Whilst I applaud you for your initiative, it would be inequitable to give mortgage shortfall victims greater tax relief on a subsequent purchase, or to assist them financially through legislated means. This is unfair to other mortgagor's who are fortunate enough to have not been repossessed. Remember I am a victim too - so I have no axe to grind for anyone other than us. Perhaps a simple moratorium on arrears once the mortgagee is in possession would be more acceptable. That way, if the lender pulls the usual stunt of leaving the property empty forever and them selling for a song, the repossessee is protected. This would not affect the negotiation process for the reamining shortfall balance, and would ensure that the Lender's act expeditiously once the property has been repossessed.(posted 8041 days ago)Interest rates cannot be capped in the way you suggest - this would have a knock-on effect on the markets. However, all mortgages could be sold with the proviso that the borrower can choose to lock in at a particular rate for, say five ot ten years. This would be a way of capping the term periodically within the amortization period. It's common practice in North America I hear.