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Power of Sale Clause

A "power of sale" clause is clause in a mortgage or deed of trust where the borrower pre-authorizes the sale of property to pay off the balance on a loan in the event the homeowner defaults. The lender or their representative, typically referred to as the trustee, may execute the power given to the lender to sell the property. The trustee must record a notice of sale in the office of the recorder of the county where the property is located.

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