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Mortgage lenders recall mortgage loans for a variety of reasons. For the homeowner, in any case, the reasons are irrelevant — what matters is that they face the loss of their home. When a mortgage is recalled, and if the homeowner cannot find alternate financing, the mortgage lender will attempt to use a “Power of Sale” to sell the home and recoup their money. Fortunately, it is possible for the homeowner to stop this and keep their house.
Power of Sale vs. Foreclosure
A Power of Sale in Brampton is very similar to what most people think of as a “foreclosure.” Like foreclosure, power of sale is a process whereby the lender sells off the underlying asset (in this case the house) in order to recover on their debt. But whereas foreclosure requires the lender to go through the legal system (which takes time and often significant legal expenses) the Power of Sale process uses a third trustee and requires no involvement from a judge.
How to Stop a Power of Sale
Putting a stop to a Power of Sale Brampton! Brampton power of sale works the same way it does everywhere else in Canada: the homeowner just needs someone to step in and pay the lender’s bill, so the lender will walk away satisfied and without going through the drawn-out process of selling the house.
For many homeowners, this seems like a challenge. Particularly if they have sub-prime credit, the current state of lending is such that mortgage professionals find it harder and harder to locate replacement sub-prime lenders for their clients. As a result, some homeowners simply give up and accept losing their houses.
This is not necessary. HOS Financial’s Refinance Program allows homeowners to pay off their current lender without putting their home on the market, while rebuilding their credit rating and keeping access to their home equity.
With the HOS Financial Refinance Program, real estate investors purchase the home from the homeowner who is facing a Power of Sale in Brampton. The homeowner and his or her family continues living in the home, and the original lender is satisfied. Then, HOS Financial works with the homeowner to fix the underlying cause of the Power or Sale originally. Once the process is finished, the homeowner buys back the title to their home. All the while the homeowner retains their home equity and does not need to move.
If You Face a Power of Sale, Start Here
In the event you receive a letter from your lender or your bank threatening you with a Power of Sale, do not delay. Contact that lender immediately. It may well be they are willing to look at options that allow you to keep your property (and allows them to recoup their initial fee). This is particularly true if you have been making your payments regularly but something rare has prevented you from doing so now — such as job loss, injury, or illness.
In other cases the lender is only interested in their money and are not willing to explore other payment plans. At this point you face a Power of Sale if you cannot pay off the lender. Your next stop should be your bank, asking for traditional financing. If this is not an option, and you still want to keep your home, look for a program like HOS Financial’s Refinance Program. This kind of program will connect you with a real estate investor who will be able to satisfy the lender and give you the necessary breathing room, as well as helping you settle your debts and repair your credit.
Orphaned Mortgages
The fact is that if you have a so-called “orphaned mortgage” there are not many options. If you obtained a mortgage from a sub-prime lender who has now exited the Canadian mortgage market, such as from companies like Citi Financial, GE Money, Wells Fargo, Accredited, and N-Brook, you may not be able to replace it. As a sub-prime client few, if any conventional lenders are willing to loan you money, yet the original lender wants their money back.
In this kind of situation the HOS Financial Refinance Program is ideal. It is available to homeowners regardless of their credit history or credit score; the primary criteria are secure income plus at least 10% equity in the home. HOS Financial will take care of the rest.
Therefore, if you are facing a Power of Sale in Brampton and traditional financing is not an option for you, contact HOS Financial today to ask about the Refinance Program.