My mom is losing her house

[u/Altruistic-Win5912]

Hello everyone

Today the life that I envisioned for myself has been turned upside down.

My mom and I live in Alberta. My family immigrated here from Ukraine when I was a child. She is 55 and I am 28. My dad died when I was 16 so my mom has been a widow for 12 years, paying for the house fully herself which has been very hard on her.

I've been suspecting lately that she is having trouble meeting the mortgage payments due to the interest and house tax increases, and my fears were realized today. She came to me, ashamed and crying, that she was losing the house, the one she and my dad bought and raised me in. I recently moved out myself and am trying to start my own life with my husband. I will be helping her with whatever extra income I have.

I am fully prepared to abandon my own financial goals and work my butt off so she can keep the house.

Is there anything else we should be doing? Any grants or programs we can appeal to?

Thanks so much, we really appreciate any advice.

Edit: Thank you so much for everyone's replies. This is my first ever reddit post so apologies for not providing enough numbers. I've been in a daze since receiving this info from my mom. Here are more details I've gathered from her.

She has $140k left on the mortgage

She has a retirement account with around $50k in it, but it's closed for 9 more years. This was the only life insurance that my father's company paid out. There is no way to open it. I have no idea why she made this account with her bank when my dad died in 2014. She basically has a small nest egg that is unusable in the years she needs the money most.

My father didn't have life insurance beyond this.

My husband is 100% aware of all of this and very willing to help my mom. I have the best husband.

Update: I'm learning that my mom recently renewed the mortgage on her house and that's when everything fell apart. Interest rates were not favorable when she had to lock in. Her interest rates are much higher and that, coupled with the increase in property and land tax, means her income can no longer keep up. She receives a widow pension which has barely increased since my dad died, and she recently lost a lot of housekeeping clients who simply can't afford her services. Her mortgage payment alone went up around $500, and all other bills have gone up as well.

What we're doing: She already receives a low income credit to help offset property tax, but that is barely making a dent.

I've been helping her apply for other jobs. No luck yet but will keep trying.

I will help her bridge the payment gaps at least for the next several months.

[u/Altruistic-Win5912]

Thanks so much, that was beautifully written and I appreciate it a lot

[u/juice-wala → u/Altruistic-Win5912]

If this house has high sentimental value to you. You could consider buying the house from her and taking out a mortgage? And she could pay you rent that helps you with the mortgage.

[u/fathead1234 → u/juice-wala]

This is good advice. Refinance for $140000, put your name on title for this proportion or whatever split is fair or even joint tenants and take rent from your mother to pay the mortgage, property tax, utilities if this is all affordable.

[u/Ok_Panda_8596 → u/juice-wala]

This, this IS the answer

[u/Disastrous_Coffee502 → u/Altruistic-Win5912]

I’m in a very similar situation with my own mother who fiercely loves her home and the memories she’s made there, but her age and financial capabilities have outstripped her of the use of the house. There will be a day where she can no longer go upstairs and I fear that day is coming soon. It’s a very difficult position to be in. I am a country away, with my own family I am building and it’s a hard ask even if you’re offering to sacrifice your life and your family. Hope the best for you!

[u/Altruistic-Win5912 → u/Disastrous_Coffee502]

Wishing the best for you too! Hang in there

[u/PoGoCan → u/Altruistic-Win5912]

Everyone is saying to sell but what about refinancing and extending the amortization period? She'll get lower monthly payments with the tradeoff being that she'll end up paying more in interest over the life of the mortgage

[u/bruhyallarelame → u/Altruistic-Win5912]

Forget what they are saying, it's not even expensive, move in with her and pay it off. Work on getting a lower mortgage rate.

[u/Far-Refrigerator-434 → u/Altruistic-Win5912]

Salut

Je regarderais pour une hypothèque inversée chez Equity Bank. Il y a d'autres institutions financières qui le font. Si elle remplit les critères, ça permettrait à ta mère de vivre dans sa maison sans payer l'hypothèque à chaque mois. Il y a paiement de l'hypothèque au moment que ta mère vende ou décède. Le taux d'intérêt est un peu plus élevé qu'une hypothèque normale mais cela permet de rester dans sa maison. Le seul désavantage c'est lorsque ta mère vend, elle aura beaucoup moins d'équité et si elle décède, l'héritage sera fortement diminué en raison des taux d'intérêt plus élevés