What is Power of Sale?

Power of sale occurs when a home owner defaults on their mortgage payments or violates a condition of the mortgage. If you, as a home owner, have been in default of your mortgage for a minimum of 15 days the mortgage holder has the right to issue a Power of Sale notice. You will have 35 days after you receive the Power of Sale Notice to put the mortgage back into good standing. During this 35 day period the lender is not allowed to sell the property or take any steps to sell the property. After the 35 days the mortgage holder can list your house for sale.