When you’re facing foreclosure, one of the most important things you can do is to reach out to a Chicago foreclosure lawyer at Therman Law offices to help you navigate the legal process and protect your rights. Unfortunately, so many people with foreclosures haven’t taken this step and end up dealing with foreclosure alone, which almost always results in adverse consequences for them, like damaging their credit or losing their home to the bank. But if you’re faced with foreclosure, don’t make that mistake.
What is a foreclosure
A foreclosure is when you lose your home to another party. There are two types of foreclosures: judicial and non-judicial. Non-judicial foreclosures (the vast majority) require you to make payments and generally only occur if you miss several payments or are more than 90 days late on your mortgage. In judicial foreclosures, there is some type of legal action involved because of unpaid taxes, overdue assessments or other issues with your property. When you have a judicial foreclosure, it can take much longer for someone else to take over ownership of your home. If you’re facing either type of foreclosure in Chicago, it’s best to get professional help from an experienced attorney.
How Can I Avoid Foreclosure?
Obviously, you want to avoid foreclosure if possible. A foreclosure can be devastating to your credit rating, and it’s unlikely that you will be able to buy another home anytime soon afterward. If you are facing foreclosure on your primary residence, it’s important that you contact an attorney immediately, who can advise and assist you throughout the process. A lawyer can also help prevent further complications with your lender and make sure all of your rights are being upheld during negotiations. It is especially important to retain legal counsel if you have any mortgage refinancing options available, such as Home Affordable Refinance Program (HARP) or government-backed loan modification programs. Failing to utilize these resources could mean throwing away money for no reason at all! An experienced Chicago foreclosure lawyer can walk you through these programs and explain your options so that you don’t lose money unnecessarily or become stressed out over something that could have been avoided. The best way to fight foreclosure is by contacting a skilled professional in Illinois as soon as possible. Remember: The longer you wait, the more expensive it becomes to fight back! Contact Therman Law Offices today for assistance with your real estate needs in Chicago!
What are my foreclosure alternatives?
Your first line of defense when facing foreclosure is to work directly with your lender. That’s because 90% of foreclosures are resolved through short sales, deeds-in-lieu of foreclosure or loan modifications. As long as you meet certain qualifications, it’s likely that you can avoid going into foreclosure altogether and get back on track with your mortgage payments. The best way to start is by contacting your lender directly. Your lender will work with you to determine whether you qualify for one of these alternative options. If not, they’ll usually refer you to an outside company who will try and help you get caught up on your payments and keep ownership of your home in place.
How do I hire an attorney to help me avoid foreclosure?
Hiring an attorney may not be your only option, but it is one you should consider. You can probably handle a lot of things on your own, but when it comes to foreclosure, that’s something to leave in professional hands. Without legal counsel, you may miss out on any number of valuable legal defenses and opportunities to negotiate with your lender and prolong (or even avoid) foreclosure. An attorney can make sure everything is done legally and professionally so that you have as many tools at your disposal as possible when working to prevent foreclosure. With careful planning and strong legal representation, there’s every reason to believe that you can get back on track without losing your home. Contact a Chicago Foreclosure Lawyer from Therman Law Offices today!
Common Misconceptions About Foreclosure
If you are facing foreclosure, you may want to get in touch with a Chicago foreclosure lawyer. The thought of losing something you worked so hard for is devastating. However, it may still be possible to save your home.
Here are some common misconceptions about foreclosure.
- After foreclosure begins, you can’t save your home. This is one of the most common myths about foreclosure. However, you must realize the foreclosure process can take several months. There is plenty of time to try to save your home in that time period. If you want to keep your home, don’t stop trying just because the foreclosure process has begun. Get in touch with a skilled lawyer and see if there is something you can do to save your house.
- Foreclosure begins after one missed payment. Although it is nerve-wracking to miss even one mortgage payment, it does not mean the foreclosure process will start. Many lenders will wait until a homeowner has missed three mortgage payments to start the foreclosure process.
- Homeowners are required to leave their home after getting a foreclosure notice. Receiving a foreclosure notice is disheartening, but you do not have to leave your home immediately after getting one. After the foreclosure process begins, homeowners typically have at least one month to remain in the home and figure out their next step. If they have a valid defense against foreclosure, they may be able to stay in the house even longer.
- Hiring a lawyer is not necessary. If you want to save your home from foreclosure, it’s in your best interest to work with a Chicago foreclosure lawyer. The foreclosure process can be complicated and you can’t count on your lender to help you. An experienced lawyer will assess your unique situation and determine if you have a valid defense against foreclosure. If you do have a valid defense, your lawyer will fight hard for you in mediation or in court.
