Legal Question in Real Estate Law in Illinois

When the loan was done, the garage was included. The value securing the loan includes the value of the garage. The lender does not want to give up any of its security and cannot be compelled to do so.

If you loan a friend $5000.00 secured by six pieces of jewelry valued at $5200.00 total, you wouldn't be happy if he sold off two of those pieces of jewelry and put you at a greater risk should he eventually default on the loan. Same goes with the mortgage holder. Why would they let the owner sell of part of the property given as security?

You can try to work around the problem by working out an agreement for the property to be conveyed to you when the mortgage can be paid off or taking the garage subject to the mortgagee's rights, but, frankly, you probably cannot do so without risk.

In addition to Mr. Repay's answer, it may be impossible under the condominium declaration to separate the garage from the unit. In most circumstances, they would need to be sold together.