Power of Sale Issues

Stop the banks from enforcing the power of sale on your home. When you are faced with this obstacle, let us help you figure out your options to protect your home.

What is a Power of Sale?

A common term in the mortgage world is Power of Sale, which is a legal process that allows a mortgage holder to force the sale of a property to recover their investment. This happens when the borrowed defaults on their payments an cannot arrange to bring the mortgage current within a set time.

In most cases of a Power of Sale, the lawyer representing the lender can begin the Power of Sale process 15 days after default of the mortgage payment. At the start of this process, the homeowner will receive a “Notice of Sale” document, which states that the mortgage is in default, the amount owing, and how long the homeowner has to bring the mortgage current.

If the mortgage is not brought current by the date specified, the next document received will be a “Writ of Possession”, which allows the lender to appoint a sheriff to evict the homeowner. Lenders will usually allow the mortgage to be brought current up until the Writ is served. However, after that point, they will only accept payout of the mortgage in full to stop the Power of Sale.

Power of Sale versus Foreclosure

Something to note is that a Power of Sale is different from a Foreclosure.

With a Power of Sale, the lender forces the sale of the home. Any money left over after paying out the mortgage, legal costs, and real estate fees is given to the the homeowner.

With a Foreclosure, however, the lender becomes the legal owner of the property once the legal paperwork is processed and is free to keep whatever profit exists, if any, after selling the home.

Most lawyers in Ontario prefer Power of Sale as the process is quicker than a Foreclosure, which can take many months in court.

Options When Faced with a Power of Sale

If you’ve fallen behind and are facing a Power of Sale, what can you do?

The first step is to contact us immediately. Since fees accrue by the day, it is important to act quickly. While prime lenders will not finance a new mortgage while the existing one is in default, we work with local private lenders all over Ontario that are more flexible.

It may be be possible to add on a second mortgage to bring the first mortgage current, then combine them upon maturity.

Another possibility is that a private lender may finance a new first mortgage, paying out the existing one in full. In other situations, it may be a on a short term basis to allow you tel sell the home on your terms, saving you thousands of dollars that would otherwise be eaten up by legal fees from the Power of Sale.

The Graeme Moss Solution

Whatever the case, we can review your situation to figure out what options you have to save your home. Don’t let fear prevent you from reaching out. The problem will not go away on its own; you need someone who will work with you to stop the legal pressure.

Contact us today for a free, confidential review of your situation. We are here to help.

People we’ve helped.

  • I first met Graeme over the phone when we were living in Hamilton and finding it difficult to make our payments. He was so helpful and we knew he genuinely wanted for us to be successful. Ever since, we have gone to him when purchasing a new home or refinancing because we trust him and we know he cares. He always goes above and beyond to help us when we need it. We went from struggling to make payments to living in our dream home in a few short years.  I truly believe that it is because of his knowledge and passion for helping people build their futures that we are where we are today. Thank you, Graeme!!

    M. V. Hamilton, ON
  • Thank you Graeme, for everything you did to help us with our mortgage, for your patience with my questions and professionalism. We truly appreciate yours and Deborah’s efforts on our behalf.  We’ll be sure to recommend you to anyone we know who needs help like we did. Thanks so much for everything.

    J. M. Hamilton ON
  • Graeme Moss has provided stellar customer service and was a key player in ensuring due diligence. It was both a pleasure & very professional dealing with Graeme when I turned to Fair Mortgage Solutions seeking an interim solution.  He, once again was very accurate in advising me, he is not a lawyer. What prompted me to negotiate the legal fees was associated to why this crucial “matter” between legal departments was not finalized in 2017.  Moving forward, Graeme’s diligence directed me immediately to the right department. Your department honoured negotiating and we established completion of the task at hand, the Discharge of the MTG. Thank you!

    K. W. Burlington, ON
  • We refer clients to Graeme who are either having serious financial issues, or are recovering from a bankruptcy or proposal filing. They are challenging situations. I can count on Graeme to treat people with compassion and respect. I trust that if there is a mortgage solution to be found, Graeme will make it happen. He truly cares about people and helps them to succeed.

    Christine Zuk President, Vine and Williams Inc.
  • You and your team are awesome. You truly care and you saved my life. Thank you.

  • This is great. We were so worried. Hearing how others helped who were in a similar situation. This is a godsend. We appreciate the roadmap. Glad it is within 3 days. The advice free, can’t go wrong.

    H.H Mississauga
  • My wife and I were stunned at the speed you got this done. The fee was very low. We are thrilled. Thank you for your help!

    D.H. St. Catharines
  • You guys are friggin awesome! We feel so happy. Thank you so much.

    S.R. Oshawa
  • You have been a godsend. An absolute godsend. I can finally sleep at night. My children thank you. We have 6 options instead of being forced what to do.

    L.E. Mississauga
  • I'm a first time home buyer and had a very positive experience working with Graeme Moss, he gave good advice and made the process very easy.