Mortgage Debt is eating me alive

What happens when the bank takes your home?

We really wish that when you are reading this article, it is for information purposes ONLY. Otherwise, you are in big trouble.

Banks do not really want to take your home, it is a massive expense for them to do so. By the time the bank is ready to take your home, they have spent thousands of dollars on legal fees.

There are stages before the bank will ask you to move out before a mortgagee sale.

Banks will generally send you warning letters and try to work something out with you. At this point, go and talk to the bank.

If you dig your head in the sand and ignore all letters, the bank will take further action. Eg. Bring in the top guns and send you official legal letters. If you still ignore them and not pay your arrears + interest within a certain time, this is it, you are gone, pack you bags and get ready for a mortgagee sale.

Once your house is sold via an auction and the sold price is less than the mortgage, you still owe money to the bank, and you are technically bankrupt unless you can pay the difference. Otherwise, the bank will put a line on your credit files saying you are bankrupt and this line will stay there for the next 7 years. During bankruptcy, you cannot borrow any money, no credit card and any income you receive may potentially be intercepted to pay the bank.

Therefore, as soon as you are not able to pay the mortgage and you cannot see yourself getting out of trouble, sell the house fast and start again.

We Buy Houses Directly from people just like you at a fair market price. What we have found is your debt is so high it is almost the price of your home. We normally pay you couple thousand dollars more for your home in cash to assist you to move.

We charge no commission and you can just walk away and start again.

At least you are not bankrupt and you can still apply for a credit card. Once your finance situation goes back to normal, you can go and borrow money again to buy your new home. This may take you 2 years to recover but it is much shorter than 7 years bankruptcy.

Give us a call and we can settle within days to minimize any more arrears you need to pay to the bank.