Dean Moss - Dean's Team Chicago Real Estate Team

The drumbeat goes on! Foreclosures increase! Late Mortgage Payments on the rise!

The new, 2nd Quarter Mortgage Bankers Association Delinquency Survey was released this week, and it shows that nearly one-tenth of all homeowers are either one-month behind in their mortgage payments, or in some stage of the foreclosure process.

The worst states for late pays and foreclosures - California and Florida, as you may have guessed. Other higher-than-average U.S. States include Nevada, Arizona, Michigan, Rhode Island and Ohio. The State of Illinois is also on the list, with the problem not as pronounced here as in other states, however.

But if you drive down some streets in Chicago, you might feel that the foreclosure numbers here are even higher!

Right now, down the block from one of our active listings on the Northwest Side of Chicago, in the Belmont Heights Neighborhood, there are seven houses in distress or short sale - and two bank-owned, boarded up properties, and another one might soon follow (no, not our listing, thankfully!)

Roughly 30% of sub-prime loans issued within the last couple of years are either delinquent or in foreclosure. And 5.35% of PRIME loans were at the same, distressed stage.

For FHA Loans - 14.87% were in or entering foreclosure at the end of last quarter. And this number is expected to increase in the coming months, as more and more FHA Loans are written this year.

But will these trends trash home prices in general?

No, according to conclusions drawn in a National Bureau of Economics Research opinion. (See Brian Blackstone' Real Time Economics Blog Post in Friday, September 5th's Wall Street Journal for more info, and a link to the opinion).

"Even in the face of an extreme foreclosure wave such as that experienced in 2007, our evidence indicates that foreclosure shocks have relatively small effects on U.S. house prices," the authors, Charles Calomiris of Columbia University and Stanley Longhofer and William Miles of Wichita State University wrote.

Under their "extreme" scenario, where home foreclosures would increase 75% over current levels, the authors predict home prices would only drop about 5.5% from their current levels between the Second Quarter, 2007 and the end of next year.

See our post today at BlogChicagoHomes.com for more info, as well as a link to James R. Hagerty's article in Friday's Wall Street Journal.

DEAN & DEAN'S TEAM CHICAGO

Good Sunday Morning, Gang!

It's a beautiful day here in Chicago - nice, sunny, not too hot. We'll be taking our two lil' Pekes, Buddy & Gracie, for a walk in a while.

But, first, a random thought I contemplated when I was tossing and turning a bit in bed last night. Perhaps you Boomers can relate.

I'm turning 52 in a couple of weeks. When I was a kid, that seemed pretty ANCIENT. Now, it seems the age everybody seems to be. I guess it's true - 50 is the new 30! Yes?

A couple of years ago, when I turned 50, my wife threw me a bit of a surprise party, right here in the house. It came complete with the usual "Old Fart" party favors - and some funny cane with blinkers, reflectors, and a headlight.

She used that fake yellow and black police tape on the front door, when I came home that day. "Danger - Crime Scene - Old Geezer at Large."

Two years later, I'm still around and kicking. I've been blessed with good health. Still work out every day. Stay away from things like chocolate, and French Fries. I only have a beer or two to calm me down, mostly during baseball season, when the Chicago Cubs are playing.

Despite the fact that many younger than me see me from a different era, I've made it my business to keep my technology pretty much cutting edge. I've got a new Treo, know how to text message, blog every day, and have some kick-ass, useful, lead generating websites.

But something has changed, however, as it relates to my business, as a decent-producing real estate practitioner -

MY ATTITUDE! About Real Estate, and About LIFE!

Our Team and I have done real estate pretty well here in Chicago for 15 years now. We know what we're doing. We've produced pretty good results.

And, yet, some prospective clients disrespect this earned knowledge and experience. They feel they know more than I do, and can do all the things our Team provides routinely, since it is all so "common sense."

To them, now, more than ever before, I laugh - and often walk away!

I'm strong, and more confident than ever, that we can help our clients achieve their real estate objectives - buying, selling, investing. And I don't need to apologize any more when I am candid. Further, I don't need to worry if they won't listen and go somewhere else.

