Losing your home to a mortgagee sale is a heart-wrenching experience for any family. And while sometimes the sale of a home is inevitable, more often than not, the situation could have been saved if acted on sooner.
Mortgagee Sale – The difference between a good and bad outcome is a matter of time
Avoidance and procrastination in the face of a scary situation is a very human reaction, but when it comes to your mortgage, it’s a fatal response. The earlier you face the problem, the better your outcome will be.
Contact us immediately if you’re struggling financially. We specialise in mortgage solutions to avert mortgagee sales and will provide expert advice and support, including refinancing your mortgage where necessary. We’ll provide you with a short-term plan to avoid a mortgagee sale and an exit plan to get you back to favourable lending terms.
As well as getting advice from a mortgage adviser with expertise in managing mortgages in trouble, we recommend getting budget support. Even if your circumstances aren’t due to financial management, getting budget advice shows lenders that you are proactive and doing everything you can to get your finances back on an even keel. Check out the resource links below, as well as the Sorted website, for practical advice and tools.
- www.familyservices.govt.nz/directory
- Your local Citizens Advice Bureau (0800 367 222)
- The Financial Capability Trust (0508 283 438)
Think it’s too late? There is hope
Recently, a young family found themselves in a bind. Due to understandable circumstances, their mortgage had gone unpaid for six months. As a result, they received a PLA (Property Law Act 2007) Notice indicating default on their lending against their owner-occupied property. Payment by the stated date was going to be impossible, and a mortgagee sale seemed likely.
The family sought budgeting advice, taking steps to regain control of their finances. But to save their home, they needed a lender to take out the mortgage default and consolidate the other debt that had led to them defaulting on their mortgage.
To get a good outcome, Platinum Mortgages pulled together a team of experts, including an exceptional solicitor, and ultimately we were able to find a lender prepared to work with the family to save their home. The loan offer provided for 12 months with interest-only terms and the condition that they had to continue with the budgeting service and provide monthly reporting to the lender. The credit defaults were cleared, and solicitor costs were paid as part of the refinance.
Once the clients can show a clean payment record for 12 months and improved bank statements, we will be able to move the loan to a long-term lender with lower interest rates and better terms.
While the journey and outcome would have been better if the family had taken proactive action before they missed a payment or multiple payments, their willingness to make changes and ask for help ultimately rescued them from a mortgagee sale.
Act now to save your home
So, whether you feel like you’re about to get into financial trouble or you’ve had your head in the sand for a while, and things are looking dire, get in touch with us. We’re not afraid of a challenge. We have the expertise and the contacts to find a solution wherever possible and get you on the path to a more secure financial future. We won’t judge your circumstances or past choices; we’ll focus on a solution to improve your future.