Judicial Sale
A property that is beeing sold @ a judicial sale can an Investor purchase it as a pre-foreclosure and flip it to another investor?
A property that is beeing sold @ a judicial sale can an Investor purchase it as a pre-foreclosure and flip it to another investor?
Question: A property that is beeing sold @ a judicial sale can an Investor purchase it as a pre-foreclosure and flip it to another investor?
Answer: If the subject property is purchased prior to the judicial sale then the answer is yes, but if you attempt to purchase after the judicial sale the answer would be no as the borrower has no rights of redemption after the foreclosure sale.
Illinois Foreclosure Law Summary
Judicial Foreclosure Available: Yes
- Non-Judicial Foreclosure Available: No
- Primary Security Instrument: Mortgage
- Timeline: Typically 210 days
- Right of Redemption: No
- Deficiency Judgments Allowed: Yes Lenders in Illinois have a number of options available to them to foreclose on a mortgage in default.
Judicial Foreclosure -A notice of the lenders intent to foreclose must be given to the borrower, and any other person entitled by Illinois statutes to receive notice, at least thirty (30) days prior to the courts judgment of foreclosure.
If the court finds in favor of the lender and issues a notice of sale, the sale will be conducted on the terms and conditions specified in the notice of sale, provided they meet the minimum standards provided in the Illinois Statutes.
The sheriff or any judge within the county where the property is located may conduct the sale.
The borrower has no rights of redemption after the foreclosure sale.
Deed in Lieu of Foreclosure - If the borrower has defaulted on the mortgage and the lender agrees, the borrower may simply give the deed to the lender and his interests in the property securing the deed will be terminated. If the lender agrees and accepts the deed, they may not seek to obtain a deficiency judgment against the borrower at any time afterward.
Consent Foreclosure - In this type of foreclosure, the court enters a judgment satisfying the mortgage by giving absolute title to the property secured by the mortgage to the lender. The borrower has no rights of redemption after this type of foreclosure judgment has been rendered and the lender may not file for a deficiency judgment.
Lenders may also foreclose on a mortgage in default by using the common law strict foreclosure method, but Illinois law does not permit non-judicial power of sale foreclosures.
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John Michael I don't know what to say except thank you very much I was not expecting an answer like that. Thanks again and enjoy your day my friend!