A new Illinois law will protect renters from getting forced out of a foreclosed property with short notice.
Governor Pat Quinn signed a bill Wednesday that requires buyers of foreclosed residences to honor existing leases or give tenants at least 90 days to find new housing.
The new law, which takes effect in 90 days, was sponsored by Sen. Jacqueline Collins (D-Chicago) and Rep. Kelly Cassidy (D-Chicago). The bill builds on the Protecting Tenants in Foreclosure Act that is scheduled to expire in 2014.
According to a statement from Quinn, about 40 percent of families impacted by foreclosure are actually renters who don’t realize their landlord is behind on payments.
“The foreclosure crisis has been devastating to homeowners as well as many families living in rental homes who are at risk of losing their home due to no fault of their own,” Quinn said. “As families in our communities continue to recover from the worst recession since the Great Depression, this law will ensure renters are protected from sudden forced moves that can be costly and disruptive to their lives.”