Many people refer to power of sale properties or foreclosure properties as distressed house properties, since the meaning is similar we will look a the power of sale and foreclosure process.
All power of sales in Ontario start with the lender sending a “Notice of Sale Under Mortgage” to the property owner, the notice can be sent once the property has been in default for longer than 15 days. The property owner then has about 30 days to respond to the notice, if the property owner does not respond within 30 days the lender can send out a “Statement of Claim”, this will outline how much money is required to bring the mortgage into good standing or to pay or the claim.
If the property owner does not pay the “Statement of Claim” after an additional 30 days the lender can ask the local sheriff to issue a “Notice of Eviction”. The sheriff usually evicts all occupants of the property within a week or two and gives the lender possession of the property.
I f you have received any of these notices we recommend you consult with a lawyer and a mortgage agent. For more information please go to our home page or please call us for immediate assistance.