After all, I have ridden this success train we call Real Estate for many years now. And I know . . . that I know . . . that I know, as my mentor and RE Trainer Floyd Wickman might say.

And now, I'm an "elder" in the business.

So don't mess with me! OK?

LIFE STILL AWAITS!

DEAN & DEAN'S TEAM CHICAGO

Hi, AR!

This week's Chicago Neighborhood News from our Team Member Jennifer Arcand touches on the West Loop, Lincoln Park, and Norwood Park Neighborhoods of Chicago, as well as the Chicago Suburb of Evanston IL.

LINCOLN PARK

Subsequent to halting the private Latin School from building a soccer field in Lincoln Park, a strong neighborhood opposition of residents was unable to stop the Chicago Park District from completing the project on its own.

A Cook County Circuit judge denied Protect Our Parks' emergency motion to stop the Park District from holding a special meeting later in the day. Later at that meeting, park commissioners voted unanimously to finish the field. As a result, the Latin School will be paid up to $2 million in costs incurred installing the artificial-turf field.

Park officials hope to begin work on the field as soon as possible. Click here to read the entire article.

WEST LOOP

Seven years after it was proposed, work will get under way soon on a project to transform a 100,000-square-foot concourse at Ogilvie Transportation Center into a mix of stores and restaurants.

The passengers scheduled to arrive at the West Loop train station next summer will be delighted with a gourmet food emporium called French Market. A CVS drugstore and Caffe RoM, an Italian-style coffee bar will grace this new storefront.

About 105,000 commuters pass through Ogilvie daily. When it was first conceived several years ago, the project was intended to attract commuters as well as the growing West Loop population. While the project was on hold, the area blossomed with office buildings, corporate headquarters and housing added a new mixture of businesses and residents.

Click here to get all of the details about this exciting addition to the community.

NORWOOD PARK

For many years running now, the Norwood Crossing in Norwood Park has hosted an annual picnic which has been an important event.

It offers elderly residents and their families a chance to get outside together and mingle. It gives the home and its fundraisers a chance to raise money for the next year, and to introduce the community to its programs. As construction starts on new wings along the Avondale side of the 6016-20 N. Nina block, the picnic moved from its gala to a new corner, near Northcott and Niagara. When construction is complete, the majority of the block will be transformed with a variety of new residential wings.

Click here for more info.

EVANSTON

The actor who played the lovable Father Mulcahy on "M*A*S*H," Evanston native William Christopher, was cast as a religious figure. Imagine that! William is donning clerical garb again. This time he portrays character Pastor E.L. Gunderson at a rural Minnesota church in the musical comedy, "Church Basement Ladies." This will preview Sept. 10 and open Sept. 11 at North Shore Center for the Performing Arts in Skokie.

Set in 1964-65, the show focuses on the church's pastor, and on four women who prepare food for the congregation in the church's kitchen which include a Christmas dinner, a funeral, a Hawaiian-themed Easter fundraiser and a wedding feast in July.

Click here to find out more about this local entertaining venue.

Here's are Post Archive for more Chicago Neighborhood News.

JENNIFER ARCAND & DEAN'S TEAM CHICAGO

THE CHICAGO IL REAL ESTATE MARKET, AND OTHER THINGS CHICAGO, FROM THE POINT OF VIEW OF A LITTLE WHITE DOG!

Finally, this morning I had to put down the phone! Got tired of all those telemarketing calls soliciting money for Presidential Campaigns!

The Do Not Call List does not apply to most political fund raising calls, you know? I'm sure that doesn't surprise you!

Remember "This Old House," the PBS TV Show? Since I'm only three, I have only watched reruns.

But I find it fascinating! Taking an old house, knocking down a few walls, and, voila (I bet you didn't know dogs could speak French), a new mansion, good for the next 100 years!

A decade or so ago, when Bob and his show were going strong, many young, first-time human homebuyers took his advice, and bought those old Victorian Homes. They went on the attack, sledge hammer in hand, to build "sweat equity," and a classic place to call home.

