Law  Office  of  Theresa  Panzica  LLC
  • Home
  • About Us
  • Services
  • Blog
  • Testimonials
  • Contact Us

New  ways  to  charge  a  purchaser  of  a  foreclosed   condominium  unit  may  be  coming soon.   

7/3/2014

1 Comment

 
Picture
Purchasing a foreclosure or REO property soon? New ways to charge a prospective purchaser of a foreclosed condominium unit may be coming soon.

Dear Realtors and Illinois Residents:
If you, your clients, or client base are thinking of buying a foreclosed condominium from a bank, contact our Governor today and tell him to send back Senate Bill 2664 for rewrite to have the banks pay for past due assessments, not the buyer for a foreclosed condominium or to leave the existing statutory language.

Here is the link with information on how to contact the Governor: http://www2.illinois.gov/gov/Pages/ContacttheGovernor.aspx

Senate Bill 2664 allows the following:

     1.  Associations can charge a Buyer of a foreclosed condominium for any amount, as long as the amount is not more than 9 months of regular assessments (the regular assessment rate is the regular assessment rate during the 9 months before the foreclosure, not the regular assessment rate at the time the buyer of a foreclosed condominium purchases the unit, which sometimes is more).    

     2.  The Association does not have to attempt to recover assessments via collection action against the foreclosed upon owner to collect from a Buyer of a foreclosed condominium. 

     3.   The Buyer of the foreclosed condominium has to pay item 1 above, even if the foreclosed upon owner was current on assessments or repaid delinquent assessments, fines, or fees later.  This means that if the Association does recover assessments via collection action against the foreclosed upon owner, they can still charge item 1 above to Buyer of a foreclosed condominium.  Therefore, the Association could theoretically be paid double the amount owed, once from the foreclosed upon owner, and once from the Buyer of the foreclosed condominium. 

The current statute allows Associations to charge 6 months of the condominiums share of common expenses (in practice, most associations only charged 6 months of assessments, not common expenses) to the Buyer of the foreclosed condominium only if the Association filed a collection action in order to charge the Buyer of a foreclosed condominium.  Further, the Buyer of a foreclosed condominium did not have to pay any amount if the foreclosed upon owner paid their outstanding assessments.  With this current statute, there were many ways to avoid a Buyer of a foreclosed condominium from paying anything to the Association at closing (If the new Bill passes, there will be many abuses and double billing by Associations.).

Instead, the current statute should be kept that allows Buyers of foreclosed condominiums to pay Associations if and when needed, or if automatic payment to Association is desired, pass it on to the foreclosing bank, not the buyer of the foreclosed condominium.

Please contact the Governor today, here is the link again: http://www2.illinois.gov/gov/Pages/ContacttheGovernor.aspx

Contact:
Law Office of Theresa L. Panzica
2510 W. Irving Park Rd, Suite A
Chicago, IL 60618
theresalpanzica@aol.com
www.panzicalawoffice.com
(773) 539-5970

1 Comment
James link
12/29/2020 03:21:59 pm

God bless

Reply



Leave a Reply.

    Archives

    March 2021
    May 2020
    February 2020
    January 2020
    December 2019
    November 2019
    October 2019
    September 2019
    August 2019
    July 2019
    June 2019
    May 2019
    April 2019
    March 2019
    February 2019
    January 2019
    December 2018
    November 2018
    October 2018
    August 2018
    July 2018
    May 2018
    April 2018
    February 2018
    January 2018
    December 2017
    November 2017
    October 2017
    September 2017
    August 2017
    July 2017
    June 2017
    May 2017
    April 2017
    March 2017
    February 2017
    January 2017
    December 2016
    November 2016
    October 2016
    July 2016
    May 2016
    April 2016
    March 2016
    February 2016
    January 2016
    December 2015
    November 2015
    October 2015
    September 2015
    August 2015
    July 2015
    June 2015
    May 2015
    March 2015
    February 2015
    January 2015
    October 2014
    July 2014

    Categories

    All

    RSS Feed

ATTORNEY ADVERTISING: This Blog/Website is made available by the lawyer or law firm publisher for educations purposes only as well as to give you general information and a general understanding of the law, not to provide specific legal advice. By using this blog site you understand that there is no attorney client relationship between you and the Blog/Website publisher. The Blog/Website should not be used as a substitute for competent legal advice from a licensed professional attorney in your state.                                                                                                                                                                                                                                    © panzicalawoffice.com

Law Office of Theresa Panzica, LLC               2510 W. Irving Park Road, Unit A, Chicago, IL 60618                         (773) 267 6630
Representation of Buyers and Sellers in purchases, sales, and short sales, condominium conversions and new construction projects, condominium associations. Business entity formation, maintenence, dissolution. Wills, Trusts, Estates.          
  • Home
  • About Us
  • Services
  • Blog
  • Testimonials
  • Contact Us