Forclosure In Illinois Redemption Period?
After someone is forclosed, and there is an auction of their property in Illinois. Then what happens? Does this person get their deed? Does the person whose house was just auctioned have any time to still come up with money and get it back? I've heard of people who bought a property at an auction and took possession and 1 year later or so the people came back and said give us our house back. Thanks in advance for your replies.
In Illinois the owner has no right of redemption after the auction. People may come back after a year and say whatever they want to you, but it is technically not possible for them to have any rights at that point. After the auction the sale gets confirmed by the judge, so if it sails past the confirmation, there is no way back.
There is one exception to the rule:
If the homeowner owes $100k for the property, then the bank bids less at the foreclosure sale(let's say $80k), and the property sells at the auction below the original judgment amount. If that is the case, the homeowner has 30 days to pay that amount that the bank bid at the sale and redeem the property. In practice though, it can really never happen for various reasons.
Oh, and to clarify the auction process:
You bid at the auction, win it, pay the full amount in cash, get a receipt. Then the case goes back to court in front of the judge for approval. The judge will make sure that all the due process was followed in the foreclosure auction(i.e. all the parties were served, etc.), and if there are no problems, will confirm the sale. Upon confirmation, the entity that conducted the sale will issue you a special deed vesting absolute title in your name subject to real estate taxes, any senior liens, and IRS liens(which go away in 120 days).