That doesn't happen so much these days!

In Chicago, this year, the market is overstocked with inventory. Prices within the past year have fallen - as much as 9.5%, or more, in some Chicago Neighborhoods or Suburbs. The buyer, for the moment, is king here in Chicago.

And today's buyer wants everything in move-in condition. They don't want a reconstruction project in their new home from Day One!

One survey of local brokers by a national franchise real estate company found that only 7% of first-time buyers they have run into were looking to immediately renovate their new home. 81% want the house in top-shape from the day they move in!

And they feel they can get it to - as the market here has softened prices on even the most up-to-date, highly-upgraded places to rest your paws and tail around Chicago.

According to Jim Gillespie, President and CEO of Coldwell Banker Real Estate, "In the past, first-time home buyers were willing to purchase older, more basic houses in an effort to save money and break into home ownership.

Today, this buyer group has higher expectations. They have grown up accustomed to their parents' lifestyles." Most of these first-time buyers, he continued, have never roughed it before, and they don't seem inclined to rough it now.

All the while, first-time buyers want affordability - more than half of those surveyed list this as their primary concern. They want a larger home, in top condition - and still at a low price. We at Dean's Team Chicago have seen this attitude with several of our younger buyer clients, and other Buyer's Agents are seeing this as well.

"It's important for first-time home buyers to remember that by considering a 'fixer-upper' for their first home purchase, they can build equity over time and move up and into their second-stage home that better reflects their expectations," said Gillespie.

Today, we've found a number of younger buyers thinking they can buy any home they want, in top shape, for a deep discount, due to the weakened real estate market. What they often find, however, is that the nicest homes, though selling for less than they may have a couple of years ago, are still commanding a considerable premium over those needing a lot of work.

According to the CB Study, buyers financial priorities have shifted as well over the last ten years.

At that time, first-time buyers' biggest concern was having enough money for the down payment. Today, only 17% consider larger down payments the biggest factor, as more loan options have come to market requiring less money down initially.

In 2008, having an acceptable FICO Credit Score seems to be paramount, as a lower score can result in a higher interest rate, a required "down payment premium," and far more stringent requirements to get approved for a mortgage.

Our newest Dean's Team Member, Gracie Moss, pictured here, agrees with me on this subject. We're both willing to bust our tails, so to speak, and put in a few dog days, to create and restore a beautiful, classic home.

But the days of walking around up to our lil' bellies in plaster dust and construction debris are, thankfully, behind us!

For more info, you dogs, read my post from last night @ BlogChicagoHomes.com, with a link to Mary Umberger's column in last Sunday's Chicago Tribune.

YOUR ACE REPORTER ON FOUR PAWS,

BUDDY HOLLY MOSS & DEAN'S TEAM CHICAGO

Good morning, AR!

Man, last night, I didn't feel like I was in Chicago. Or in the Active Rain Community.

I felt like I was in the middle of a partisan love fest in St. Paul MN!

A lot of positive comments about the Republican Ticket. Many rebutting comments, positive ones, for the most part, about the Ticket the Democrats offer.

Unfortunately, a lot of disparaging comments as well, hurled across the aisle, from one side to the other. Yes?

But, folks, let's boil all of this stuff down!

WHICH TICKET WILL BE THE BEST FRIEND TO U.S. HOUSING MARKET RECOVERY? McCain and Palin? Obama and Biden? Neither - things just have to run their course?

Will the election of either ticket make a real difference? Do things just need to run their course? Or, are more "shots in the arm . . . or ass" . . . needed?

I think we all agree that one person, alone, can't cure all of our ills. But that person, that ticket, that administration, that political party, can set the tone. Provide leadership, and inspiration. Real CHANGE? Possibly!

The only thing we know is come next January, there will be another occupant of the White House. Of the two top choices for that occupant - who will do the most, or be the best, to return resiliency to the housing market.

Spouted rhetoric aside, of course!

What say you?

DEAN & DEAN'S TEAM CHICAGO