Title
Joint resolution granting authority to negotiate “short sale” of property assisted with Lake County Affordable Housing Program funds and release the mortgage on the property if acceptable terms are met.
Staff Summary
· On May 9, 2006, the County Board allocated $40,000 of Lake County Affordable Housing Program (LCAHP) funds to Bobby Man to rehabilitate nine units of housing on Hebron Avenue in Zion.
· Four of those properties are now facing foreclosure, and the owner and bank are seeking a “short sale” in order to avoid foreclosure.
· In order for the short sale to be completed, the County must release its mortgage.
· If the property is foreclosed upon, the County loses its LCAHP investment. The negotiation of a short sale allows for the possibility of some recoupment.
· This resolution grants the County authority to negotiate the terms of a short sale, and if acceptable terms can be met, release the mortgage.
Body
WHEREAS, the Lake County Board allocated $40,000 of Lake County Affordable Housing Program (LCAHP) funds to Bobby Man to rehabilitate nine units of housing on Hebron Avenue in Zion; and
WHEREAS, four of those properties are now facing foreclosure, and the owner and bank are seeking a “short sale” in order to avoid foreclosure; and
WHEREAS, if the properties are foreclosed upon, the County loses its investment; and
WHEREAS, the County wishes to recoup as much of its investment in the property as possible; and
WHEREAS, the mortgage must be released to allow the short sale.
NOW, THEREFORE, BE IT RESOLVED, by this County Board of Lake County, Illinois that staff may negotiate acceptable terms for a short sale of these properties; and
BE IT FURTHER RESOLVED that upon successful negotiation of a short sale, the County Board Chairman is authorized to release the mortgage for the properties involved in the short sale as well as execute other necessary documents to complete the short sale.
DATED, at Waukegan, Lake County, Illinois on this 8th...
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