Foreclosure in Chicago>Question Details

Susan, Home Buyer in Chicago, IL

Can a foreclosed property be placed on the market before the court proceeding are completed ? Can the previous owner get their back?

Asked by Susan, Chicago, IL Thu Dec 3, 2009

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6
The courts can rarely stop you from selling your home! I have heard of certain instances where the home owner had a property with many liens and violations attached to it, and the judge wanted certain things to be completed/rehabbed before selling.

But I have never heard of a judge denying a home owner the right to sell their property while court proceedings were taking place! Always be careful how you market your home. Always be straight forward with your buyers and agents, and let them no what is taking place with your property.

The worst thing that you can do it to create an enemy during these times. Most people want to know if the property that they are buying is in foreclosure or not, BEFORE THEY GIVE YOU MONEY!
0 votes Thank Flag Link Tue Dec 8, 2009
Yes, a property can be placed on the market before the court proceedings acre complete. They are complete when the sheriff's sale takes place. Until then, you still own the property. Keep in mind however, that you are probably a short sale before the proceedings are complete. The bank may not approve a short sale determining that a sale would be easier once they own the house after the court proceedings are finished and the foreclosure is done.

After the sheriff's sale, you can get the house back. You have 30 days. This is called the redemption period. Once the redemption period ends, you no longer have any legal rights attached to the property. It is 100% the banks.

Good luck.
Web Reference: http://www.teamstittgen.com
0 votes Thank Flag Link Thu Dec 3, 2009
Only the person/entity that holds legal title can put the property on the market. The foreclosure process can take a year or so during that time the legal owner can try to sell via a 'short sale', but the bank would have to agree to it.
Once a property is sold and title changes hands, the past owner is out of luck, unless the sale is a 'tax sale' by the County. THEN the owner has the right to redeem the property by paying back the taxes plus interest within a specific time frame.

philip
0 votes Thank Flag Link Thu Dec 3, 2009
Hi Susan,

The short answer to your first question is yes. It will depend on how far along you are in the foreclosure timeline, timing is EVERYTHING.

Answer to second question is no and neither can an immediate family member. Also, if you're looking to make money on the deal, it will depend on how much you owe vs what the market value is (what you can sell it for).

Hope this helps.

Evelyn S. Fred
773-981-2005
0 votes Thank Flag Link Thu Dec 3, 2009
If the seller signs a contact to sell the property and the mortgage is paid in full then then their is no way the previous owner can get the house back.
0 votes Thank Flag Link Thu Dec 3, 2009
To answer your first question, I would need a little more information. Do you mean it was placed on the market before the auction date or that it was placed on the market after the auction date but before the sale was affirmed? An attorney would probably be best to answer this question.
With regard to your second question, the previous owner does have a "right of redemption" and so, yes, they can get their property back. Usually, however, the Homeowner will have to pay cash to reinstate the mortgage. The redemption period varies from state to state. I believe in IL it is at least 6 months, but again, you should consult with an attorney.

Hope this helps!
Danielle Pierce
773.551.4769
0 votes Thank Flag Link Thu Dec 3, 2009
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