An “orphan” mortgage is the term given to a mortgage that is up for renewal, and one the current lender has no interest in renewing. This might be as a result of a poor payment history of behalf of the borrower or perhaps the lenders criteria has changed and this particular mortgage no longer meets new lending criteria.
The second scenario is particularly devastating for the borrower, who due to no fault of their own may be forced to sell their property. The lender has already attempted to sell this mortgage to an alternative lender with no success, so the onus is on the borrower to remedy the situation.
Unfortunately there may be no simple remedy. We review every situation on a case by case basis. Preferably you can be qualified with an alternate lender. If not then a rent to own or private sale scenario might be the route to go. The poorest solution is to walk away from the property. You don’t want that type of derogatory mark on your credit report if you plan to entertain home ownership anytime in the near future.