The most important asset many individuals have is their home. The thought of losing it over some missed payments can be very scary. The foreclosure process in Calgary is very stressful and time consuming for both homeowners and lenders. Calgary’s foreclosure process is judicial, which means your lender has to go through the court to foreclosure your home. For this reason, foreclosure is more expensive, and many lenders try to avoid it. The journey to foreclosure starts when you stop making payment on your mortgage loan. Your lender will contact you through email or call you to discuss alternative solutions to prevent foreclosure. However, many homeowners ignore all these notices and do nothing until their lender initiates the foreclosure process. If you still wish to keep your home, you must not wait till it’s too late before running around for quick solutions. Here are some ways to stop the foreclosure process in Calgary:

Loss mitigation

Loss mitigation is a process of negotiating middle ground between lenders and borrowers in order to help the borrower get back on track with their mortgage payments. Various loss mitigation alternatives are available for you to consider to stop foreclosure. However, your lender might not accept all due to one reason or another. Contact your lender to find out which of those options they are willing to negotiate with you. Loss mitigation alternatives include loan modification, short sale, refinancing, repayment, loan forbearance, etc. Depending on your financial situation, you should consider the options carefully before opting in for any.

File for bankruptcy

When none of the options seems beneficial to you, and the foreclosure sale date is near, filing for bankruptcy becomes your only way out. Bankruptcy will help you stop foreclosure immediately and grant you some period of relief. The period could be used to reconstruct a new repayment plan if you wish to keep your home, and depending on the chapter of bankruptcy you filed. Filing for bankruptcy will help you get your finances back under control, irrespective of the chapter you filed. Although it can do a little damage to your credit score, it is still better than having your home foreclosed.

Contact your lawyer and discuss in detail about your available options and determine which is best for you. Take action as soon as a decision is made and save your home.