DGAA bLAWg

Beware: The Illinois Rent-to-Own Law Has Changed

Web Admin - Friday, May 18, 2018
Schaumburg real estate attorney rent-to-own contractsWhen purchasing real estate property, most homeowners obtain a mortgage, which provides them with certain legal protections, including in the case of foreclosure. However, following the financial crash of 2008, many potential homeowners have purchased homes through installment contracts (also known as rent-to-own agreements), allowing them to live in their home and pay down the purchase price over time.

These types of agreements provide low-income homeowners or those who are unable to qualify for a mortgage with the ability to purchase their own home. However, since the seller retains the title of the home until all payments have been made, some predatory sellers may use rent-to-own agreements to take advantage of buyers, especially if they fail to disclose issues related to property maintenance or building code compliance.

Changes to Illinois Law Regarding Installment Contracts

On January 1, 2018, a new state law went into effect that is intended to provide buyers with protections in an installment sales contract (often referred to as an Installment Contract for Sale of Real Estate, Articles of Agreement for Deed, or Installment Agreement for Deed). The Illinois Installment Sales Contract Act applies to sellers who sell three or more residential real estate properties in a single year, and it does not apply to agricultural property that is larger than four acres. The law contains the following new provisions:

- A seller must record a contract with the county recorder of deeds within 10 days of the sale of the property. If the contract is not recorded, the buyer can rescind the contract, and the seller must provide them with a refund of all payments made.

- A contract must contain a statement in large, bold type that informs the buyer of their right to obtain a home inspection and/or appraisal from a third party before signing the contract.

- If a building on the property has been condemned, the contract must contain a statement in large, bold type informing the seller of this fact.

- A contract must include a statement of what repairs the buyer is responsible for making to the property. The seller is responsible for making any repairs not included in this statement.

- If a buyer defaults on any payments, they have 90 days to make payments and cure the default before the seller can bring any action against them. If a buyer cannot cure the default, the seller must refund them any money they spent to perform repairs on the property.

- If a buyer defaults after paying at least 20% of the property’s purchase price, the seller must follow foreclosure procedures in order to evict the buyer from the property.


Contact an Inverness Real Estate Attorney

If you are planning to use an installment contract to buy or sell a home, an experienced attorney can review your contract to ensure that your rights are protected and that the correct legal procedures are followed. To schedule a personalized consultation, contact a Mount Prospect real estate lawyer at 847-934-6000.

About the Author: Attorney Jay Andrew is a founding partner of Drost, Gilbert, Andrew & Apicella, LLC. He is a graduate of the University of Dayton School of Law and has been practicing in estate planning, probate, trust administration, real estate law, residential/ commercial leasing, contracts, and civil litigation. Since 2005, Jay has been a Chair of the Mock Trial Committee for the Annual Northwest Suburban Bar Association High School Mock Trial Invitation which serves over 240 local Illinois students each year.



Sources:
http://www.ilga.gov/legislation/ilcs/ilcs3.asp?ActID=3813&ChapterID=62
http://www.ilga.gov/legislation/publicacts/100/PDF/100-0416.pdf
https://www.isba.org/ibj/2017/10/lawpulse/newlawprotectsrealestatepurchaserswhobuy


