Power of Sales
We have done many powers-of-sale appraisals for lenders, insurance companies and law firms: CIBC, Scotiabank, Anderson Avocats, to name a few.
Power of sale is the right of a mortgagee (lender) to compel a mortgagor (applicant) to sell the property in question. The power of sale is a frequently used method a lender will employ to remedy a difficult financial situation because it is often the simplest, fairest, and most inexpensive procedure.
When an applicant’s debt becomes unmanageable and unable to pay it back, their personal assets are seized in order to repay this debt. When this happens, the applicant’s property is liquidated in order to recuperate as much of the lender’s principal loan.
To ensure that the property is sold at a fair market price, the lender will contact a real estate appraiser to provide an accurate, up-to-date value of the property.