This is a real example of a Statement of Claim for foreclosure issued in Ontario, with personal details redacted. Unlike a power of sale claim, a foreclosure action asks the court to transfer title of the property to the lender rather than to sell it — the homeowner can lose the property and any equity in it. The pages below show how a foreclosure claim identifies the mortgage, the default, and the relief sought.
For the differences between the two processes, read Power of Sale vs Foreclosure Explained.
Foreclosure claims are much rarer in Ontario than power of sale claims because they take longer and require more court involvement, but lenders sometimes choose them when a property has substantial equity. If a foreclosure is completed, the lender keeps the property and the homeowner loses all equity — which makes responding to a foreclosure claim even more urgent than a power of sale claim. A homeowner can ask the court to convert a foreclosure into a sale, which preserves any surplus equity.
