Number of Foreclosures Decreased Once Again in Québec in 2011
In 2011, 1,806 residential properties in Québec were seized by their mortgage lender, a 19 per cent decrease compared to 2010, when 2,224 properties were seized. This was the second consecutive annual decrease in foreclosures, after the recent peak in 2009. According to the results obtained for 2011, we estimate that the number of foreclosures province-wide represents one property out of 1,140, compared to one property out of 911 in 2010.
There are also cases of voluntary relinquishments when mortgage holders, who are in default, choose to voluntarily give the keys to their property back to the mortgage lender before the end of the foreclosure process. These cases are quite uncommon and are rarely associated with the borrower’s main residence. In 2011, 271 Québec mortgage holders voluntarily relinquished their property, versus 355 in 2010.
The Number of Notices of Exercise Also Decreased
A foreclosure occurs after a notice of exercise is published at a Québec Registry Office. This warns the holder of an outstanding mortgage that his property will be seized if the outstanding amount is not paid within 60 days following the publication.
In Québec, 6,455 residential mortgage holders received a notice of exercise for the first time in 2011, compared to 7,200 in 2010, a decrease of 8 per cent
source: Fédération des Chambres Immobilières du Québec