$55 million To You Illinois Friends

Given the elevated levels of distressed real estate throughout Illinois, the State of Illinois has stepped forward and pledged $55 million for a pilot program to finance the rehab of foreclosed homes as well as offer homebuyers assistance to purchase the properties.

The $55 million is indicated to be $50 million allocated to rehab and $5 million allocated for up to 500 families to buy vacant homes. The vacant homes are generally foreclosures that are bank-owned.

Mary Kenney, executive director of the Illinois Housing Development Authority, said the Chicago region has the highest inventory of vacant foreclosed homes in the nation.

Based on previously released information by Woodstock Institute, a nonprofit group in Illinois, there are more than 18,000 properties that fit this description.

Additionally, the State of Illinois has committed $58 million via the Neighborhood Stabilization Program (NSP). So far, the funds from NSP have restored nearly 450 foreclosed or vacant homes.

"By turning vacant properties into affordable housing, we're assisting existing homeowners, strengthening hard-hit neighborhoods and boosting affordable homeownership options for working families," Gov. Pat Quinn said.

Michael Hobbs, PahRoo Appraisal & Consultancy