When people go through tough financial times, some may find it necessary to sell what they own for far less than those assets are worth. When a property is sold for a price that is less than the amount remaining on the mortgage, the transaction is known as a short sale. If you need assistance with a short sale, reach out to a Lake County, IL real estate lawyer today.
At Newland & Newland, LLP, we have decades of legal experience, having helped multiple clients with loan modifications, foreclosure defense, and other sensitive issues. We will advise you of…
Continue Reading Understanding a Short Sale in Illinois

Increasingly, multiple generations of Illinois families are living under one roof. Parents, adult children, and even grandparents are combining households for financial, cultural, or caregiving reasons, but in some cases, this can have devastating consequences. Parents may add adult children or grandchildren to the deed, but how that is done is crucial. In fact, how the deed is titled may well become one of the most important estate planning decisions you will ever make if multiple generations live in your home.
Whether your home is held as tenants in common (TIC) or as joint tenants with right of survivorship can…
Continue Reading TIC vs. Joint Tenancy in Illinois Multi-Generational Homes

Unfortunately, many Illinois senior citizens have been steered into high-cost mortgages, unfair refinancing deals, or home equity loans they could never realistically repay. Many of these “deals” were cloaked under terms like “no-risk refinancing,” “quick cash-outs,” or “affordable loans.” What these seniors may have ended up with is high-interest mortgages, hidden fees, and monthly payments they could never sustain on a fixed income.
When foreclosure notices begin arriving, most of these senior homeowners blame themselves, unaware they may be victims of unlawful, predatory lending practices. Illinois law offers robust protections for seniors who were misled, exploited, or are victims of…
Continue Reading Predatory Lending to Seniors as an Illinois Foreclosure Defense

For Illinois homebuyers, a bargain price on a fixer-upper can look tempting – until they learn what “as-is” really means. Illinois sellers may assume that labeling a property as-is allows them to walk away clean with no worries about disclosure. It is important for sellers and buyers alike to have a full understanding of what “as-is” really means, and to involve a real estate lawyer in any transactions.
Buyers could inherit costly problems in an as-is sale, while sellers must understand that labeling a property “as-is” does not erase the duty to be honest about known defects. Whether you are…
Continue Reading Hidden Defects in Illinois "As-Is" Home Sales Can Backfire

Many Illinois homeowners believe that once their home has been foreclosed on and sold, they no longer have any financial obligations related to the home. Unfortunately, that is not always the case. Under Illinois law, mortgage lenders may pursue a deficiency judgment. This is a court order requiring the borrower to pay the remaining balance if the foreclosure sale does not cover the full amount of the mortgage debt.
Whether or not a bank can or will sue depends on the type of foreclosure, the sale price, and how the judgment was entered. A Round Lake, IL foreclosure defense attorney…
Continue Reading Illinois Foreclosure Deficiency Judgments Explained

Suppose someone died in the house you are about to buy, or that it was once the hideout for a notorious criminal. Or, what if the house is allegedly haunted, or there was a violent crime that occurred in the house? Would you want to know these things? Would you feel as though you were entitled to know? Under the Illinois Residential Real Property Disclosure Act (765 ILCS 77), only physical defects and material conditions must be disclosed to buyers.
Under the Illinois Real Estate License Act (225 ILCS 454/), brokers are required to be honest,…
Continue Reading Illinois Real Estate: Stigmatized Property Law

Foreclosure may sound like a problem only for the homeowner. Unfortunately, that is not always the reality. If you are renting a home, and your landlord’s property goes into foreclosure while you are living there, you may be left with nothing but questions. Can you be forced to leave your home? Are you still required to pay rent? Is your landlord the bank, the buyer, or is there still a landlord?
An Illinois foreclosure can be disruptive, to say the least. That said, there are certain protections in the state provided to tenants to keep them from being blindsided by…
Continue Reading Do Illinois Renters Have Rights During Foreclosure?

Illinois sellers may believe they have done everything right: they prepped their home for sale, ordered a home inspection, and made cosmetic upgrades. Now they are ready for showings and negotiating offers, yet many sellers in the state are unaware that they may have overlooked obligations involving radon. Radon is a naturally occurring radioactive gas associated with significant health risks, and it is something that neither buyers nor sellers may be aware of during real estate transactions.
Home sellers in the state are legally obligated to disclose any known radon hazards to potential buyers. If the home seller is aware…
Continue Reading Radon Disclosure: A Legal Obligation That Surprises Sellers

In the wake of the 2008 housing crisis, it came to light that bank employees or third-party contractors had signed thousands of foreclosure affidavits and mortgage documents without reviewing them. In turn, this led to wrongful foreclosures across the country. While some safeguards were put into place following this dark time, some Illinois homeowners may still face foreclosure cases built on questionable paperwork.
Knowing how to spot and challenge robo-signed documents can make all the difference between losing a home to foreclosure and keeping it. If you are facing foreclosure in Illinois, you should never assume the bank’s paperwork is…
Continue Reading Can Robo-Signed Documents Provide a Foreclosure Defense?

As a result of the current housing crisis, tiny homes are gaining popularity, despite their size (the average tiny home is about 10 times smaller than the average home). While tiny homes are certainly more affordable, with the average price at $67,000, they cost 38 percent more per square foot than full-sized homes. Almost three-fourths of tiny homeowners have no mortgage, as compared to only 29 percent of traditional homeowners with no mortgage.
The national average cost of a conventional home is $272,000. A 30-year loan at 4.25 percent interest brings the cost of that home to $481,704, which is…
Continue Reading How Illinois Treats Tiny Homes in Real Estate Deals

If you have never purchased property in a big city, you may not have heard the terms “air rights” or “vertical development.” However, in dense areas like Chicago and New York, these terms are familiar to all real estate buyers and developers. Even if you are familiar with air rights, you may not think these rights have anything to do with residential real estate.
This is where you might be wrong. Property values in crowded cities depend on more than square footage – they can also hinge on what is above your roofline. Air rights encompass the ability to use…
Continue Reading Do You Own the Sky? Air Rights and Real Estate in Illinois

Increasingly, older Americans are choosing reverse mortgages, typically to supplement fixed incomes from Social Security or pensions that are insufficient to cover basic expenses. A reverse mortgage allows elderly homeowners to tap into the equity built up in their homes while remaining in their homes. Reverse mortgages are often used to pay for home repairs, improvements, and maintenance, or to cover substantial medical expenses.
Reverse mortgages can be complex and expensive when all the fees are taken into account. The loan becomes due when the borrower dies, sells the home, or permanently relocates. If the borrower dies, the heirs will…
Continue Reading Can Foreclosure Affect an Illinois Reverse Mortgage?

Real estate closing day should be a celebration – the final step in buying or selling your Illinois home. Unfortunately, many find this day less than celebratory, as they are forced to engage in a last-minute scramble when unexpected issues arise.  
According to the National Association of REALTORS, approximately 6 percent of contracts are terminated during closing, 14 percent of closings are delayed, and of those delayed, half are due to appraisal issues. Having a problem at closing can ruin your day and possibly even your real estate deal.
From title issues to missing documents, unexpected repair problems, or…
Continue Reading Closing Day Disasters: Avoiding Illinois Real Estate Surprises