This isn’t just a warning letter.
It’s the start of a legal process that can end with your home being sold — often for less than market value.
The good news?
Power of sale can often be stopped, but only if you act early enough.
What Is Power of Sale in Ontario?
Power of sale allows a lender to sell your property without going to court if mortgage payments fall into arrears.
In most cases, the process looks like this:
missed mortgage payments
formal notice of sale issued
short redemption period
property listed and sold
Once the timeline advances, options shrink fast.
Why Homeowners Lose Control So Quickly
Many homeowners assume:
“I’ll catch up next month.”
But during power of sale, lenders don’t wait.
Delays lead to:
legal fees added to your balance
higher interest and penalties
reduced negotiating power
forced timelines
By the time most homeowners seek help, the file is already advanced.
Can Power of Sale Be Stopped?
Yes — in many cases.
Power of sale can often be stopped by:
bringing the mortgage into good standing
refinancing the existing mortgage
consolidating arrears and debt
using short-term private financing
The key factor isn’t credit.
It’s equity and timing.
Why Banks Usually Won’t Help in Time
Once a mortgage is in arrears, traditional lenders typically:
refuse to refinance
take weeks to review files
add more conditions
move too slowly to stop legal action
Speed matters — and this is where banks often fail borrowers.
How Private Mortgages Stop Power of Sale
Private lenders focus on saving the property first, then fixing the structure.
They look at:
current property value
total equity
location and marketability
realistic exit strategy
This allows funding to happen quickly, often fast enough to:
stop the sale
pay arrears and legal costs
stabilize the mortgage
give homeowners time to recover
This is usually a short-term solution, not permanent debt.
Why Waiting Makes It Worse
Homeowners who wait often face:
forced sales below market value
permanent credit damage
loss of equity
unnecessary stress
A short-term solution done early almost always protects more equity than waiting for a perfect option that never arrives.
The Bottom Line
Power of sale doesn’t mean you’ve failed.
It means time has become the risk.
If you still have equity, you still have options — but they won’t last forever.
Facing power of sale in Ontario?
You don’t have to lose your home.
📞 Call Lendworth immediately to discuss fast, equity-based solutions to stop power of sale and protect your property before timelines expire.