Receiving a notice of sale in Ontario can feel overwhelming, but it’s not the end. You have options, and fast action is critical. Whether you’ve missed a few mortgage payments or have fallen into deeper financial trouble, this guide will help you understand the process and how a mortgage broker in Ontario can help you stop it before you lose your home.
What Is a Notice of Sale in Ontario?
A notice of sale is a formal legal warning that your mortgage lender intends to sell your home due to missed payments. It’s the first step in the power of sale process, a lender’s right under Ontario law to sell a property without court involvement.
Typically, it’s issued 15+ days after a missed payment, but timelines may vary. Once sent, you only have a limited window to act before the lender can take control of your home.
Why Ignoring It Is a Costly Mistake
Waiting too long can lead to:
- Forced eviction
- Legal and court fees added to your debt
- Losing the equity you’ve built
- Serious damage to your credit
But here’s the good news: If you still have equity in your home, you may qualify for urgent refinancing, even with bad credit.
3 Fast Ways to Stop a Notice of Sale
1. Home Equity Loan
Tap into your home’s equity to pay off arrears and legal fees in full. These loans are often approved within 24 hours through an alternative lender.
2. Second Mortgage
Keep your current mortgage intact and use a second mortgage to clear the default. This option helps if your first mortgage is still at a low rate.
3. Full Mortgage Refinance
Replace your existing mortgage with a new one that covers your overdue balance, legal fees, and even high-interest debt.
Real Case: Angela from Scarborough
Angela missed 4 months of payments and received a notice of s