No sale of property just to recover interest & balances- Ryan L. Best
Best was speaking during a one-day Home Builder/Buyer seminar held on Saturday April 9, 2016 at the banks main branch in Road Town.
In response to a member of the public who wanted to know how he would be informed when these deals are available, Best said that the bank “has a heart” and would not simply sell a property to recover just the monies owed. He said that they always endeavour to obtain market value or a value close to it.
“You are asking if we would sell a house for the interest and the outstanding balance?” asked Best of the member of the public as he sought to get the question clear.
“Our aim is not to just put anyone out of a house in order to settle our debt and I don’t think that legally we could do that...we have to put it out to bid and the highest bidder or the person who can come closest to what the market value is and that is why we go out to auctions so often,” he said.
He said that a person might have paid off $300,000 for a house when it is worth $600,000, “We will not necessarily go out and sell that customer's house for $300,000. Of course the courts are involved and there is a whole process that will prevent us from selling just to settle our debt.”
Bank protects homeowners
Best said the bank protects the homeowner from persons such as the member of the public in the audience whom he believed was speculating to get a rock bottom price for a property.
Best also re-emphasised the importance of keeping up to date with the collection of rent for the payment of the mortgage.
“I just wanted to reiterate the point about rental income. A lot of us here have tenants or hope to have tenants in our houses to assist in paying the mortgage. One of the things we ask customers to do is deposit rental income. It is very important for record keeping. It also allows the financial institution to know if your tenants are paying on time,” he said.
He noted that this practice will save the homeowner a lot of headaches if and when the time comes for them to refinance.
The workshop walked persons through the process of preparing for home ownership, the mortgage pre-approval worksheet that sets the budget for a home. It also looked at mortgage calculators and mortgage qualifying criteria.
According to Home Finance Specialist Olanzo A. Boynes, every customer who decides to build or purchase a home must be pre-qualified to ensure that they are prepared for the obligation that they are going to assume. He pointed out that while salaried persons may find it easier to qualify, persons who are self employed can come in provided that they have two years of records that have been validated by a certified public accountant.
The bank's Managing Director Sarah L. Hobbs said the seminar is something that the staff organises annually. “It is our way of trying to educate and advise clients or potential clients on the home construction process and its really important as it is really one of the biggest decisions that they will make in their lives as an investment so it is important that we help them,” she said, speaking with this news site.
Hobbs said the bank has partnered with architects, lawyers, insurance companies, all whom are part of the home building or home purchasing process. She said the bank in this way gives back to the community. We are really trying to help them achieve their goals and dreams and a key part of that is owning their own home,” she said.
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15 Responses to “No sale of property just to recover interest & balances- Ryan L. Best”
The appraisals are way too high and so are the reserve prices. Meanwhile the defaulting owners interest is mounting up hugely! Talk what they want the buyers are not stupid and are not going to pay the auction reserve prices. And this is just the beginning of the BVI Forecloure Scandal. Wait for it!
they just want the info so they can tap into the trust funds...naughty naughty.
why is it that you have to take more money to get the rates change? I find that is rubbish again its all about the bank not its customers. banking is a risk and they still dont want to loose anything. it seems like only the people of this little nation know what is risk. you give them the property for cash even when you finish paying for the cash the bank dont release your property unless you ask, they not doing their home work properly and you know what you the property owner still have to pay for the release. people be careful do your home work properly when you finish paying them they should give you your deed back with out paying excess money to have it returned to you. Scotia have some good staff but management need to do better. you need to take more risk you too tight with poor people sorry to say it is them that build your bank. you find it easy to give cars but hard for a shelter, can you live in a car with your family? tell us how. you to tight loosen up find better ways to help our people. thanks to those who help our people in the past many can still lie down under a roof you took the risk and many have not failed you some may have slip but you took the risk.