Illinois HOA document requirements: a statewide guide for title teams

Illinois operates under a dual-framework system for community associations. Condominiums are governed by the Condominium Property Act (765 ILCS 605), while planned communities and HOAs fall under the Common Interest Community Association Act (765 ILCS 160). For title teams closing transactions in Chicago, Springfield, Naperville, or Rockford, understanding the distinct disclosure timelines, fee structures, and Chicago-specific ordinances is essential to keeping files moving and buyers protected.

Illinois Condominium Property Act Overview

The Illinois Condominium Property Act (765 ILCS 605) governs the creation, management, and sale of condominium units throughout the state. Enacted in 1963 and regularly amended, the Act establishes the powers and duties of condominium boards, the rights of unit owners, and the disclosure obligations that apply whenever a unit is resold.

For title teams, the most critical provision is Section 22.1, which mandates that a selling unit owner obtain a specific disclosure package from the association board and make it available to the prospective purchaser upon demand. This package is not optional, and failure to deliver it can entitle the buyer to terminate the contract.

Key Provisions for Title Teams

Section 18 of the Act outlines the mandatory contents of condominium bylaws, including board powers to levy assessments, maintain common elements, obtain insurance, and keep detailed financial records. Section 9(g) creates an assessment lien in favor of the association, which can be foreclosed like a mortgage. Title teams must verify that any outstanding lien is addressed before closing.

Section 19 guarantees unit owners the right to inspect association records, including financial statements, meeting minutes, contracts, and reserve studies. Condo boards must comply with written records requests within 10 business days. Failure to comply is deemed a denial, and the association may be liable for the requester's reasonable attorneys' fees.

Common Interest Community Association Act

The Illinois Common Interest Community Association Act (765 ILCS 160) applies to non-condominium common interest communities, including most single-family subdivisions, townhome associations, and master-planned communities. While many of its provisions parallel the Condominium Property Act, there are important differences that title teams must track.

Resale Disclosure Under CICAA

Section 1-35 of CICAA requires the board to make available for inspection to a prospective purchaser, upon demand, a package similar to the condominium Section 22.1 disclosure. This includes the declaration and rules, a statement of liens and unpaid assessments, anticipated capital expenditures, reserve fund status, the most recent financial statement, pending litigation, and insurance coverage.

Records Access and Board Meetings

Under Section 1-30, HOA members have the right to examine and copy association records at convenient weekday hours. The board must respond to written records requests within 30 days; failure to do so is deemed a denial. Section 1-40 mandates open board meetings, and Section 1-50 requires that draft minutes be approved or corrected at the next board meeting.

Budget and Assessment Controls

Section 1-45 requires that members receive a copy of the proposed annual budget at least 30 days but not more than 60 days before adoption, with an indication of which portions are intended for reserves, capital expenditures, or repairs. This gives title teams a predictable window to verify upcoming financial obligations.

Resale Disclosure Requirements

Illinois law imposes detailed resale disclosure obligations on both condominium and HOA transactions. The content and delivery rules differ slightly between the two association types, so title teams must confirm which statute governs the property before placing the document order.

Condominium Section 22.1 Package

Under 765 ILCS 605/22.1(a), the seller must obtain from the Board of Managers and make available for inspection the following nine items:

1. A copy of the Declaration, bylaws, other condominium instruments, and any rules and regulations.
2. A statement of any liens, including a statement of the account of the unit setting forth amounts of unpaid assessments and other charges.
3. A statement of any capital expenditures anticipated by the association within the current or succeeding two fiscal years.
4. A statement of the status and amount of any reserve for replacement fund and any portion earmarked for a specified project.
5. A copy of the statement of financial condition of the association for the last fiscal year.
6. A statement of the status of any pending suits or judgments in which the association is a party.
7. A statement setting forth what insurance coverage is provided for all unit owners by the association.
8. A statement that any improvements or alterations made to the unit by the prior owner are in good faith believed to be in compliance with the condominium instruments.
9. The identity and mailing address of the principal officer or designated agent of the association.

