Legal Question in Real Estate Law in Illinois

our house is foreclosed and was sold out for the amount lesser than what we owed are we still liable to pay the diffrence?

Asked on 9/24/13, 1:20 pm

1 Answer from Attorneys

Henry Repay Law Offices of Henry Repay

Generally, yes, but there are cases in which lenders do not take a deficiency judgment. You will need to examine the court file or have an attorney do so.

For many, if there is a deficiency, it means filing bankruptcy to eliminate the debt and get a fresh start. The scope of this space does not afford an opportunity to assess the situation and advise you. I recommend you assemble for legal consultation: (1) your income information for April 2013 through the present, including wages and unemployment during that period; (2) all your bills (copies neatly assembled, back pages included); (3) last four years’ tax returns; (4) a credit report (use to obtain free report if not requested in last year); and (5) other information that may apply, such as copies of lawsuits. Call at your earliest convenience to afford the most opportunity in which to be advised about your best course. You are not required to use an attorney in your area.

Please do not dismiss the bankruptcy idea now without exploring it, only to find yourself having to go that route months or years later after having tapped into all your assets. In particular, avoid borrowing against retirement accounts, life insurance, etc.

I do not recommend filing bankruptcy on your own. There are too many complex issues. I have seen several posts on this site for debtors who filed on their own and are seeking counsel concerning complications. Most of them will have a hard time finding an attorney to get involved to unwind the mess without the attorney charging several times what would originally have been paid.

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Answered on 9/24/13, 1:41 pm

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