Buying a Repossessed Home (Reprise de Finance) in Quebec: What You Need to Know
Taking in payment or sale under judicial control, the 60-day prior notice, legal warranty, inspection and 2025 figures: what to know before buying a repossessed home (reprise de finance) in Quebec.
This guide is for buyers considering a repossessed property (reprise de finance) in Montréal or elsewhere in Quebec: methods of sale, prior notice, warranty, purchase and checks. Information checked on November 6, 2026.
At a glance
- "Reprise de finance" refers in Quebec to the seizure of a hypothecated immovable (OQLF). For a private owner's home, two remedies are possible: taking in payment (prise en paiement) or sale under judicial control (vente sous contrôle de justice) (Civil Code of Québec, arts. 2748, 2773 and 2784; OACIQ).
- The lender first registers a prior notice of exercise (préavis d'exercice) in the land register; for an immovable, the period is 60 days from registration (art. 2758).
- The owner can pay or remedy the default until the taking in payment or the sale (art. 2761).
- A sale under judicial control excludes the warranty of quality by operation of law (art. 1731). After a taking in payment, the exclusion depends on the resale contract (arts. 1732 and 1733).
- In 2025: 5,873 prior notices in Quebec, including 1,242 in the Montréal region. A notice does not always lead to a sale.
What is a repossession (reprise de finance) in Quebec?
A repossession occurs when a hypothecary lender exercises its rights on a property because the borrower is in default. Of the four hypothecary rights in the Civil Code (art. 2748), two are reserved for the property of an enterprise (arts. 2773 and 2784). For a private owner's home, what remains is taking in payment and sale under judicial control (OACIQ).
Taking in payment: the lender becomes the owner and the debt is extinguished (art. 2782). It takes the property in the condition it was in when the prior notice was registered (art. 2783), and can then resell it (OACIQ). If the debtor had repaid half or more of the secured debt at that time, the lender must obtain the court's authorization, unless the property is surrendered voluntarily (art. 2778).
Sale under judicial control: the lender does not become the owner. An independent person appointed by the court sells in the owner's name, by agreement, by call for tenders or by auction (arts. 2791 and 2793). According to the OACIQ, a bank chooses this remedy when the property is worth less than the debt, and can then sue the debtor for the balance.
What happens during the 60-day prior notice?
The lender registers a prior notice of exercise in the land register and has it served on the debtor (art. 2757). For an immovable, the owner has 60 days from registration to surrender (délaisser) the property, and no remedy can be exercised before that period ends (arts. 2749 and 2758; Éducaloi).
No separate period applies to a residential property. Until the taking in payment or the sale, the debtor or any other interested person can pay what is owed or remedy the default, along with the costs (art. 2761).
Is a repossessed home sold without a legal warranty?
It depends on the method of sale. A sale under judicial control gives rise to no warranty of quality, by operation of law (art. 1731). A bank that resells a property taken in payment is its owner: the legal warranty applies, unless the contract reduces or excludes it (art. 1732).
Even with an exclusion, the seller remains liable for its own personal acts (art. 1732) and for a defect it knew of or could not have been unaware of and did not disclose, unless the buyer buys at their own risk from a non-professional seller (art. 1733). Is a financial institution that resells a professional seller? We found no official source that answers this; ask your notary or lawyer.
According to Centris (March 5, 2026), most repossessed homes are sold without the legal warranty of quality, an exclusion the OACIQ considers possible given the seller's limited knowledge. The OACIQ points out that a buyer without a warranty has no recourse for a defect they were unaware of, unless the seller deliberately concealed a known defect. It recommends a more thorough inspection than the usual one and an offered price that takes the exclusion into account.
How do you find and buy a repossessed home?
Search Centris and the register of sales (registre des ventes) of the ministère de la Justice.
Every sale under judicial control of a hypothecated immovable is announced in the register of sales, which is public and free (OACIQ), 30 days before the sale (Code of Civil Procedure, arts. 748 and 749). A taking in payment is not preceded by such a notice. A bailiff (huissier) is usually appointed, and generally retains a broker to market the property (OACIQ). The Centris "Reprise de finance" filter also covers these sales, with no proof that all of them are listed.
Centris advises getting a mortgage pre-approval before you start looking. The promise to purchase is often drafted on the lender's forms, a deposit may be required and the offer is generally conditional on financing and inspection. The signing at the notary generally follows within about 30 days. These practices vary by seller.
The Declarations by the Seller form (Déclarations du vendeur) is not mandatory when a bank or another legal person is selling, but the OACIQ strongly recommends it. A sale under judicial control is a transfer within the meaning of the law on transfer duties, the "welcome tax" (Registre foncier du Québec).
Unpaid municipal and school taxes are prior claims that follow the property (arts. 2650, 2651, 2654.1 and 2655). In divided co-ownership, the acquirer of a unit, including following a hypothecary remedy, owes the common expenses due at the time of acquisition (art. 1069); ask the syndicate of co-owners for a statement. Have your notary check how these amounts are settled out of the price.
What are the pros and cons of buying a repossessed home?