HOA Resale Disclosure Under CICAA

Under 765 ILCS 160/1-35, the board must make available to a prospective purchaser, upon demand, a comparable set of documents. The required items include governing documents, a statement of liens and unpaid assessments, anticipated capital expenditures, reserve and replacement fund status, the most recent financial statement, pending litigation, and insurance coverage for common properties.

Illinois HOA Document Requirements by Association Type

Requirement	Condominium (765 ILCS 605)	HOA / Common Interest (765 ILCS 160)
Governing Statute	Condominium Property Act	Common Interest Community Association Act
Resale Disclosure Section	Section 22.1	Section 1-35
Delivery Timeline	10 business days	30 days
Maximum Fee	$375 (CPI-adjusted) + $100 rush	$375 (CPI-adjusted) + $100 rush
Required Documents	Declaration, bylaws, rules, financials, reserves, liens, litigation, insurance, alterations statement	Declaration, instruments, rules, financials, reserves, liens, litigation, insurance
Records Request Timeline	10 business days	30 days
Buyer Cancellation Right	5 business days for material adverse items	Governed by contract
Special Assessment Challenge	115% rule; 20% petition within 21 days	115% rule; 20% petition within 14 days

Document Delivery Timelines

Timeline management is one of the most important aspects of Illinois HOA document compliance. The statutory deadlines are firm, and missing them can delay closings or expose sellers to contract termination rights.

Condominium 10-Business-Day Rule

As of January 1, 2023, condominium associations must furnish Section 22.1 disclosures within 10 business days of receiving a written request. This was a significant change from the previous 30-day window. Title teams should note that many older management agreements and internal procedures still reference the 30-day rule, so confirming the current deadline with the association is critical.

HOA 30-Day Rule

Common interest community associations remain subject to a 30-day delivery window under 765 ILCS 160/1-35. While this is more generous than the condominium timeline, self-managed HOAs in rural or suburban Illinois often struggle to meet even this extended deadline. Title teams should place HOA document requests as early as possible in the transaction.

Rush Service

Both statutes permit an additional $100 fee for rush service completed within 72 hours. Not all associations offer rush service, and those that do may require the fee to be paid upfront. Title teams should confirm rush availability and fee payment procedures before promising an expedited delivery to the buyer or lender.

Illinois Fee Structures

Illinois law caps the fees that associations can charge for resale disclosure packages. These caps apply to both condominiums and HOAs, and they are subject to periodic adjustment based on the Consumer Price Index.

Statutory Fee Cap

The maximum fee for a resale disclosure package is $375. Beginning one year after the effective date of the 2022 amendment, this amount is adjusted annually by the percentage change in the CPI-U (Consumer Price Index for All Urban Consumers). Title teams should verify the current year's adjusted cap if an association quotes a fee at or near the limit.

Rush Fee

Associations may charge an additional $100 for rush service completed within 72 hours. This brings the maximum total fee to $475 for expedited condominium or HOA disclosure packages.

Fee Allocation

In standard Illinois practice, the seller pays the resale document fee as part of closing costs. However, the purchase contract can allocate the cost to either party. Title teams should verify the fee allocation early in the transaction to avoid last-minute disputes at the closing table.

Special Assessment Rules

Special assessments are a frequent source of buyer concern in Illinois community associations. While there is no statewide hard cap on the amount of a special assessment, both the Condominium Property Act and CICAA provide procedural safeguards that allow owners to challenge excessive increases.

The 115% Rule

Under both statutes, if the total assessments for the current fiscal year (including any special assessment) would exceed 115% of the prior year's total assessments, members have a right to challenge the increase. For condominiums, unit owners holding at least 20% of the association's votes may submit a written petition within 21 days of the board's decision. The board must then call a meeting within 30 days, at which owners can vote to reject the assessment. Unless a majority of total unit owners vote to reject, the assessment is ratified.

For HOAs under CICAA, the process is similar but the petition must be submitted within 14 days of the board's decision. The board must hold a meeting within 30 days, and a majority of the total voting power must vote to reject the increase in order to cancel it.

Title Team Implications

Title teams should review the disclosure package for any approved or anticipated special assessments. If a special assessment has been approved but not yet fully paid, it must be disclosed and prorated at closing. Pending assessments that are only being discussed at the board level may not appear in the official disclosure, so title teams should consider asking the association directly about any planned capital projects.

