A power of sale (POS) or foreclosure is easier when you understand how important having the right lawyer is. The lawyer’s experts look after the legal protections homeowners have, and their expertise helps to ensure that real estate laws are implemented properly.
PowerOfSaleOntario.ca can help by connecting borrowers with the proper lawyers with the right specializations. This company does this to help stop the power of sale or foreclosure process with the right private loan.
Understanding Power of Sale Process or Foreclosure
If a borrower falls into default, there are two methods that the lender can use to get their money back. Most Ontario lenders choose the power of sale, but foreclosure is also open to them. The power of sale is the faster of the two and doesn’t involve needing the courts to finalize the process.
Role of a Power of Sale or Foreclosure Lawyer
A qualified lawyer has a few responsibilities for the more common power of sale and foreclosure. Generally, they are responsible for helping lenders through the legalities of real estate transactions when there’s been a default. Those responsibilities can include:
- The Ontario Bar Association points out that lawyers are also responsible for drafting and reviewing documents like statements of claim and any court applications that may be needed.
- The lender’s lawyers must ensure that documents are sent on time and in the right order.
- The lender’s lawyers must address borrower requests, such as payment statement requests.
- In extremely rare cases, a borrower can use a lawyer to fight an incorrect POS successfully.
Borrowers may also need a lawyer to process a property sale or new mortgage. However, these services incur far fewer fees than the lenders will incur during the POS process.
With a power of sale, lenders ensure the property is sold for fair market value, and they make sure any proceeds are properly distributed. These experts also handle disputes that crop up with either process. For example, there can be issues over how the proceeds from a sale are distributed during a power of sale.
Expertise and Qualifications of Power of Sale or Foreclosure Lawyer
Lenders and borrowers might need one of these lawyers. Checking their credentials is an important first step, and they need a law degree from a recognized school in Canada or some equivalent. The Law Society of Ontario also points out that the lawyer needs to be in good standing and have passed the bar admission exam in Ontario.
They need to have a thorough understanding of the Ontario Mortgages Act. This legislation covers all the legalities of mortgages, including provisions for a power of sale or foreclosure. The Act covers important areas like borrowers’ rights while supplying clear instructions for lenders when there’s been a default.
Some of the other skills lawyers need to have in this area are understanding the property market so they can gauge whether homes are being sold at fair market value.
When Is Hiring a Lawyer Appropriate
These lawyers are invaluable in several scenarios. For example, a homeowner can stop a power of sale by getting the money through a private loan. A lawyer needs to oversee the process to ensure it’s done correctly. Lawyers should also be involved in closing a mortgage or real estate deal.
Here’s another situation where a lawyer is essential. If the borrower feels that a notice of sale has mistakes in it, they can challenge it. The same can be said if they don’t think it was correctly served. A lawyer can help by pointing out incorrect details or situations where the proper notice hasn’t been given.
When Hiring a Lawyer Is Not Appropriate
Likewise, there are situations where borrowers don’t need lawyers for a power of sale or foreclosure.
One of these situations happens when the borrower pays off the mortgage in total before either a power sale or foreclosure starts. If a person sells off some valuable assets like stocks, bonds, or another vehicle, they may be able to come up with the money. There are other situations where a borrower can use their savings, like a Registered Retirement Savings Plan (RRSP).
If you’re paying the money directly to the lender, a lawyer is not needed to oversee a power of sale or foreclosure.
Resolving Your Power of Sale or Foreclosure
Stopping the power of sale or foreclosure and your other options are simple when you contact experts. Real estate professionals Ron and Jonathan have experience with both. They offer private loans that can stop the power of sale and foreclosure to prevent people from being evicted from their properties. Big media Outlets like the Toronto Star and Global News seek these experts.
Jonathan and Ron are responsible for maintaining their main websites, which includes mortgagebrokerstore.com and powerofsalesontario.ca. Reach either at 416-499-2122 or by email at [email protected].