Receive Chicago Foreclosures Daily via Email

Just click the sign up button on the right and once you set up a search we will set you up to receive properties the day they hit the market.

Stages of Forclosure

Pre-Foreclosure (short sale): There are some fantastic opportunities to purchase properties under market value prior to them going into foreclosure. A home owner that is headed into foreclosure may elect to sell the property prior to the bank or government forcing the issue.

Sounds like a good idea but what happens if similar homes in the area are selling for $200,000 and the seller owes $275,000 to the bank to clear the mortgage? A short sale is where the home owner gets the bank to forgive part of the mortgage in order to enable the sale to go through. 

Why would the bank do this? It costs them a lot of money to sell a home through the foreclosure process. If they believe that the homeowner will default on the mortgage anyway and it makes financial sense the bank will proceed with a short sale. We can help you navigate this process. If you have questions please call us at 708-434-1165.

Auction: The next stage of a foreclosure is an auction. The bank does not own the property but it is forcing the property to be sold so that it can recoup some of the money that they are owed. There are some additional challenges to buying real estate this way. 

The first is that here in the Chicago land area they require 25% of the total purchase price at the auction followed by the rest within 72 hours (or something close to this).  So really you need cash to buy these homes. 

The second issue is that the buyer is responsible for all liens (past taxes, mechanics liens, code violations, etc) associated with the property whether they are disclosed or not.  Additionally and more importantly if the property is occupied then the responsibility to evict lies with the new owner.  Because of the way the laws are written this process can take a year or longer in cases when the squatter knows how to plays the eviction game in court to his or her advantage.

Foreclosure (bank owned, REO): If the property does not sell at auction then the bank takes possession.  They evict anyone living in the property. They clean up outstanding liens and they put the home on the market looking to sell it quickly (30-45 days). The bank does not want to be a landlord.  They want to unload the home so they price it to sell. Of the 3 stages I have listed this is probably the easiest one for the average buyer to complete a purchase.

Newest Real Estate Listings

901 Francisco Avenue, Chicago Illinois 60622

$749,000

901 Francisco Avenue, Chicago

Stunning money maker in the heart of exciting Humboldt Park/West Town, around the corner from the Clipper and Rootstock. It is loaded with exposed brick, vintage woodwork...

  • Beds
  • Baths
  • MLS 08758505

324 80Th Street, Chicago Illinois 60619

$365,000

324 80Th Street, Chicago

Great income property. Fully leased. New porch one year old.New boiler. Newer windows. Hardwood floors in each unit. Nothing to repair. Owner has taken pride in ownershi...

  • Beds
  • Baths
  • MLS 08739176

8033 Maryland Avenue, Chicago Illinois 60619

$425,000

8033 Maryland Avenue, Chicago

None

  • Beds
  • Baths
  • MLS 08519606

4265 Mobile Avenue, Chicago Illinois 60634

$275,000

4265 Mobile Avenue, Chicago

Value Is In The Land. Lot 64 X 150. Excellent Opportunity To Live In, Rent Or Tear Down And Build Your Dream Home. There Are Two Buildings And 4 Car Garage With Side Dri...

  • Beds
  • Baths
  • MLS 08758428

1624-28 Lawrence Avenue, Chicago Illinois 60640

$595,000

1624-28 Lawrence Avenue, Chicago

hot Lincoln Square /Ravenswood ---potential redevelopment site - bring your ideas- down the street from the new Marianos and new Metra Station- Lawrence streetscape al...

  • Beds
  • Baths
  • MLS 08757822

$5,000

6339 Winchester Avenue, Chicago

Near Lindblom Math and Science Academy! Must be sold together with 6343 S WINCHESTER AVE, PIN 20192010210000. Lot size and taxes include both parcels. Seller does not pro...

  • Beds
  • Baths
  • MLS 08757660

1250 Lasalle Street Unit 613, Chicago Illinois 60610

$414,000

1250 Lasalle Street Unit 613, Chicago

Must Love Outdoor Space! Unbeatable location on this 2bed/2bath Corner unit that comes with an extremely rare 3,000+ private deck! The uses are endless on this outdoor sp...

  • Beds 2
  • Baths 2.0
  • MLS 08758597
  • Bldg. Gallery 1250

3924 Oakley Street Unit 1, Chicago Illinois 60618

$319,000

3924 Oakley Street Unit 1, Chicago

None

  • Beds 3
  • Baths 1.0
  • MLS 08758593
  • Bldg. St Bens

2830 South Komensky Avenue, Chicago Illinois 60623

$95,000

2830 South Komensky Avenue, Chicago

Great opportunity to own a great home at a Great price !!! ready for some ideas very spacious for a large falily

  • Beds 4
  • Baths 2.0
  • MLS 08758590

525 46Th Place, Chicago Illinois 60609

$349,000

525 46Th Place, Chicago

All New...Gorgeous/Bright conversion of multi unit building turned into an AMAZING single family home. Everything is Brand New - no details missed. Master B/R nice size w...

  • Beds 4
  • Baths 3.1
  • MLS 08758589

8507 Dorchester Avenue, Chicago Illinois 60619

$189,900

8507 Dorchester Avenue, Chicago

Outstanding Rehab on this 2 story Georgian located in Pristine Marynook. New windows, plumbing, electrical, central air, furnace. Stainless steel appliances with granite ...

  • Beds 3
  • Baths 1.1
  • MLS 08758581

3925 Sayre Avenue, Chicago Illinois 60634

$284,800

3925 Sayre Avenue, Chicago

WOW-Beautifully remodeled 3BR/2BA Ranch on an OVERSIZED LOT w/new 2.5 Car Garage! 1st Flr: New Kitchen-granite counters, Breakfast Bar & Eating area, SS Appls, Hrdwd Flrs...

  • Beds 3
  • Baths 2.0
  • MLS 08758574

1928 Kedzie Avenue Unit 404, Chicago Illinois 60647

$225,000

1928 Kedzie Avenue Unit 404, Chicago

Elegant and Modern 2br, 2ba high floor unit in Logan Square. New paint, re-finished hdwd floors in main living area, fire place, in-unit w/d, double vanity sink in master...

  • Beds 2
  • Baths 2.0
  • MLS 08758571

3103 Polk Street, Chicago Illinois 60612

$95,000

3103 Polk Street, Chicago

Property sold "AS IS" Condition. No Survey or Disclosures. Proof of Funding/Pre Approval must accompany all offers Earnest money must be in Certified Funds. Buyer Respons...

  • Beds 9
  • Baths 6.0
  • MLS 08758564

6007 Sheridan Road Unit 18D, Chicago Illinois 60660

$189,999

6007 Sheridan Road Unit 18D, Chicago

2 BEDROOM, 2 BATH. New paint/Carpet - 40 foot Balcony. Full Amenity Bldg. North and East views. Garage Parking Available. Month to Month Rental available.List Broker/Sell...

  • Beds 2
  • Baths 2.0
  • MLS 08758562
  • Bldg. Malibu

Free Daily Email Updates

  • Automated home searches
  • Favorite properties
  • Email updates
  • And much more…