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John Alexander Zrnich

John Zrnich’s Answers

3 total

  • My condo is currently worth 100K - I owe $200 on the 1st mortgage and $29K on the second. Building has sinking foundation.

    I no lnoger wish to keep the property. Applied for DIL if i am denied do I just do strategic default? What are the chances they will seek deficiency judgment if I am willing to give up the home? Do I need to hire an attorney for the foreclosure pr...

    John’s Answer

    • Selected as best answer

    I cannot recommend that you engage in a "strategic default" because that would be advising you to breach your contract. No attorney will recommend that.

    If you do nothing to defend yourself and the first mortgagee forecloses on the property, it is highly likely that they will seek a deficiency judgment against you for the difference between the outstanding amount on your first mortgage and the sale price.

    The second mortgagee (if it's a different entity from the first) might file an action against you, personally, in the Law Division for breach of contract (if they're smart). That way, they would obtain a personal judgment against you (should the foreclosure auction price be insufficient to pay off the first mortgagee) that would survive the foreclosure action, i.e., they will be able to continue to pursue you for the debt.

    I think that, whether or not you decide to retain an attorney, it's wise to speak to one who speciaizes in foreclosure defense so that you have a better idea of your options and can make an informed choice about what to do.

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  • Our home is in foreclosure, what happens if we stop going to court, as this has been going on for nearly two years.

    I became disabled in July 2011 and could no longer make the mortgage payment. Do to my disability I am unable to go to court so my wife attends court on her own. The stress of this process is taking a toll on my wife and I have told her to just ST...

    John’s Answer

    It's hard to give you a specific answer without more information but I can tell you a couple of things:

    1. If you're still in mediation and you don't accept the loan modification because you can't afford it, your case will go back before the judge and the bank will ultimately obtain a judgment and sell your home at a foreclosure action.

    2. If you're still in mediation and you accept the loan modification, you'll be required to make the new reduced monthly payments for a trial period, usually three months but sometimes six (or longer), after which the bank should provide you a permanent modification. Once it does that, the bank should dismiss the court case against you. If you accept the loan modification, the bank will not immediately dismiss the case, however; they want to know if you can make the modified payments first. If you don't make them, then the court case will continue and the home will eventually be sold.

    As a foreclosure defense attorney, I've seen your situation before. People get ground down by the court process, which can be confusing, and they get tired of fighting. If you're interested in talking about your case, call my office. I'm happy to do so, free of charge.

    Hope this helps and good luck.

    John Zrnich

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  • How long is the redemption period after a foreclosure sale in Illinois?

    Is there any redemption period in Illinois?

    John’s Answer

    Illinois does have a statutory redemption period. Pursuant to 735 ILCS 5/15-1603(b), the redemption period runs until the LATER of:

    1. Three months after entry of judgment of foreclosure;


    2. Seven months after the mortgagor (or ALL mortgagors if more than one) has been served with the Summons and Complaint either through personal service OR by publication OR has otherwise submitted to the jurisdiction of the court.

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