Illinois Foreclosure Laws

Foreclosure Laws in Illinois

Illinois requires all foreclosures to be carried out through judicial proceedings. In most cases it takes roughly a year for a foreclosure to be completed.

A foreclosure in Illinois begins when a lender registers a court document outlining the default of a homeowner. A copy of the Notice of Default is also provided to the homeowner, who then has 30 days to respond. If no response is made, then the lender can ask the court to make a ruling allowing foreclosure. If the court rules in favor of the lender and finds a default has taken place, the lender can move to schedule a date for the foreclosure sale of the property.

The homeowner can halt the sale at any point within three months after the default is registered by paying off the entire default debt owed. They also have the right to halt the foreclosure for seven months after the court makes a ruling by paying off the entire amount of the mortgage loan in question.

Before a sale can take place, a Notice of Sale must be issued by the lender and delivered to the homeowner and all affected parties, such as secondary lien holders. The Notice of Sale must include the date, time and location of the sale, as well as a property description, legal information, contact information, and times at which the property may be inspected by potential buyers. The Notice must also be published in a public newspaper at least 3 times within 45 days of the date of the foreclosure sale. The last publication must appear no less than seven days before the sale date. If a sale is going to be postponed for more than 60 days, a new notice of Sale must be issued and published according to these standards.

Generally, the sale is conducted by the county Sheriff, who holds the sale in the style of an auction. The property is awarded to the winning bidder, who will receive a Certificate of Sale upon payment of their bid. This certificate is subject to validation by the court.

Once the court confirms and validates the sale, the winning bidder is awarded ownership of the property. However, if the property is still occupied, an eviction will be issued, and the winning bidder will not assume control of the property for an additional 30 days.