The dangers of defaulting on your mortgage and how to avoid them.
Defaulting on your home loan can have serious consequences, including losing your home. Default occurs – when you fail to make payments on your mortgage for a certain period of time, usually around 90 days.
When this happens, your lender can take legal action to recover the amount you owe, including repossession of your property. It doesn’t always have to come to that take action as soon as you start struggling with your repayments.
Ignoring the problem will only make it worse and the longer that you wait the fewer options you’ll have actively work with your mortgage broker to plan your course of action.
Whether that is refinancing, applying for a repayment plan, or temporary reduction in repayments.