We can help stop a power of sale or foreclosure on your condo in Toronto, Ontario. The most common reason for a condo to be in power of sale is non-payment of condominium fees. Most condominium corporations will only wait 30 days before they start legal action, in contrast most mortgage lenders will wait 90 days before they start legal action.
A power of sale is the fastest and cheapest way for a lender to recover their money. Lenders can sell the condo for any price but typically try to get highest price for the property. If you are a condo owner with a substantial amount of equity in your condo you should make every effort to stop the power of sale. In many cases the legal costs can wipe out all the your equity which means that when the condo is sold the owner will receive nothing. If you are in power of sale call 416-499-2122 for Free Help.
A power of sale can only be started after the mortgage has been in default for longer than 15 days. The lender then must send a letter stating that the condo owner is in default of the the mortgage. The owner has about 45 days to respond to the “Notice of Sale Under Mortgage”. If the default is not corrected then the lender has the right to send a “statement of claim”. The “statement of claim” will outline all the costs involved with paying off the mortgage. This includes the mortgage principal, property taxes owed, legal fees and any other fees or charges against the property.
If the “statement of claim” is not paid the lender has the right to send a sheriff to the condo. At this time the sheriff will evict any occupants of the house and give possession of the condo to the mortgage holder.