Nothing in the law guarantees a price below market value. In a sale under judicial control, the price must be as close to it as possible, without going below 50% of the municipal assessment multiplied by the roll factor, unless the court finds that this price cannot be reached within an acceptable time (Code of Civil Procedure, art. 761). La Presse looked at the question on November 3, 2024, quoting Marc Lefrançois, our team leader.
Pros
- A process supervised by the court, with conditions published in advance (art. 2791; Code of Civil Procedure, art. 748).
- Real rights not included in the conditions of sale are purged, with exceptions such as servitudes (Code of Civil Procedure, art. 759).
- An offered price that can take the absence of a warranty into account (OACIQ).
Cons
- Little or no warranty of quality (art. 1731; Centris).
- A seller who knows little about the property (OACIQ), and seller's declarations that are not mandatory when a bank sells.
- A sale under judicial control that can be annulled in certain cases, on an application notified within 60 days (Code of Civil Procedure, art. 760).
How many repossession notices are registered in Montréal?
In 2025, 1,242 prior notices of exercise were registered in the Montréal region, out of 5,873 in Quebec (Registre foncier du Québec). A notice measures neither a repossession nor a sale, since the default can be remedied (art. 2761).
- Quebec, 2025: 5,873 notices, of which 4,788 for a sale under judicial control (about 82%) and 1,081 for a taking in payment.
- Montréal region, 2025: 1,242 notices, of which 1,063 for a sale under judicial control (about 86%) and 178 for a taking in payment.
These data cover all types of immovables; Montréal corresponds to administrative region 06. We found no official statistics on actual repossessions or sales.
What to check before making an offer
- The method of sale: resale after taking in payment, or sale under judicial control.
- The warranty clause, read by your notary.
- A more thorough inspection, by an inspector informed that there is no warranty.
- The seller's declarations.
- Occupancy: current leases, registered leases, former owner still on the premises.
- Unpaid taxes and, for a condo, the statement of common expenses.
- The conditions of sale: notice in the register of sales, forms, deposit, deadlines.
Frequently asked questions
What is "reprise de finance" in English?
According to the OQLF, the English equivalent is foreclosure; taking in payment refers to prise en paiement. In French, the OQLF prefers "saisie d'un immeuble hypothéqué" or "saisie immobilière".
Can you buy the house during the 60-day period?
Yes, under certain conditions. A sale made after the prior notice is registered cannot be set up against the lender, unless the buyer assumes the debt with the lender's consent or a sufficient sum is deposited (art. 2760). The seller's broker must disclose the notice to any interested buyer (OACIQ).
Can a sale under judicial control be annulled?
Yes, in specific cases, on an application notified within 60 days of the sale (Code of Civil Procedure, art. 760). The buyer can apply if they risk eviction because of a right that was not purged or if the property differs so much from its description that they would not have bought it; the debtor or a creditor can apply if the price is manifestly unreasonable or in case of serious irregularities. The court clerk issues a certificate of non-annulment (Registre foncier du Québec).
What happens if the property is occupied?
A sale, even a forced one, does not allow the new owner to terminate the lease of a dwelling (art. 1937), and a sale under judicial control maintains leases registered in the land register (Code of Civil Procedure, art. 759). If the former owner still lives on the premises, we found no official source on the buyer's remedies: discuss it with your notary.
Sources, method and limits
Sources: Civil Code of Québec and Code of Civil Procedure, articles cited (LégisQuébec, up to date as of October 15, 2026); OACIQ, guide on hypothecary credit and pages on the register of sales, the legal warranty and the Declarations by the Seller; Éducaloi, "Les hypothèques"; OQLF, entry "saisie d'un immeuble hypothéqué"; Registre foncier du Québec, fact sheet on the sale under judicial control; Québec.ca and Données Québec (October 2026); Centris.ca (March 5, 2026); La Presse (November 3, 2024). Method: notices compiled by our team from the open data; our totals match those on Québec.ca. Data taken from the Registre foncier du Québec.
Limits: general information up to date as of November 6, 2026, which is not legal or tax advice. Still without an official source: whether a bank is a professional seller, financing, remedies against an occupant and how taxes and fees are settled out of the price. For a specific situation, consult a notary or a lawyer. Written by Équipe Lefrançois.
Planning a real estate purchase in Montreal?
Our team can help you find the property that matches your project.
Related content
Divided vs Undivided Co-ownership: What's the Difference in Montréal?
Divided or undivided co-ownership in Montréal: what you buy, management, taxes, down payment, conversion and repossession of a unit, for a condo or a unit in a plex.
Buying to Renovate or Expand in Town of Mount Royal: What to Check Before You Sign
Zoning, PIIA, permits and approval timelines: what to check before buying a house in Town of Mount Royal to renovate or expand it, illustrated by four municipal council refusals.
Policy Rate Rises to 2.5% on October 28, 2026: What the Increase Changes (and Doesn't) for Your Mortgage
The Bank of Canada raised its policy rate by 0.25 percentage points to 2.5% on October 28, 2026. Fixed rate, variable rate, renewal: what the increase affects, what does not move, and five questions to ask your lender.