Debate spurred over Illinois foreclosure bill

A controversial Illinois bill that could affect people who are moving is finding some support from officials within the real estate industry.

House Bill 5055, passed unaminously by the Illinois state legislature earlier this summer, did not generate much public response until it reached Governor Pat Quinn's desk. If signed, the law would allow plaintiffs in a foreclosure auction - typically a mortgage lender - to determine who would administrate a foreclosure sale, either a county sheriff or a private company. Currently, the sheriff's office handles foreclosure sales, which allow buyers to move into repossessed homes at discounted prices.

The bill has since been called "predatory" by the Illinois Sheriffs Association, who said that it put the sensitive sale of foreclosures in the hands of for-profit companies, reported the Beacon News. But the bill's supporters, including state Representative Lou Lang, think it could lead to more affordable and efficient foreclosure auctions.

"The big picture issue is the positive impact this bill will have on communities," argued Peter Birnbaum, president of the Attorneys' Title Guaranty Fund. "
This bill is intended to add efficiencies to a woefully inefficient foreclosure process."

Foreclosure auctions have become a popular method for families to find a way to afford moving into a new home.


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