Guide

How to Stop Power of Sale in Ontario

A power of sale notice is serious, but it isn't the end of the road. In Ontario, homeowners with equity in their property usually have options — the most important factor is acting quickly, before the legal timeline runs out.

The Ontario power of sale timeline (simplified)

After you fall behind, your lender issues a Notice of Sale under Mortgage. From that notice, you typically have 35 days before the lender can start the formal sale process. That 35-day window is critical — the more of it you have left, the more options you have.

Three realistic ways to stop it

1. Reinstate the mortgage

You can usually bring the mortgage current by paying the arrears plus the lender's legal costs. If you don't have the cash, equity-based lending partners can fund the arrears and roll the balance into a short-term second mortgage.

2. Refinance the whole mortgage

If your existing first lender won't work with you, a private or alternative lending partner can refinance the entire first mortgage based on the equity in your home — paying out the lender, the arrears, and the legal costs in one closing.

3. Sell on your own terms

If reinstating or refinancing isn't realistic, listing the property yourself almost always nets more than a power of sale process run by the lender, where the priority is recovering the debt, not maximizing your equity.

What to gather right now

  • The Notice of Sale and any other correspondence from the lender or their lawyer
  • Your most recent mortgage statement
  • Property tax confirmation
  • A rough sense of your home's current value

Why time is the most important factor

Once the redemption period expires and the lender begins formal sale steps, additional legal and listing costs start stacking on top of the arrears. The earlier you act, the more equity you protect.

Reviewed by Future Lending Group.Last reviewed: June 2026.

Frequently asked questions

How long do I have to stop a power of sale in Ontario?

Generally 35 days from the Notice of Sale under Mortgage, although this can vary depending on the type of charge and the lender. Treat the 35-day mark as a hard deadline.

Can I refinance if I'm already in power of sale?

Often yes, provided the redemption period hasn't expired and there's enough equity to clear the arrears, legal costs, and the existing first mortgage.

Will this destroy my credit?

A registered power of sale will damage your credit, but stopping it before it completes and then making payments on time afterward is meaningfully better than letting it run its course.

What if I have a second mortgage too?

Both mortgages need to be addressed in a refinance or sale. Equity-based lending partners commonly fund a single new first mortgage that pays out both.