There are probably few things that are more feared by property owners than the prospect of losing their house. Being a homeowner and having a home to provide for your family is a dream of many but one that can quickly turn into a nightmare when there is a chance of having it repossessed.  Having your home repossessed is not only a very stressful experience for the home owner and their family but can also affect their future financial stability.

When you sign your bond or bank mortgage agreement, the terms and conditions state that they can repossess your home if you fail to make your monthly bond payments. You may suddenly have difficulty making your monthly payments due to circumstances that are not your fault such as job loss, divorce, and death of a family member or similar situations. However, the bank has no way of knowing why you are not making your bond payments as promised. And if you are considering selling property to escape from trouble, the task may be more difficult than you think.

Banks will usually contact you by writing or telephone when your payment is one month past due. Do not make the mistake, as many do, of avoiding their phone calls. Be brave and honest and explain to the bank what the situation is so they know where you stand and what they can do to help. Do not make promises to pay a certain amount by a certain time period if you really don’t believe you can keep your promise. This will only make things worse for you with the bank. Don’t hesitate to ask them for assistance as it could help in stopping repossession of your home. There are many ways banks can help homeowners keep their home but they need to know you want and need their help.

Banks do not like repossessing homes, in spite of the reputation they may have for being harsh and penny-pinching. They do not want the expense and headache of having to repossess your home and sell it at public auction just to get their money back. This is expensive and time-consuming for all involved, not to mention what it will do to your credit history!

Repossession of your house can have your credit black-listed so you won’t be able to get any type of credit from anywhere between 5 and 10 years. This does not apply just to bonds for homes but credit cards as well. Even landlords do credit checks before they will rent property. So, don’t make the mistake of thinking that having your home repossessed will be the end of your financial worries. It will be the beginning of troubles you may have for years. There are a number of actions you can take to prevent repossession of your property which include contacting your bank, getting credit counselling and getting hold of repossession companies.

Repossession companies may not be able to help you with your bond payments but they can buy your house from the bank so it is not repossessed. They will also give you the option of renting your house from them or buying it when your financial situation gets better. Most people choose this as a last resort when there is nothing more that can be done to avoid repossession.

Property ownership is one of the greatest achievements a person can have. They often save for years to be able to buy or build their dream home. Their lifelong dreams of raising a family and growing old in their home can become a nightmare when unforeseen circumstances make it almost impossible to make the monthly payments required to keep their house.

Unforeseen circumstances such as redundancy, divorce or separation, and death are just a few of the many things that can change a person’s financial circumstances and cost them their home if they’re not careful. As terrible as many of these circumstances may be, they’re often not the fault of the real estate owner. However, every year thousands of homeowner’s in South Africa are victims of financial circumstances causing them to have their home repossessed. As well as this, it is not easy selling property in a depressed market.

Property owners who are at risk of losing their property should always contact the bank at the first sign of financial difficulty. Waiting too long often makes it too difficult to catch up on your own and makes the bank look negatively on you as a creditworthy customer. Banks, in spite of their reputation, are willing to help you and do not wish to repossess your home. No one wins when a bank repossesses a home.

The property owner has lost their property and all the money they’ve stuck into it so far and the bank has to spend a lot of money and time to go through the repossession process. So, contact your bank if you are having trouble making your bond payment. The bank may have many options available to help you get out of your financial dilemma and get you back on track. They’ll often extend the term of your bond so your payments will be smaller, lower your interest rate or even lower your entire balance.

Plenty of customers who are faced with repossession request a “holiday” period in which they aren’t required to make any monthly bond payments for 3 to 6 months. This period gives them a chance to catch up on their bond payments as well as other bills they have. If their financial problems came about as a result of a job loss, this is often enough time to find a new job. The banks are willing to help you if you contact them and they feel you are able to repay your bond in the future. This is the first thing you should actually do when attempting to stop repossession of your home.

Unfortunately, some people wait too long or their finances get so bad that they just can’t continue to make the payments. In cases like this, they often feel that repossession is their only option. That’s what they’ve been lead to believe: if they don’t make their payments, their home will be repossessed. But there are ways to prevent repossession.

Repossession companies, however, are available to help homeowners struggling to avoid repossession. They can help you by giving you free financial help and advice or buying your home from the bank so it doesn’t get repossessed. This is a great option for property owners who would otherwise lose their property to repossession. Their credit history is not totally destroyed from having a repossession black-listing them and keeping them from getting credit in the future.

Going through a home repossession is probably one of the most stressful and frightening experiences we can go through, especially when there are children that may also lose their home. The stress alone can cause mental, emotional and physical health problems.

Sometimes homeowners find themselves in a situation where it looks like they may lose their home in repossession. The reasons may not even be their fault. Situations like losing a job, poor health, divorce, medical bills, etc can all put a financial strain on your family. Unfortunately for many real estate owners, these problems can make it almost impossible to make their monthly bond payment.

When faced with these problems, some just give up, which is the biggest mistake they can make. If this happens to you or your family, don’t sit back feeling sorry for yourself and cussing out the bank because you owe them money that you can’t afford to pay. Take action now! If all else has failed and repossession looks like a certainty, contact a repossession specialist or repossession company! This is much safer than selling property by yourself with the chance of your home not selling.

Repossession companies have years of experience in taking care of homeowners who are at risk of having their home repossessed. They realize and understand that every situation is different and having the training, experience and knowledge to deal even with problematic cases and bond situations. They won’t keep you waiting on pins and needles, wondering if they will assist you. If you want a fast sale of your home, that’s what they will give you. This is one of the finest ways to prevent repossession of your property.

When repossession specialists say they’ll give you an instant sale, they mean instant. Within 48 hours of speaking to them, they’ll make you an offer, which means the sale process is already starting. They’ll also contact the bank that has your bond and will deal with them so you don’t have to. As you can see there are a number of routes you can take to prevent repossession of your house.

Each real estate sale and possible repossession may be part of a different situation and they can assist you with each type including buying your property and renting it back to you, helping you deal with all your financial difficulties, working with divorced or separated couples trying to stop repossession.

It is important to realize that repossession companies will not offer you the market value of your home but rather the trade value, which is usually around 70% of the market value. Most people are accepting of this offer because they are guaranteed a quick sale, which saves them the stress and hassle of going through having their home repossessed and their credit black-listed.

When the homeowner is once again ready to purchase a home, their credit is not black-listed so they can apply for another bond to purchase a new home or their original home from the repossession company. Yes, that’s another bonus of dealing with a repossession company. They’ll rent your house to you so you don’t have to move out and will re-sell it to you when you feel your finances have improved. For many unfortunate homeowners, repossession companies are their best option for stopping repossession.