Chicago-Specific Ordinances

The City of Chicago imposes additional requirements on condominium transactions that go beyond state law. Title teams handling closings in Chicago must be aware of these municipal rules to ensure full compliance.

Chicago Condominium Ordinance

Chapter 13-72 of the Chicago Municipal Code, known as the Chicago Condominium Ordinance, is primarily a disclosure ordinance. For new construction, rehabilitation, or conversion projects of more than six units, developers must provide a property report to prospective purchasers. The report must include copies of all condo documentation required by Section 22 of the Condominium Property Act, a survey, a statement of title condition, building code violations over the past 10 years, estimated monthly assessments and taxes, developer financing information, and disclosures concerning contracts that will bind the association.

Condominium Disclosure Summary

Developers must also complete a condominium disclosure summary and file it with the Department of Business Affairs and Consumer Protection (BACP) at least 90 days before the first offering for sale. The summary must be distributed at open houses, showings, and to each prospective buyer before contract execution. Purchasers must sign a receipt acknowledging they received and reviewed the summary.

Tenant Protections in Conversions

For conversion projects, the Chicago ordinance requires developers to give tenants 180 days' notice of conversion (210 days for tenants over 65 or with disabilities). Tenants have the right to extend their lease for 180 days (210 days for protected classes) and may receive relocation assistance of up to $2,500. These rights do not typically affect resale transactions, but title teams should confirm that the conversion was completed in compliance with the ordinance.

Shared Housing and Short-Term Rentals

Chicago's Shared Housing Ordinance regulates short-term rentals in condominium buildings. Associations whose governing documents prohibit short-term rentals may also request placement on the city's prohibited buildings list. Title teams should verify whether the building restricts Airbnb or VRBO rentals, as this can affect investment buyers.

Cook County Recording

Recording documents in Cook County involves specific fees and formatting requirements that title teams must account for in their closing cost estimates. The Cook County Clerk's Office revised its fee schedule effective April 1, 2024.

Recording Fee Structure

For deeds, mortgages, leases, and easements, the standard recording fee is $107 per instrument, regardless of page count. This total includes:

• $55 base fee
• $23 GIS fee
• $10 document storage fee
• $18 RHSP fee
• $1 non-government filer fee

An additional $5 mail handling fee applies if the document is submitted by mail. Documents that reference 6 or more PINs or previously recorded document numbers are subject to additional blanket fees.

Formatting Requirements

Documents must be printed in black ink on standard 8.5x11 inch paper with at least half-inch margins. The first page must have a 3x5 inch blank box in the upper right corner for the recorder's stamp. Documents that do not meet these requirements are considered irregular and subject to additional fees.

Condominium Declarations

Condominium declarations and plats recorded in Cook County must include complete angular and linear data along exterior boundaries, the location of all improvements, elevations of ceilings and floors, dimensions of interior walls, and the unit number or symbol of each unit. Amendments to plats must be recorded when boundaries or locations change.

Title Company Workflows

Successful Illinois HOA compliance requires title teams to build state-specific procedures into their workflows. The dual statutory framework, combined with Chicago's municipal requirements, creates a complex environment where generic checklists often fall short.

Step 1: Identify the Association Type

At intake, determine whether the property is a condominium governed by 765 ILCS 605 or a common interest community governed by 765 ILCS 160. This determination controls the disclosure timeline, fee cap, and buyer cancellation rights. Condominium resales require Section 22.1 packages; HOAs require CICAA 1-35 disclosures.

Step 2: Order Documents Early

Place the document request immediately after contract execution. For condominiums, the 10-business-day rule leaves little margin for error. For HOAs, the 30-day window is more forgiving but still requires early action, especially with self-managed associations. Request the package in writing and retain proof of delivery.

Step 3: Verify Fee Compliance

Confirm that the quoted fee does not exceed the statutory cap of $375 (plus CPI adjustment) or $475 with rush service. Request an itemized fee schedule in writing. If the association charges more than the statutory maximum, document the overcharge and notify the seller's attorney.

