Can I Stop My House From Being Foreclosed If I Missed Payments?
Can I Stop My House From Being Foreclosed If I Missed Payments?
Dec
02, 2025
Can I Stop My House From Being Foreclosed If I Missed Payments?
Missing mortgage payments feels overwhelming, but it does not mean you will lose your home. In British Columbia, there are several points in the process where you can take action to stop foreclosure or shift into a plan that protects more of your equity. The key is to know what options exist and act before the process advances too far.
This guide explains what steps you can take if you live in Surrey, Langley, Delta, White Rock, Abbotsford, or anywhere else in the Fraser Valley.
What Happens When You Miss Mortgage Payments?
Most lenders allow one late payment without major consequences. After two or more missed payments, they usually begin adding fees and sending notices. If arrears continue, the lender sends a demand letter. This is the warning that foreclosure may begin if the overdue amount is not paid.
Even at this point, there is still time to take control.
1. Contact Your Lender Immediately
Lenders respond better when you reach out early. Many have hardship or repayment options designed to help homeowners who missed payments but can still recover. These may include:
A short-term payment plan.
Temporary interest-only payments.
Extending the amortization to reduce monthly payments.
Adding arrears to the principal.
Lenders are more flexible when communication is strong and your plan is clear.
2. Review Your Equity Position
Your equity is the gap between your home’s value and what you owe. Most Fraser Valley homeowners still have significant equity even after missing payments. Knowing your equity guides your next steps:
Catch up the payments if possible.
Refinance with another lender.
Sell before the process becomes a court matter.
A realistic valuation gives you clarity. Online estimates are not enough.
3. Explore Refinancing Before Court Action Begins
If your financial situation has changed, refinancing may help. Mortgage brokers often have access to lenders who specialize in early-arrears files. These lenders may allow:
Paying out the current mortgage.
Consolidating other debts.
Resetting payment terms.
Refinancing becomes harder once the lender files a Petition for Foreclosure, so early action matters.
4. Consider a Voluntary Sale
If catching up or refinancing is not realistic, selling early is often the strongest financial decision. A normal listing allows:
Full market exposure.
Better pricing.
Greater control over timing.
A voluntary sale usually protects more equity than waiting until the court oversees the process.
5. Look Into Federal Insolvency Options
When debt outside the mortgage is part of the problem, a Licensed Insolvency Trustee may help. Tools include:
Consumer Proposal for reducing and consolidating unsecured debt.
Bankruptcy in more serious cases, depending on your assets and goals.
These tools do not automatically mean losing your home, but they must be handled carefully and with professional advice.
6. Do Not Ignore Court Documents
If the lender files a Petition for Foreclosure, you will receive a court package. Ignoring this does not stop anything. The court continues with or without your participation. Responding and seeking help early gives you better control.
Stopping Foreclosure Is Possible When You Act Early
Missed payments are not the end. Many homeowners recover through a mix of communication, refinancing, or a well-timed sale. The goal is to protect your financial stability and avoid a court-driven outcome that limits your choices.
How Mansour Real Estate Group Helps
We assist homeowners at every stage of this process. Our team provides:
A clear valuation of your home.
Guidance on timelines and lender expectations.
A strategic plan if selling is the best option.
Coordination with brokers, lawyers, and mortgage professionals.
With the right support, you can turn a difficult moment into a structured plan that protects both your equity and your future.
About Mansour Real Estate Group
The Mansour Real Estate Group, led by Mohamed Mansour, MBA and Associate Broker, is a top performing real estate team in the Fraser Valley. With more than 21 years of experience and over $750 million in completed sales, the group is trusted for divorce, estate, downsizing, and family related property transactions across Surrey, Langley, Delta, White Rock, and Abbotsford.
