User: Brian Ripley: CAD Real Estate: Picture

Picture

As in the Netherlands, almost all Canadian mortgages are “full recourse” loans, meaning that the borrower remains fully responsible for the mortgage even in the case of foreclosure. If a bank in Canada forecloses on a home with negative equity, it can file a deficiency judgment against the borrower, which allows it to attach the borrower’s other assets and even take legal action to garnish the borrower’s future wages. More at www.chpc.biz

Comments

tres cool™tres cool™
here in the US- some states are full recourse, some aren't. I was advising folks to find an apartment before they bailed and then mail their keys to the bank as the banks only recourse was to take there collateral back 1/20/14
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