Power of Sale

Importance: 0.57

Is a company: no

Is a proper noun: no

Synonyms

  • foreclosure

Definition of Power of Sale

  1. If loan default occurs, the mortgagee has the right to force the sale of the property without judicial proceedings.

Related Terms and Acronyms

  • Default Definition,
    • When a borrower fails to fulfill the obligations of a loan or lease.
  • Motivated Seller Definition,
    • A home seller who has a strong reason to sell quickly, possibly because of an upcoming relocation or an impending default on a loan.
  • Mortgage Acceleration Clause Definition, Important,
    • A provision of a loan agreement that lets a lender demand payment of the full balance under specified circumstances, such as sale of the property, default or refinancing. Not commonly used in Canada and/or Canadian lenders.
  • Forbearance Definition,
    • Delaying foreclosure, usually because the borrower has arranged to pay the amount in arrears.
  • Bundle of Rights Definition,
    • A set of legal rights that an owner has regarding a property.
  • Repossession Definition,
    • The taking back of property after a borrower has stopped making payments.
  • Foreclosure Definition,
    • The legal process by which a borrower in default under a mortgage is deprived of his or her interest in the mortgaged property. This usually involves a forced sale of the property at public auction with the proceeds of the sale being applied to the mortgage debt.
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