What Government Programs Help With Foreclosure in BC?
What Government Programs Help With Foreclosure in BC?
Nov
28, 2025
What Government Programs Help With Foreclosure in BC?
Foreclosure moves faster than most people expect. Payments fall behind, letters start arriving, and the situation feels out of control. In British Columbia, there are several programs and processes that can slow things down or support a more controlled plan. When used early, these tools help protect your equity and give you time to make clear decisions.
If you own a home in Surrey, Langley, Delta, White Rock, Abbotsford, or anywhere in the Fraser Valley, here are the main supports available and how they can be part of a plan to sell, refinance, or stabilize your situation.
Understanding How Foreclosure Works in BC
Foreclosure in BC involves the BC Supreme Court. It begins when a lender files a petition after missed payments. Even after filing, homeowners still have options. The process has several steps, and action taken early can give you more time and more control.
1. BC Home Owner Grant
The BC Home Owner Grant reduces your annual property tax bill if the home is your principal residence. Property taxes often become part of the pressure during financial hardship. Reducing those taxes frees up cash that can help you stay current on payments or prepare for a structured exit.
Key points:
You must apply every year.
Higher grants exist for seniors and people with disabilities.
Applies only to your principal residence.
This program does not stop foreclosure, but it can help stabilize your cash flow during a difficult period.
2. BC Property Tax Deferment
The Province of BC allows eligible homeowners to postpone property tax payments. This reduces immediate financial pressure and may prevent your lender from accelerating foreclosure due to unpaid taxes.
Available programs:
Regular Program for homeowners 55 or older, surviving spouses, or people with disabilities.
Families with Children Program.
Other special circumstances based on provincial rules.
This tool is most effective when combined with a refinance plan or a controlled listing strategy.
3. Lender Mortgage Relief Options
Many BC lenders have internal hardship guidelines. These options vary, but lenders often prefer cooperation over a court process when homeowners show clear intent and communication.
Possible relief options:
Temporary interest only payments.
Short term payment deferrals.
Extending amortization to reduce monthly payments.
Rolling arrears into the mortgage balance.
Early contact is key. A lender is more flexible when you present a plan supported by professionals who understand BC real estate and foreclosure timelines.
4. CMHC and Insurer Support
If your mortgage is insured through CMHC or another insurer, additional options may be available. These programs are designed to reduce defaults and encourage repayment.
Common options:
Capitalizing missed payments into the principal.
Re amortizing the loan.
Structured repayment arrangements.
Your mortgage broker can confirm whether your mortgage is insured and which options apply.
5. Consumer Proposals and Bankruptcy
When unsecured debt adds pressure, federal insolvency tools can help stabilize your finances. These are handled by Licensed Insolvency Trustees.
Tools include:
Consumer Proposal. Consolidates unsecured debt into a single monthly payment.
Bankruptcy. Stops certain legal actions but requires careful planning if you own property.
These programs do not automatically trigger the sale of your home, but they can reduce pressure and help you keep payments current long enough to refinance or sell on your terms.
6. BC Housing Support in Transition
If selling is the best option, BC Housing offers programs that may support you during the move. Most programs are designed for renters, but they can ease the transition after your home sells and you rebuild your financial footing.
7. Court Extensions During Foreclosure
The BC Supreme Court can grant extra time during a foreclosure action when the homeowner shows active progress. Courts often allow additional time when:
The home is listed at a realistic price.
A refinance is underway.
The owner is cooperating with the lender.
Extra time may give you the window needed to complete a sale that protects your remaining equity.
How Mansour Real Estate Group Helps
Most homeowners still have equity, even when facing foreclosure. The goal is to protect that equity and prevent a forced sale that leaves money behind. We guide you through pricing, timing, lender communication, and negotiation. We help you build a clean, controlled plan that lets you move forward with dignity and clarity.
A well managed sale often protects more equity than most people expect. The earlier we begin, the more options remain on the table.
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.
