Legal Question in Real Estate Law in Illinois

You will be best protected having a Northern Illinois attorney working with a title company to assure that your title insurance covers the concerns. It certainly seems that the transaction should be doable, but caution is warranted.

Generally in a situation like this the lender will keep the lien of mortgage of record and not release it, figuring that a buyer will have to clear it. You'll need to work with local counsel in order to assess this situation and figure what your options may be.

In case it is not clear from the previous two answers, do NOT purchase this property without the assistance of a real estate attorney in your area. Even if the mortgage is released, which is not clear from your question, figure if this person was not paying the mortgage payment, there may be other bills and taxes which were not paid. All of these could be liens against the real estate. A real estate attorney in your area will be able to determine the status of title and the best way for you to proceed.