Recent Posts


Tags

Landlord Tenant Ordinance Crystal Lake insurance lawyer Palatine corporate attorney Rolling Meadows business lawyer Long Grove wills and trusts attorneys Rolling Meadows insurance attorney preventing accidents employment contract estate plan Schaumburg personal injury attorney meal breaks llinois Real Estate Lawyers Association underfunded trust pain and suffering Federal Food Drug and Cosmetic Act involuntary manslaughter Chicago corporate attorney digital assets Deer Park medical malpractice attorney Mount Prospect elder law attorney Illinois medical malpractice attorney fatal car accidents Illinois insurance claim dispute lawyers Deer Park traffic accident attorney Crystal Lake business law attorneys Arlington Heights employment law attorneys insurance denials premises liability investment property Rolling Meadows corporate lawyer Buffalo Grove real estate attorney Barrington civil litigation attorney Rolling Meadows criminal attorney Schaumburg Attorney Chicago insurance law firm Barrington personal injury lawyer Colin H. Gilbert IRA benefits Rolling Meadows traffic law firm unpaid overtime medical malpractice Inverness DUI lawyer Des Plaines Traffic Lawyer traffic offenses Buffalo Grove injury lawyer Schaumburg car accident attorney corporate law Palatine business attorney Schaumburg Crystal Lake car accident lawyer Deer Park real estate law firm Schaumburg wrongful death attorney Barrington injury attorney most common reasons for life insurance claim denials institutional trustee Buffalo Grove medical malpractice lawyers Des Plaines DUI attorney estate planning Arlington Heights wills and trusts lawyer Illinois medical malpractice lawyers boating DUI Illinois real estate subcontractor forming a corporation in Illinois back injuries digital information food poisoning Barrington criminal lawyer Des Plaines collections attorney Buffalo Grove law firm Crystal Lake personal injury attorney probate lawyer Kenilworth estate planning attorney pedestrian injuries, pedestrian fatality in terrorem provision Rolling Meadows insurance dispute lawyers, insurance dispute Illinois corporate lawyer Illinois law controlled substance revenge porn Illinois lawyer Crystal Lake pedestrian accident lawyer Home Sale Contingencies healthcare Illinois wills and trusts Palatine injury attorney dealing with problem employees Inverness estate planning lawyer DUI Schaumburg personal injury lawyer Inverness personal injury attorney Deer Park employment law attorney Illinois insurance claims lawyers Retaliatory Discharge life insurance lawyer Arlington Heights insurance attorney Illinois Smoke Detector Act Illinois business law atorneys living trust benefits Palatine construction attorney Palatine employment attorney Schaumburg injury lawyer Des Plaines injury law firm distracted driving accidents Illinois jet ski accident lawyer sole proprietorship capital gains tax Schaumburg insurance lawyers child safety Family Medical Leave Act boating under the influence driving car crashes Chicago employment attorney Illinois estate planning modern family estate planning Illinois Workers’ Compensation Commission unauthorized overtime suspended license Crystal Lake medical malpractice attorneys Illinois estate planning law firm Chicago attorney real estate leasing insurance attorney contracts Crystal Lake employment lawyer Crystal Lake medical malpractice law firm nursing home negligence Arlington Heights estate planning attorney Self-Directed IRA Accounts Detainer Actions Illinois Human Rights Act insurance disputes, Illinois insurance disputes, Illinois insurance dispute attorneys, denied insurance claims, Arlington Heights insurance dispute attorneys Long Grove estate planning attorneys workers compensation benefits whistleblower protections Illinois employment law attorneys Rolling Meadows tax attorney Rolling Meadows employment law attorneys Illinois injury lawyer Crystal Lake employment law attorney Illinois small business internet crossover accidents Crystal Lake injury attorney Barrington life insurance lawyer Des Plaines insurance attorney drug possession construction contracts Schaumburg personal injury lawyers Arlington Heights personal injury attorney Schaumburg real estate lawyer Illinois pet lawyer traffic laws truck collisions wrongful termination Arlington Heights trucking lawyer insurance disputes Buffalo Grove personal injury lawyer real estate contract pedestrian-automobile accident Inverness traffic law firm life insurance claims texting and driving Illinois personal injury attorney Crystal Lake tax lawyer Mount Prospect wills and trusts lawyers liability Illinois DUI attorney LLCs spinal cord injury Illinois insurance claim attorney personal injury lawyer Employment Discrimination Law texting while driving employees denial of insurance claim license suspension coronavirus boating