Straight answers to the most common questions about foreclosure and power of sale in Canada — and the options you have to stop it. Every answer is visible below; nothing is hidden.
Foreclosure is the legal process a lender uses to recover what’s owed on a mortgage when a homeowner falls behind on payments. In most of Canada it runs through the courts and can end in a court-ordered sale of the home, while some provinces use an out-of-court “power of sale” instead. The exact steps, timelines, and terms depend on your province — see the Canadian foreclosure process guide.
Both let a lender act on a mortgage in default, but they work differently. Foreclosure is court-supervised and can end in the court ordering the property sold or title transferred. Power of sale — used in Ontario and available in some other provinces — lets the lender sell the property to recover what's owed largely outside of court, after giving the required notice. Which one applies depends on your province and your mortgage.
Often, yes. Homeowners have options at almost every stage, and the earlier you act the more of them remain open. Depending on your situation that can mean bringing the mortgage current, refinancing to clear the arrears, restructuring the loan, or arranging a sale on your own terms before a court sale. The key is not to wait — options narrow as the process moves forward.
Don't ignore it, and don't wait for the next letter. Missed payments are where foreclosure or power of sale begins, but they're also where you have the most room to fix things. The first step is understanding exactly where you stand and which options fit your situation. A free, no-obligation assessment will show you the paths available before deadlines close them off.
Yes. A controlled, private sale before a forced court sale can protect your credit and help you recover more of your equity than a distressed sale would. Selling on your own timeline rather than the lender’s is one of the most common ways homeowners move forward with their equity intact.
In many cases, yes. When a bank won’t help, private and alternative mortgage lenders can sometimes refinance your mortgage or advance funds to pay off the arrears and stop the process — even in situations a traditional lender would decline. Whether it’s the right move depends on your equity and circumstances.
A completed foreclosure or power of sale — and the missed payments leading up to it — can affect your credit for years. That's another reason to act early: resolving the situation before it's finalized, including through a controlled sale or a refinance, generally protects your credit far better than letting it run to a forced sale.
Your initial foreclosure assessment is free, with no obligation. We'll help you understand your situation and the options available to you at no cost. If a specific solution involves third parties — for example a lawyer, mortgage broker, or lender — any costs are made clear before you commit to anything.
Yes. Your information is kept confidential and is used only to understand your situation and help you find options. Reaching out for help is private.
Not necessarily. Even after a notice of default, a notice of sale, or a court filing, options often still exist — but the window gets smaller as deadlines pass. If you've received anything from your lender or the court, the smartest move is to get your situation assessed right away so you know how much time and how many options you still have.
We provide foreclosure and power-of-sale help across every province in Canada, with local resources for 400+ cities. Foreclosure rules differ from province to province, so your options are matched to the law where your home is.
Every situation is different. Get a free, no-obligation assessment and we’ll help you understand the options available to you — before the deadlines close them off.
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