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Difference between revisions of "Mortgages and Foreclosure"
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Mortgages and Foreclosure (view source)
Revision as of 22:33, 16 September 2018
, 22:33, 16 September 2018no edit summary
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==== Default in the mortgage==== | ==== Default in the mortgage==== | ||
The most common way for a borrower to '''default''' in a mortgage is by failing to make the required periodic payments. However, most mortgages give lenders many other rights to declare the mortgage in default, including a failure to pay the property taxes, abandonment of the property, bankruptcy by the borrower, and adding further mortgages to the land without the permission of the existing mortgage lender. | The most common way for a borrower to '''default''' in a mortgage is by failing to make the required periodic payments. However, most mortgages give lenders many other rights to declare the mortgage in default, including a failure to pay the property taxes, abandonment of the property, [[Assignments in Bankruptcy|bankruptcy]] by the borrower, and adding further mortgages to the land without the permission of the existing mortgage lender. | ||
An important right of the creditor, triggered upon default, is the contractual right to '''accelerate''' the agreement, which allows the creditor to claim the full balance owing, not merely the arrears. | An important right of the creditor, triggered upon default, is the contractual right to '''accelerate''' the agreement, which allows the creditor to claim the full balance owing, not merely the arrears. | ||