or mediator, you should be able to make significant changes that will make it easier for you to catch up with your mortgage payments. Such changes can be a reduction in the total loan amount, reduction in interest rate, etc.
Provided you can gather enough money to pay off all the missed payments plus other charges, your lender will help you reinstate your loan. The reason is that the foreclosure process is also stressful and costly for your lender, and they will do anything to avoid it also.