accidents natural gas Class A misdemeanor Rolling Meadows probate lawyer workplace sexual harassment Arlington Heights personal injury lawyer owner responsibility Illinois business lawyer Illinois traffic attorney power of attorney for healthcare medical malpractice claims Barrington attorney employee misclassification Illinois red light cameras denied insurance claim employee rights insufficient documentation Illinois employment attorneys Illinois Sales Representative Act Crystal Lake employment attorney DUI attorney criminal traffic violations defense civil litigation attorney real estate attorney Barrington estate planning attorney drunk driving murder defense estate tax Palatine punch death Illinois trucking safety Rolling Meadows car accident lawyers material misrepresentation ken apicella Buffalo Grove corporate attorney life insurance claim denial, denial of life insurance claim mass shooting Schaumburg estate planning lawyer Home Remodeling Repair Act auto accidents insurance claim denials Palatine workers compensation lawyer creditors Deer Park motorcycle accident lawyer Long Grove estate planning attorney Des Plaines criminal attorney construction accidents, personal injury, wrongful death, Arlington Heights personal injury attorneys, workers' compensation Arlington Heights traffic attorney employment contract, employment law, employment at-will, Deer Park employment law attorneys, contract, Palatine probate lawyer mortgage privacy products liability IRELA work unions healthcare claims Fair Labor Standards Act Illinois wills and trusts attorneys holiday statistics Illinois traffic laws Illinois medical malpractice claim Illinois insurance lawyer Rolling Meadows life insurance claim denial attorney blood alcohol content FSLA Rolling Meadows estate planning attorney swimming pools cell phone employment law, Illinois employment laws Des Plaines real estate attorney commercial real estate Illinois construction accident attorney clemency job lawyers college kids cell phone tower data Rolling Meadows criminal lawyer drugs Palatine estate planning lawyer Illinois collections attorney loopholes consent to a search Illinois bicycle safety life insurance policy fiduciary rule delay insurance dispute attorney changes to mortgage law Des Plaines real estate lawyer independent contractor Illinois driving without license natural gas explosion liability claims Buffalo Grove employment lawyer minimum wage Arlington Heights wills and trusts attorney estate planning, death tax, succession plans, business estate plans, Barrington estate planning lawyers Arlington Heights wills and trusts attorneys beneficiary complications overtime pay Illinois employment law attorney pet bites federal regulations for LLCs pedestrian accident expungement real estate lawyer Illinois medical malpractice case Crystal Lake will lawyer Schaumburg life insurance attorney DUI defense hands free device Long Grove real estate attorney dynasty trusts caretaker rights employment attorney slip and fall accidents Rolling Meadows traffic attorney Barrington estate planning lawyer Crystal Lake car accident attorney car accidents Illinois insurance dispute lawyers marijuana probate claims Arlington Heights employment attorney car accident lawyers appealing an insurance claim Chicago estate planning insurance agent negligence IRS Crystal Lake pet attorney Illinois motorcycle accident lawyer traumatic brain injuries no contest clauses Barrington boating accident attorney medical marijuana guardianship attorney traffic tickets Buffalo Grove traffic attorney advance healthcare directive insurance denial appeals distracted driving accident victims pizza emoji loss of consortium Buffalo Grove criminal defense lawyer Jay Andrew Palatine drug lawyer unfunded trust Barrington litigation attorney surgical mistakes condo association bike accident underage DUI Illinois employment lawyer Schaumburg employment law attorneys financial advisors Palatine employment law lawyer Illinois employee rights attorney. Illinois civil litigation lawyer business litigation Palatine Attorney jet ski accidents BAC Schaumburg criminal attorney vacation home medication errors new real estate form Palatine elder law attorney probate BAIID health insurance dispute Inverness probate lawyer motorcycle accident Des Plaines drug lawyer TBI ACA Rolling Meadows marijuana attorney wills insurance negligence blended families drug crimes lawyer Arlington Heights wills and trusts lawyers Illinois personal injury lawyers Arlington Heights car crash attorneys hiring employees Rolling Meadows personal injury lawyer estate planning lawyer icy parking lots Rolling Meadows Attorney Inverness real estate attorney problem employees preventable medical errors gift taxes deed transfer Mt Prospect Attorney commercial leases Crystal Lake personal injury lawyer Des Plaines civil