The right of redemption is a legal process that gives homeowners who have fallen behind on their mortgage payments the opportunity to keep their home by paying the money they owe, plus interest and fees.
Mortgage lenders use the home you buy as collateral or security for your loan. If you fail to make payments, your lender can foreclose and sell your home to recoup the money it lent you.
The lender has to give you a chance to make good, however — your “right of redemption” — for a certain period. This time frame is called the “redemption period. “ If, during a set redemption period, you can pay your mortgage balance, plus certain fees, in full to the lender, you can reclaim your home.
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