- If the bank forecloses on your home, you do not owe any money. This is another common myth about the foreclosure process. Even if your home gets foreclosed on, you still might not be off the hook. If you still owe money on the house after it is sold, the judge may order you to pay the deficient amount.
- Foreclosure always occurs because of financial irresponsibility. Unfortunately, there is still a stigma behind foreclosure. Many people still assume that those who can’t pay their mortgage are financially irresponsible. However, this isn’t always the case. Some people may not be able to afford their mortgages anymore because they lost a job or had an unexpected medical expense.
- You can refinance to save your home from foreclosure. Some homeowners may assume that they can just refinance their home to prevent foreclosure. However, as a Chicago foreclosure lawyer can explain, it is very rare for banks to refinance mortgages for homes already in foreclosure. They typically require homeowners to have a good credit score to refinance.
Chicago Foreclosure Infographic
A Comprehensive Guide to the Steps of Filing for Foreclosure
Filing for foreclosure is a process that no homeowner wants to go through as a Chicago foreclosure lawyer completely understands. Unfortunately, it is sometimes an inevitable reality. Whether due to financial difficulties, divorce, or other problems, homeowners may find themselves unable to keep up with mortgage payments. In such cases, filing for foreclosure may be the only option. Learn about the steps of the foreclosure process, and then contact Therman Law Offices, LTD for help.
Begin The Process by Issuing the Notice of Default
When a homeowner falls behind on mortgage payments, the lender initiates the foreclosure process by issuing a notice of default. This notice serves as a warning to the homeowner that they are in breach of the loan’s terms and that the lender is considering taking legal action. The notice will typically give the homeowner a period of time, usually thirty days, to bring their mortgage payments up to date before the next step is taken. It is vital that the homeowner take this time seriously and try to reach an agreement with the lender to restructure their debt.
The Homeowner Must Obtain the Lis Pendens Notice
If the homeowner does not cure the default within the notice period, the lender will proceed to file a lis pendens notice. This notice indicates that legal proceedings have been started, and the property is subject to foreclosure. At this point, the homeowner has a set number of days (typically 20-30) to respond to the notice. If the homeowner does not respond within this time frame, the foreclosure process will continue, and a court hearing will be scheduled.
Time for Homeowner to Challenge Lender Proceedings
If the homeowner does respond, they may have an opportunity to challenge the lender’s proceedings, file a response with the court with the help of a Chicago foreclosure lawyer, and request a hearing. If the homeowner can show that they can catch up on their mortgage payments or find an alternative solution, the foreclosure process may be stopped. However, if the homeowner cannot come up with a solution, the court will proceed with the foreclosure process.
Auctioning the Property
The final step of foreclosure is the sale of the property at auction. At this point, the homeowner has lost all possession rights to the property. The property will be sold to the highest bidder, and any proceeds will go to the lender to repay any outstanding debts. If the proceeds from the sale are greater than the amount owed to the lender, the homeowner may receive the excess funds.
Filing for foreclosure is a challenging process for any homeowner. To avoid foreclosure, communication is key. The best advice is to contact the lender as soon as possible when payments cannot be made. By following the steps outlined above, homeowners can avoid common pitfalls and be better equipped to navigate the foreclosure process. Contact a Chicago foreclosure lawyer at Therman Law Offices, LTD for help.
What causes of foreclosure?
As a Chicago foreclosure lawyer can tell you about, foreclosure is the process during which a lender attempts to seize a borrower’s property when the borrower is unable to make payments. There are several common reasons that can lead to foreclosure. First and foremost, financial difficulties and the inability to make timely mortgage payments are among the primary causes of foreclosure. Job loss, reduced income, medical emergencies, and mounting debt are all factors that can contribute to a homeowner’s financial instability. When faced with these challenges, homeowners may find it increasingly difficult to meet their mortgage obligations, ultimately leading to foreclosure.
What are common foreclosure issues?
The foreclosure process can be full of obstacles and complexities that homeowners need to navigate. One significant issue is the loss of their home and the disruption it causes to their lives. Being forced to vacate their property can be emotionally and financially distressing for individuals and their families. The process of finding new housing, uprooting established routines, and dealing with the emotional toll of losing one’s home can be overwhelming. As a foreclosure lawyer can advise, it is important to be aware that foreclosure can impact a person’s credit. A foreclosure is a negative mark on a person’s credit report and can significantly lower their credit score. This can make it difficult to secure future loans, obtain affordable interest rates, or even rent a home. The repercussions of foreclosure can persist for several years, hindering a person’s financial stability and limiting their options.
