In Brampton the method most used to lenders to recover funds from a mortgage that is in default is the power of sale process. The Brampton power of sale process has very little involvement with the courts system. This makes the power of sale process faster and cheaper than foreclosures. Lenders must wait for at least 15 days before sending the borrower a notice of default on the mortgage. Lenders will often wait 90 days before sending the notice. As the property owner you should try and stop the legal process as soon as possible since the penalties and legal fees can be substantial. If possible work with your lender to arrange new terms. if you can not do this contact one of our mortgage agents for help to stop the power of sale.
If you have been evicted from your home or your home is now up for “power of sale”, you should contact a mortgage broker. In most cases the lender would like to dispose of the house as soon as possible. To stop a Brampton power of sale from going forward tell your mortgage agent exactly what has happened so far. There are a number of ways to clear the default of a mortgage and most of them involve paying some amount of money to bring the mortgage into good standing.
For Brampton power of sales the lender has a duty to try and maximize the sale price of the house. Yet, someone has to pay or absorb the monthly mortgage costs. Other costs could be maintenance, hydro, taxes and legal fees. The total costs could be fairly high and force the lender to sell the property at a price below fair market value. Most lenders sell the house with a multiple listing service to get maximum exposure to potential buyers. This also ensures that the house sells for the highest possible price.
We advise all our clients to retain a lawyer to handle all real estate transactions and in particular a power of sale transaction. We are mortgage brokers and mortgage agents we are not lawyers. All information provided including any information provided by our website should not be construed as expert legal advice. We always recommend that our clients retain independent legal advice regarding any real estate transactions. As mortgage agents we can help with any financing needs that you may have regarding your Brampton power of sale homes situation, give us a call today.