Equity of Redemption

Equity of redemption is a legal right that allows a borrower to reclaim their property after it has been foreclosed, as long as they pay off their debt. This principle ensures that if a homeowner defaults on their mortgage, they can still recover their home by settling the outstanding amount within a specified period. It protects the borrower from losing their property permanently due to financial difficulties, and highlights the importance of redeeming the property before it is sold to a third party. Essentially, it grants a second chance to the borrower to rectify their financial situation.