Document background
The Notice of Intent to Foreclose is a critical document in New Zealand's mortgage enforcement process, required under the Property Law Act 2007 before a lender can proceed with foreclosure or mortgagee sale. This notice must be issued when a borrower defaults on their mortgage obligations, whether through missed payments or other breaches of the mortgage terms. It serves multiple purposes: formally notifying the borrower of the default, specifying the exact nature of the breach, providing a clear timeframe for remedy (typically 20 working days), and outlining the consequences of non-compliance. The notice must comply with strict legal requirements and includes detailed information about the property, the default amount, and the borrower's rights. This document is particularly important as it initiates the formal enforcement process and provides borrowers with a final opportunity to remedy the default before more serious enforcement actions commence.
