The power of sale process is the most common remedy used by mortgage lenders in Ontario, Canada. Power of sale homes Ontario can be completed fairly fast, usually in 3 to 6 months and the cost is usually lower than the foreclosure process. The lender is required to give the borrower notice of the proceedings, which usually include an amount or terms to bring the mortgage back into good standing. The borrower should work with the lender to find an acceptable solution, if an acceptable solution is not found the borrower should contact a mortgage broker and find a lender that has acceptable terms for the mortgage. The power of sale process can be costly due to the legal fees, and we advise all clients to resolve the situation as soon as possible.
When facing a power of sale homes Ontario situation you should retain a lawyer and provide him/her with as much information regarding the power of sale as possible. Important documents would include a statement of claim, mortgage papers, liens and any other letters or notices. Many lenders charge a daily management fee and legal costs can be quite high, therefore it is in the homeowner’s best interest to stop the power of sale homes Ontario as soon as possible. In many cases the homeowner will also need the service of a mortgage broker to arrange new financing for the property.
If you have been served a statement of claim and evicted by a sheriff in Ontario then your property will be put up for sale within a short period of time. Most lenders will list the property on the MLS listing service, that way the property will get maximum exposure to potential buyers. The lender will try to get the maximum value when selling the house but if there are no offers within a reasonable amount of time the lender may lower the price until the house sells. The actual selling price may be substantially below the present market value and since the lender is under financial pressure, the lender could also lose money upon the sale of the house. The homeowner should be aware that the lender can sue the homeowner for any loss incurred by the power of sale homes Ontario.
The power of sale process involves at least one lawyer and in some cases a number of lawyers. We advise all our clients to retain a lawyer to handle all real estate transactions and in particular a power of sale homes Ontario transaction. We are mortgage brokers and mortgage agents we are not lawyers therefore 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. We also recommend that the borrower work with the lender to resolve any defaults in the present mortgage, co-operation can reduce any legal costs. As mortgage agents we can help with any financing needs that you may have regarding your power of sale homes Ontario situation, give us a call today.