Uploaded on Mar 3, 2010
http://Lakelaw.com - (847) 249-9100 - When facing foreclosure in Illinois, you can stay in your home for close to a year. Hear David Leibowitz, Illinois mortgage defense attorney tell you what you can do right now to help you defend a mortgage foreclosure in Illinois.
Hi - I'm David Leibowitz. I'm a lawyer. I help people with foreclosures, especially in Illinois. A lot of people think that I know something about this. I hope you think so, too.
Anyway, people ask me, "How long can I stay in my house?" It's the first question they have, and it's a good question, too. People have mortgage foreclosures filed against them, and they think that they're going to be thrown out in the street immediately.It's not true.
The first thing that happens when you don't pay your mortgage payments is that you'll get a notice, and after a while you'll get a demand. After a while, you'll be told that if you don't pay right away, you will find that the mortgage and the note are accelerated. That means the whole amount is due, not just the amount that you're behind, maybe two, maybe three, maybe four months. After a while, that will trigger a demand for payment.
When you get that demand, you may get another letter. As a matter of fact, in Illinois, you have to get another letter, which says that if you are in trouble, you can write to a certain place, you can inquire of a certain place, and you can get a 60-day delay. In that 60-day delay, you can try to work something out. You can learn something about maybe getting a mortgage modification.
That 60 days is important, so write to them. Say you would like to take advantage of the mitigation programs and maybe take advantage of that 60-day delay. Then get ready, because 60 days later you probably will get sued in a mortgage foreclosure complaint.
The first thing that I think you should do is to see whether you can get the mortgage modified. You've heard about Home Affordable mortgage program, mortgage modification. To get one of these, you do have to apply. There are government programs for it.
You can look at the Department of Housing and Urban Development's website, www.hud.gov, and you'll be able to click on the state of Illinois and find local companies in your neighborhood that can help you, free of charge, in working through the loan modification process. I suggest you take a look at that.
The next thing that you can do is you could ask for a current accounting of your loan. That's called a qualified written request. You make that to the mortgage servicer, the people that you send your money to. You send it to them, and you ask them to please send you that current record of your entire loan history. It's a qualified written request. You're entitled to that, so make sure they do it.
In the meantime, you or someone that you trust, preferably a good lawyer -- maybe me, maybe someone like me -- should do what's called a forensic loan analysis. That means, let's take a look at all the papers that you got in the envelope that you got at your closing, to see whether there's any violations of the Truth in Lending Act, or any other act which you can use in order to help you defend yourself.
You'd be surprised. There are a lot of things that you could say to defend yourself against a mortgage foreclosure. Bear in mind that this is in the first month or so after you get served with the mortgage foreclosure.
You still will be in your house at least seven months, because no one can get a foreclosure sale against you for seven months, at least. There's that period of redemption in Illinois, which means the time that you can pay that mortgage off in full for a house that you live in, seven months. So you can be sure that you'll have at least seven months from the time the case was filed before you could be thrown out.
Not only that, but if it's longer, you get three more months after the judgment of foreclosure and sale is entered. Seven months from the date of commencement, or three months from the date of foreclosure, whichever is better to be able to do your redemption.
If you're going to do something to help yourself, in, maybe, a bankruptcy case, you have to do it before the foreclosure sale. You could file a Chapter 13 in bankruptcy, and maybe be able to protect yourself, but you've got to do it before the foreclosure sale happens.
You, therefore, could be in your house at least a year, and maybe longer than that if you're defending a case in a mortgage foreclosure in Illinois.
I hope this is helpful. There's a lot of information on my website, www.lakelaw.com. If you have any issues about it, or questions, don't hesitate to get in touch with us by email or otherwise at 1-866-LAKELAW. That's our phone number, or, my name, dleibowitz, David Leibowitz, @lakelaw.com.