Step 4: Review for Red Flags

Once the disclosure package arrives, review it for material adverse items that could trigger the buyer's cancellation right. Key red flags include underfunded reserves, pending litigation, approved special assessments, large unpaid assessment balances, and insufficient insurance coverage. Communicate these items to the buyer's attorney immediately.

Step 5: Coordinate with Cook County Recording

Ensure all deeds, mortgages, and condominium amendments meet Cook County's formatting requirements. Calculate recording fees accurately using the current fee schedule. Submit documents electronically when possible to avoid mail handling delays.

Step 6: Monitor Chicago Ordinance Compliance

For transactions within the City of Chicago, confirm that any new construction or conversion project has filed the required condominium disclosure summary with BACP. Verify that the buyer received the summary before contract execution and signed the required receipt.

For more on Chicago-specific workflows, see our guide on Chicago HOA documents, or compare Illinois fees with other states in our HOA document fees by state article.

Frequently Asked Questions

What is the Illinois Section 22.1 disclosure for condominium resales?

Under 765 ILCS 605/22.1, Illinois condominium sellers must obtain from the association board a disclosure package containing nine specific items, including governing documents, financial statements, reserve status, pending litigation, insurance coverage, and any liens or unpaid assessments.

How long does an Illinois association have to deliver resale documents?

Condominium associations must furnish Section 22.1 disclosures within 10 business days of a written request. Common interest community associations (HOAs) must provide resale documents within 30 days under 765 ILCS 160/1-35.

What is the maximum fee an Illinois association can charge for resale documents?

Illinois law caps the resale disclosure fee at $375 for condominium associations, subject to annual CPI adjustment, plus an additional $100 for rush service within 72 hours. HOAs under the Common Interest Community Association Act may also charge up to $375.

Do Chicago condominiums have additional disclosure requirements?

Yes. The Chicago Condominium Ordinance (Municipal Code Chapter 13-72) requires developers to file a condominium disclosure summary with the city and provide it to prospective buyers. Conversion projects must also give tenants extended notice periods and relocation assistance.

Are there limits on special assessments in Illinois HOAs and condominiums?

There is no hard cap, but under both the Condominium Property Act and the Common Interest Community Association Act, if total assessments exceed 115% of the prior year, members holding at least 20% of votes may petition for a meeting to reject the increase.

Who pays for Illinois HOA resale documents at closing?

In standard Illinois practice, the seller pays the resale document fee as part of closing costs, though the purchase contract can allocate the cost to either party. Title teams should verify the fee allocation early in the transaction.

What Cook County recording fees apply to condominium and HOA transactions?

As of 2024, recording a deed or mortgage in Cook County costs $107 per instrument, comprising a $55 base fee, $23 GIS fee, $10 document storage fee, $18 RHSP fee, and $1 non-government filer fee. An additional $5 mail handling fee applies if filed by mail.

Can a buyer cancel an Illinois contract based on HOA disclosures?

Yes. Under Section 22.1, a buyer may terminate a condominium resale contract without penalty within five business days of receiving the disclosure if any disclosed item materially and adversely affects the buyer.

Key Takeaways

• Know the statute: Condominiums fall under 765 ILCS 605; HOAs fall under 765 ILCS 160. The disclosure timelines and buyer rights differ between the two.
• Respect the 10-day rule: Since January 2023, condominium associations must deliver Section 22.1 packages within 10 business days. Missing this deadline can derail a closing.
• Watch the fee cap: The maximum resale disclosure fee is $375 (CPI-adjusted), plus $100 for rush service. Dispute any overcharges in writing.
• Check for special assessments: Illinois has no hard cap on special assessments, but the 115% rule gives owners a veto mechanism. Verify whether any pending assessments will affect the buyer.
• Account for Chicago ordinances: City of Chicago transactions may require additional developer disclosures, tenant protections, and compliance with the Shared Housing Ordinance.
• Budget for Cook County recording: Standard recording fees are $107 per instrument. Ensure documents meet formatting requirements to avoid irregular-document surcharges.
• Order early and follow up: Self-managed associations and suburban HOAs are common in Illinois. Early ordering and proactive follow-up prevent last-minute delays.