New protections take effect for renters in foreclosed properties
New protections take effect Tuesday for renters who live in properties in Chicago that go into foreclosure.
The “Keep Chicago Renting” ordinance protects tenants from banks or other new owners who take over foreclosed properties.
The law forces the current owners of the properties to continue renting to their tenants until the properties are sold to a third party, or pay a $10,000 relocation fee to affected tenants.
Chicago aldermen believe this law will keep properties from becoming vacant and falling into disrepair, or attracting crime.
Violators face fines of up to $21,000.
WGN News Writer C. Hayes published this story.