Power of Sale

Full Explanation

Power of Sale is a legal remedy available to mortgage lenders in most Canadian provinces (primarily Ontario) that allows the lender to sell a mortgaged property without going to court when the borrower defaults. This is faster than judicial foreclosure and does not transfer ownership to the lender — the lender sells on the owner's behalf and must return any surplus after recovering the debt, costs, and penalties. The borrower typically has an equity of redemption period to cure the default before the sale proceeds. Power of Sale proceedings typically take 4–6 months in Ontario.