attorney Chicago trucking accident attorney Rolling Meadows Illinois insurance disputes Illinois attorney real estate fiduciary rule Rolling Meadows boating crash lawyer Barrington business law firm Deer Park accident attorney Schaumburg elder law lawyer real estate attorneys personal injury claim personal injury accidents Illinois rollover accident lawyers speeding murder wrongful termination, employment law, whistleblower protections, Illinois employment laws, discrimination in the workplace privacy laws bicycle dooring accidents Illinois job attorney Buffalo Grove life insurance attorney real estate zoning senior citizens brain injury Joliet general practice lawyers unpaid assessment South Barrington real estate lawyer Food and Drug Administration's Food Safety Modernization Act Barrington workers compensation attorney Palatine civil litigation lawyer car accident lawyer DUI penalities Des Plaines claims law firm Rolling Meadows insurance dispute lawyers pet law overtime violations Inverness corporate attorney Inverness elder law lawyer BUI Illinois defective products attorney Inverness accident lawyer Rolling Meadows medical malpractice lawyers Palatine traffic accidents liens Schaumburg criminal law attorney bicycle accidents top life insurance claim denials Arlington Heights real estate lawyer defective products first degree murder Kenilworth estate planning lawyer workers comp Illinois employment laws Illinois living will trucking accidents Barrington criminal defense lawyer Crystal Lake medical malpractice lawyer license revocation Schaumburg civil litigation attorney Illinois speeding lawyer Illinois pedestrian accident attorney digital evidence denied insurance claims criminal law Illinois real estate lawyer Des Plaines Crystal Lake civil litigation lawyer Illinois personal injury Schaumburg estate attorney car collision Chicago lawyer Schaumburg drug defense lawyer Buffalo Grove traffic lawyers pay when paid contract Illinois boating accident lawyer employment law, meal breaks, rest breaks, hotel employees, Des Plaines employment law attorneys Palatine corporate law attorneys reckless homicide traffic crimes dram shop law uninsured motorist Illinois elder law attorney trustee elder abuse Illinois traffic attorneys foreclosed rental property right to work tax attorney Exclusions personal injury law firm manufacturing golf accidents car accident Rolling Meadows real estate attorney Illinois car accident attorney Des Plaines accident attorney Chicago will attorney Rolling Meadows accident lawyer Illinois workers compensation attorney anesthesia errors irrevocable trust probate process South Barrington real estate attorney POA insurance agents Schaumburg probate attorney Deer Park criminal attorney life insurance real estate closing Illinois workplace discrimination attorney Illinois Trust Code Illinois employment law breathalyzer test Crystal Lake law firm pedestrian accidents dog bites drug crimes Illinois workers compensation lawyer Arlington Heights Attorney wrongful death estate planning, digital assets, Revised Uniform Fiduciary Access to Digital Assets Act, Illinois digital assets, Illinois estate planning, Arlington Heights medical malpractice lawyer Barrington personal injury attorney Buffalo Grove car accident lawyer accidental death benefits Illinois mortgages Deer Park traffic lawyer Des Plaines pet law attorney operating agreements rent to own real estate contracts insurance dispute, insurance dispute lawyers, insurance claim denial, insurance claim delays, Rolling Meadows insurance dispute attorneys Deer Park DUI lawyer Des Plaines personal injury lawyers Chicago car accident lawyer Buffalo Grove insurance claim dispute lawyers Illinois insurance attorney landlord estate planning trusts Chicago biking tips elder law cause-of-death exclusions Schaumburg estate planning attorney Rolling Meadows drug defense attorney bad faith insurance claims employment law Arlington Heights TBI attorney Palatine real estate lawyer Arlington Heights injury attorney DGAA Arlington Heights car accident lawyer Illinois insurance claim dispute lawyer personal injury claims Palatine life insurance lawyer Buffalo Grove probate lawyer employee discrimination Illinois LLC creation commercial leasing insurance adjusters Rolling Meadows employment attorney Crystal lake insurance dispute attorney license Arlington Heights tax lawyer rest breaks agent jet ski head on collisions medical malpractice, missed diagnosis, delayed diagnosis, medical mistake, Deer Creek medical malpractice lawyers criminal defense Illinois will lawyer slip and fall medical malpractice compensation Transfer on Death Instrument DMV insurance claim dispute Illinois traffic ticket lawyer residential real estate fault based insurance Buffalo Grove personal injury attorney living wills Des Plaines drug crimes lawyer Rolling