What are typical financial problems?
It is also common for many homeowners to also face other types of financial difficulties when they are dealing with the complicated foreclosure process. In some cases, lenders may pursue a deficiency judgment, which allows them to seek repayment for the outstanding loan balance after the foreclosure sale. This can result in the borrower owing a substantial amount of money even after losing their home. Legal disputes can arise if there are issues with the foreclosure process itself, such as improper documentation or violations of the homeowner’s rights. These legal issues can prolong the foreclosure process and require the expertise of a foreclosure lawyer.
When should I consult a lawyer?
It is highly recommended that individuals seek assistance from a highly experienced and qualified lawyer before they make any kind of decision regarding foreclosure. A foreclosure lawyer can provide valuable guidance and support, helping homeowners understand their rights and options. They can review the details of the foreclosure proceedings, ensuring that all legal requirements are met and identifying any potential violations or discrepancies. It is best to consult a knowledgeable and skilled lawyer as early as possible. By leveraging their expertise and experience, a foreclosure lawyer can help homeowners navigate the complexities of foreclosure and work towards the best possible outcome.
What can a lawyer do for me?
Common reasons for foreclosure include financial difficulties and excessive debt. Foreclosure can bring about issues such as the loss of a home, credit score damage, and potential legal consequences. When facing foreclosure or encountering legal problems during the process, it is advisable to consult a foreclosure lawyer. They can provide guidance, protect homeowners’ rights, and explore possible alternatives to foreclosure. Seeking legal assistance promptly can make a significant difference in the outcome and help individuals navigate the challenges associated with foreclosure. Seek out legal help from a skilled foreclosure lawyer that you can trust from Therman Law Offices, LTD if you have questions about foreclosure.
Navigating Illinois’ Home Ownership Landscape
As a Chicago foreclosure lawyer knows, the dream of owning a home is cherished by many, but with it comes the responsibilities and challenges of financial management. When unforeseen circumstances arise, homeowners may find themselves facing the specter of losing their property. In Illinois, specific legal parameters surround the process of foreclosure, aiming to balance the rights of lenders with those of homeowners. For help with your foreclosure, give our team a call at Therman Law Offices, LTD.
The Importance Of Notices
A distinct feature of Illinois law is its emphasis on transparent communication. Before any actual legal action can commence, the lender must provide a grace period, during which the homeowner can make up for missed payments. If this doesn’t happen, the lender must then send a notice of intent to begin legal proceedings, offering the homeowner a final chance to address the default.
Judicial Foreclosure And Due Process
As your Chicago foreclosure lawyer knows, unlike some states that allow non-judicial foreclosures, Illinois mandates a judicial process. This means that the lender must file a lawsuit and prove their right to foreclosure in court. Homeowners are given an opportunity to present their defense, ensuring due process is maintained. This approach offers an extra layer of protection for homeowners, guaranteeing their right to a fair hearing.
Redemption And Reinstatement Rights
Illinois law offers a silver lining even after a foreclosure judgment is made. Homeowners have a redemption period, usually lasting up to seven months from the notice or three months from the judgment, whichever is later. During this period, the homeowner can buy back or “redeem” their property by paying the full mortgage amount and all associated costs. Additionally, they can also reinstate the loan by covering missed payments, late fees, and related legal fees within 90 days of the foreclosure notice.
Protections Against Deficiency Judgments
In cases where the sale of a foreclosed home doesn’t cover the outstanding loan amount, Illinois law provides certain protections for homeowners. While lenders can seek a deficiency judgment for the remaining balance, the state caps the amount they can recover. This provision helps to mitigate the financial burden on homeowners who are already grappling with the loss of their property.
Steering Through The Storm
Homeownership challenges, especially foreclosures, can be daunting. Yet, in the heart of Illinois’ intricate legal maze, we can be a beacon of expertise and unwavering support. With our in-depth knowledge of state regulations and a genuine commitment to our clients, we ensure that every homeowner is adeptly represented and informed every step of the way.
Embarking On A Journey Of Resolution
The ordeal of a potential foreclosure is undoubtedly overwhelming. However, within the boundaries of Illinois’ structured legal framework, there’s hope for clarity, rights preservation, and possible resolution. If you or someone you know is facing such challenges, remember that you need not tread this path alone. Knowledgeable allies, familiar with every twist and turn of Illinois’ laws, can make a world of difference. Let Therman Law Offices, LTD be your trusted guide in this journey. Reach out to our Chicago foreclosure lawyer today, and together, we’ll chart a course toward understanding, resolution, and peace of mind.