Illinois Foreclosure Process

1 Reply | Atlanta, Georgia

Hello All.  I've purchased several foreclosures in NC through courthouse auctions, and I'm a RE Broker in NC.  However, due to family reasons, I'm looking in Southern Illinois and Missouri for my next foreclosure flip.  I know the law in NC very well, and can do my own title research here, but Illinois is different animal.  

I'll start with a few questions, but welcome any advice the community can give about Illinois or Missouri foreclosure auction sales.

  1.   When you win the auction, pay your deposit, and then the remainder the next day, how long does it typically take to gain possession of the property?
  2.   Are there any title pitfalls?  In NC, all liens (except IRS, environmental liens, etc) are wiped out.  So in NC you don't have to worry about second mortgages or other debts of the borrower.  In Illinois or Missouri, are secondary mortgages and other liens wiped out at auction?
  3.   What are some things to be aware of when buying a property at foreclosure auction in Illinois or Missouri? 
  4.  It seems that a lot of properties revert to the bank, and not to cash buyers. Is there a reason for that?  

Thank you in advance!

Updated almost 2 years ago

Another question: In NC you can search Register of Deeds for every county for free and online. In Illinois/Missouri, do you have to go the courthouse or can you do it online/free?

In Illinois it pays to find out if any municipal or utility liens are not being expunged. Occasionally they are "overlooked" by the courthouse.

If the property is vacant you should get immediate possession. If you have the former tenants or squatters in possession you must do an eviction.

In Illinois the banks show up and bid their lien interest. So the banks buy a lot of their own inventory. Outbid the bank and the property is yours. 

Good Luck and Good Investing