Using the 2025 Condominium Property Act edition as a dated reference
Utilize the 2025 Illinois Condominium Property Act as a baseline for understanding your unit ownership, financial duties, and association management rules.
The short answer
The 2025 Illinois Condominium Property Act provides the statutory framework for condominium operations in the state. By using this version as a baseline, you can identify your obligations regarding common expenses, insurance requirements, and budget reserves. Note that this text serves as a static reference for understanding the legal landscape as of early 2025.
Understanding Unit Ownership Stakes
Unit ownership and the percentage of common elements are inextricably linked and cannot be separated. The 2025 Act clarifies that these interests remain fixed together. You must understand your percentage, as it dictates your voting power and financial liability.
Worksheet Step: Check your declaration to identify your specific common element percentage and verify it is not being misrepresented in current resale documents.
Financial Obligations and Liens
Unit owners are mandated to pay a proportionate share of common expenses. Failure to do so allows the board to place a lien on your unit. These liens take priority over most other interests, emphasizing the importance of timely payments.
Illustrative Planning Example: If your association budget is $100,000 and your share is 2%, verify that your monthly statements reflect exactly $2,000 in annual common expenses.
Association Insurance Mandates
The Act requires associations to maintain property insurance, general liability insurance, and fidelity bonds. Specifically, commercial general liability insurance must be at least $1,000,000. These protections are essential for shielding the association from catastrophic financial loss.
Professional Question: Ask the board for the certificate of insurance to confirm it meets the specific coverage minimums outlined in the 2025 Act.
Reserve Fund Requirements
Budgets must include reserves for capital expenditures and deferred maintenance. This is a critical requirement of the 2025 Act to prevent unexpected special assessments. Associations may only waive this if approved by a two-thirds vote of the owners.
Worksheet Step: Review the last three years of budgets to track if the association is consistently funding reserves or if they have been frequently waived.
Checklist
- Verify the association maintains a minimum of $1,000,000 in liability insurance.
- Check that your common expense share matches the recorded declaration.
- Request the latest budget to confirm reserve funding status.
- Confirm if the association has waived the capital reserve requirement.
- Review the association’s procedures for handling delinquent accounts.
Common questions
How does the 2025 Act affect my property taxes?
The Act states that real property taxes are assessed against individual units rather than the property as a whole. You are responsible for the tax assessment on your specific unit and the common elements percentage attached to it.
Can an age-restricted community be enforced under this Act?
Yes, the 2025 edition acknowledges that a 55-plus age restriction in the initial declaration is valid and does not violate the Illinois Human Rights Act. Ensure the restriction is explicitly stated in the governing documents before purchasing.
Sources
- CFPB — Closing Disclosure explainerChecked October 12, 2026
- Illinois Residential Real Property Disclosure ActChecked October 12, 2026
- Illinois Condominium Property Act — 2025 editionChecked October 12, 2026
- SQFT IO — Listing plans and termsChecked October 12, 2026
This guide is general educational content from SQFT IO, prepared with AI assistance. It is not legal, tax or loan advice. Talk with a licensed attorney, tax professional or lender about your situation. SQFT IO Illinois license 478.027617.