What is the process for initiating an HOA foreclosure?

In Illinois, the process for initiating an HOA foreclosure is relatively straightforward. First, the Homeowners Association (HOA) must provide written notice to the homeowner in default of their obligations to the HOA. This notice must include the amount of the overdue payment, a warning that the HOA intends to foreclose, and the date by which the payment must be made. The HOA must also provide the homeowner with an opportunity to cure the delinquency by making the payment. If the homeowner fails to make the payment by the deadline, then the HOA may proceed with the foreclosure. The HOA must then file a lien on the property and submit a foreclosure lawsuit in the circuit court. The court will then issue an order allowing the foreclosure to proceed. The HOA must then serve a copy of the order and the complaint to the homeowner and post a notice of the foreclosure in a public place. Finally, the HOA may advertise the foreclosure sale in the newspaper and hold a public sale to sell the property. The home must then be sold to the highest bidder, and the proceeds of the sale are used to pay off the amount owed to the HOA. If there are any remaining funds, they are given to the homeowner. However, if the funds are insufficient to cover the amount due, the HOA can pursue a deficiency judgment against the homeowner for the rest of the amount owed.

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What is the process for initiating an HOA foreclosure?

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