Dealing with foreclosure due to sudden financial challenges can feel overwhelming, but taking early action by communicating directly with your lender is always the best first step. Having a clear understanding of what happens during the foreclosure process can empower Chicago homeowners to navigate these difficult circumstances with greater clarity. Read on as we provide a straightforward breakdown of what to expect when facing foreclosure, explained in simple, no-nonsense terms.
Default
Most mortgage lenders recognize that Chicago homeowners sometimes face temporary financial setbacks, and they typically provide grace periods in these situations. However, once you’ve missed multiple payments with no clear resolution in sight, expect your lender to contact you repeatedly throughout the foreclosure process, attempting to establish payment arrangements that could prevent further legal actions.
Notice of Default
As the foreclosure process begins, Chicago homeowners will receive an official notice of default from their lender, which provides a 90-day window to address and resolve the outstanding debt.
Mortgage Reinstatement
Chicago homeowners who have entered foreclosure but manage to catch up on all missed payments—including accumulated interest and penalty fees—can stop the process at this stage by working with their lender to reinstate the mortgage and return to their regular payment schedule.
Notice of Sale
If the 90-day period passes after receiving the notice of default, Chicago homeowners will then face a notice of sale during the foreclosure process. Within 21 days following this notice, the lender (acting as trustee) will schedule the property for public auction.
Auction
The final step in the foreclosure process for Chicago homeowners is the auction, where successful bidders must pay for the property immediately. If the home fails to sell, it becomes an REO (real estate owned) property, reverting back to the lender. If you’re still residing in the home, expect the new owner to initiate eviction proceedings. With REO properties, some lenders offer “cash for keys” programs to help facilitate your move and regain possession of the property more efficiently.
Another Option
Chicago homeowners facing foreclosure have a better alternative: selling directly to local, bilingual professionals like CVG Properties LLC. We’ll honestly explain what you might earn through a traditional listing, including the average time homes sit on the Chicago market. Then, our team at CVG Properties LLC will provide a clear breakdown of our cash offer numbers, which we strive to make completely fair and transparent. Plus, we can guarantee a closing date, often within just days. At CVG Properties LLC, we approach every transaction with complete honesty for two important reasons: we want you to make the best decision for your specific circumstances, and as your neighbors here in Chicago—living and working in the same community—we want you to feel confident about your choice long after closing.
CVG Properties LLC
A direct sale to CVG Properties LLC can be transformative for Chicago homeowners facing foreclosure or struggling with city code violations. Our mission is to save you both time and stress during this challenging period. Selling directly means zero commissions, no closing costs, and absolutely no hidden fees—we pride ourselves on complete transparency and a pressure-free approach. As Chicago’s only truly bilingual cash home buyer, we purchase properties as-is throughout Chicago, which means you can avoid the hassle and expense of repairs, cleaning, or property preparation. We’ll even assist with moving arrangements before closing, supporting you every step of the way. When working with CVG Properties LLC, you choose your preferred closing date—we’ll adapt to your timeline. Call CVG Properties LLC at 312-625-6506.