Illinois Foreclosure Laws
Attorney General's Office
500 S. Second Street
Springfield, IL 62706
Ph: (217) 782-1090
Fax: (217) 782-7046
Foreclosure Laws in Illinois
Judicial Foreclosure: Yes
Non-Judicial Foreclosure: No
Security Instruments: Mortgage
Right of Redemption: Yes. 3 Months
Deficiency Judgments: Yes
Time Frame: 215-315 Days
Public Notice: Complaint
Judicial foreclosure: In Illinois begins with the filing of a suit
to obtain a judgment of foreclosure; and the filing of a lis pendens, which is a
legal and public notice of intent to foreclose. The timing is at the lender’s discretion
after a missed payment, but is usually 3-4 months after the first missed payment.
If the court issues a judgment of foreclosure: The borrower has
7 months from the date of service (or three months from the date the judgment is
issued, whichever is later) in which to redeem the property by paying the amount
due. Because the borrower may offer defenses to the suit for a judgment, 6 or 7
months may pass before the judgment is issued. If the borrower fails to redeem,
a notice of sale is issued.
The sale: May be conducted by the sheriff or by any judge in the
subject county according to the terms and conditions contained in the notice of
sale; provided that such terms and conditions meet minimum statutory standards.
Investors must deposit 10% of their bid amount in cash, and must pay the balance
within 24 hours. The foreclosed owner has no right of redemption following the sale.
Consent foreclosure is occasionally used in Illinois. It involves the court issuing
a judgment of foreclosure and giving absolute title to the property to the lender
with the lender and borrower’s consent. There is no sale. In this case the defaulted
mortgage is deemed satisfied and the lender may not sue for any deficiency, nor
has the borrower any right of redemption.