Meadows personal injury attorney FMLA Arlington Heights pedestrian accidents startup company drunk driving statistics personal injury, auto accident injuries, delayed injuries, serious injuries, Des Plaines personal injury attorneys probate claims process defective products lawyer motorcycle accident lawyer Crystal Lake estate planning lawyer Illinois wrongful termination lawyer deadly crashes federal crimes social media after death special needs trust how to avoid common denials of life insurance claims drug crime Chicago will attorney, social media platforms, Illinois estate planning lawyer, low-ball insurance settlement Crystal Lake bike accident lawyer DNR product liability insurance claim denial Attorney Ken Apicella trench injuries rollover accidents estate planning for college students power of attorney Barrington employment attorney Crystal Lake traffic lawyer Des Plaines personal injury attorney employment lawyer insurance dispute Crystal Lake traffic attorney Inverness real estate lawyer Legal Info sexual images compensatory time marijuana crimes attorney Illinois traffic accident lawyer Barrington Traffic Lawyer Illinois small business Thanksgiving traumatic brain injury trust payments insurance claim delay Palatine civil attorney Des Plaines motorcycle accident attorney comparative negligence Schaumburg employment attorney denial of life insurance paid sick leave field sobriety test Rolling Meadows personal injury lawyers comp time taxes Schaumburg traffic lawyer Palatine trusts lawyer Schaumburg construction accident lawyer Illinois criminal defense attorney Arlington Heights criminal lawyer Crystal Lake criminal defense attorney traffic deaths IRA trust transfer Long Grove real estate lawyer Forcible Entry Illinois Transfer on Death Instrument hit and run accident Barrington employment law attorney cell phone accidents lapse in policy Palatine criminal defense lawyer PTSD gift tax exemption, estate planning, estate planning strategies, Illinois estate planning, South Barrington estate planning attorneys living trust vs will Palatine traffic lawyer insurance claim Chicago insurance claim attorneys underinsured motorist Des Plaines personal injury lawyer Policy Cancellation Chicago estate planning lawyer Illinois Probate Act of 1975 Long Grove estate planning workers compensation Whistleblower Claims insurance claims Palatine insurance lawyer Illinois trusts attorney severance agreements spinal cord injuries landlord tenant law sexual harassment Rolling Meadows insurance lawyer Barrington drug crime attorney vacation home fines digital media accounts, estate planning, Arlington Heights estate planning attorney, estate attorney estate planning attorney digital assets, digital fiduciary, estate planning, digital content, Long Grove estate planning lawyers civil rights violation automated cars wage theft Rolling Meadows Traffic Lawyer Schaumburg corporate attorney personal injury Barrington Illinois estate planning lawyer installment contracts Schaumburg medical malpractice lawyer condo Chicago employment lawyer ObamaCare pregnant women homestead rights Do Not Resuscitate home inspection lawyer caregiver Illinois Wage Payment and Collection Act filing a medical malpractice claim Palatine personal injury lawyer Palatine law firm Crystal Lake accident attorney rumble strips attorney fees murder charges Riverwoods estate planning lawyer medical research personal injury attorney GM ignition switches Inverness insurance attorney Barrington real estate lawyer living trust Fourth of July Illinois registered agent Kenilworth estate planning attorneys Illinois personal injury lawyer disability benefits Arlington Heights lawyer Illinois home inspection Illinois tax attorney Deer Park personal injury lawyer Affordable Care Act rollover car crashes Illinois workplace lawyer trucking accident lawyers Arlington Heights Traffic Lawyer insurance claim dispute attorney Rolling Meadows DUI lawyer license reinstatement Inverness injury lawyer foreclosure Deer Park workers compensation lawyer traffic accidents income distribution deducation Des Plaines medical malpractice attorney Illinois estate planning attorney Rolling Meadows employment law attorney traffic violations trauma after an accident breach of contract Mount Prospect real estate lawyer Palatine employment lawyer School Visitation Rights Act construction accidents Liquor Control Act car crash civil litigation wills and trusts Chicago life insurance attorney Chicago traffic lawyer trusts Barrington medical malpractice lawyers Illinois probate lawyer CAM car crash injuries Rolling Meadows litigation lawyer criminal record probate fees Barrington employment law firm eluding a police officer Super Mario Colin Gilbert Illinois employment law firm Arlington Heights accident attorney Des Plaines tax law firm Inverness civil lawyer

Archive