Tuesday, September 20, 2011
Illinois Launches Hardest Hit Program
The new Illinois Hardest Hit program aims to help working Illinois families who are having trouble making mortgage payments due to unemployment or under-employment stay in their homes. The Illinois Housing Development Authority (IHDA) has partnered with the U.S. Department of Treasury to offer temporary mortgage payment assistance. Qualified homeowners can receive up to $25,000 over 18 months as a 10-year loan to keep mortgages current and make ongoing payments, including fees and penalties. Go to
www.illinoishardesthit.org to learn more.
Friday, September 16, 2011
What Goes Down Must Come Up
Prices rise in some city neighborhoods SEPTEMBER 2011
Homeowners in a handful of Chicago neighborhoods can pop the cork on the champagne they've been saving for the housing market recovery. Meanwhile, there are still a number of areas where residents might want to reach for something harder.
A top-line review of year-over-year price changes and current inventory levels in 21 city neighborhoods (see chart below) paints a picture of a city still grappling with the 5-year-old housing downturn. But what might be surprising are signs of a turnaround in a number of Chicago communities, as well as recent data showing rising prices throughout the greater Chicagoland area.
Nowhere is the ground more solid than in North Center, located northwest of Wrigleyville, where the average price increased an eye-popping 13% year over year for the period ended 8/31. The big jump can be attributed to North Center's great fundamentals (schools, housing stock and transportation) and a resurgence in single-family new construction. Other neighborhoods where prices have been trending up are Lakeview, Logan Square/Bucktown and Near North, which includes River North and the Gold Coast.
On the other side of the coin are areas like Uptown and the South Loop, where average prices registered substantial declines and inventories remain high. In between are neighborhoods like Ravenswood, Forest Glen and Hyde Park, where prices are down slightly but inventories are vastly improved.
Big picture, the latest S&P/Case Shiller home price data for Chicago shows an improving market with two consecutive months of price increases (three for condominiums). And if Chicago as a whole is up on a monthly basis, that's good news even for neighborhoods that are down on an annual one. Let's hope the positive trend continues.
Of course, stats don't tell the whole story. It's important to look beyond the numbers and to remember that factors affecting price, market time and market fluidity vary not only from neighborhood to neighborhood, but also from block to block and even building to building.
In every neighborhood, homes are selling if they're priced, presented and marketed properly. So contact me if you have questions about buying, selling or anything related to real estate. And remember, I always appreciate your referrals.
Dave Straub
@properties
773.255.3180
Homeowners in a handful of Chicago neighborhoods can pop the cork on the champagne they've been saving for the housing market recovery. Meanwhile, there are still a number of areas where residents might want to reach for something harder.
A top-line review of year-over-year price changes and current inventory levels in 21 city neighborhoods (see chart below) paints a picture of a city still grappling with the 5-year-old housing downturn. But what might be surprising are signs of a turnaround in a number of Chicago communities, as well as recent data showing rising prices throughout the greater Chicagoland area.
Nowhere is the ground more solid than in North Center, located northwest of Wrigleyville, where the average price increased an eye-popping 13% year over year for the period ended 8/31. The big jump can be attributed to North Center's great fundamentals (schools, housing stock and transportation) and a resurgence in single-family new construction. Other neighborhoods where prices have been trending up are Lakeview, Logan Square/Bucktown and Near North, which includes River North and the Gold Coast.
On the other side of the coin are areas like Uptown and the South Loop, where average prices registered substantial declines and inventories remain high. In between are neighborhoods like Ravenswood, Forest Glen and Hyde Park, where prices are down slightly but inventories are vastly improved.
Big picture, the latest S&P/Case Shiller home price data for Chicago shows an improving market with two consecutive months of price increases (three for condominiums). And if Chicago as a whole is up on a monthly basis, that's good news even for neighborhoods that are down on an annual one. Let's hope the positive trend continues.
Of course, stats don't tell the whole story. It's important to look beyond the numbers and to remember that factors affecting price, market time and market fluidity vary not only from neighborhood to neighborhood, but also from block to block and even building to building.
In every neighborhood, homes are selling if they're priced, presented and marketed properly. So contact me if you have questions about buying, selling or anything related to real estate. And remember, I always appreciate your referrals.
Dave Straub
@properties
773.255.3180
Friday, September 2, 2011
4 Moves That Can Lower Your Credit Score
4 Moves That Can Lower Your Credit Score
You may be damaging your score without knowing it.
By Lisa Gerstner, Staff Writer
From Kiplinger's Personal Finance magazine, September 2011
Most people know that paying bills late can play havoc with your credit score. But not every move that shaves points from your credit score is so obvious.
1. Charging a big balance to a store card. You’re tempted to buy thousands of dollars’ worth of furniture or appliances and charge it all to a store credit card that doesn’t require payments for six months or even a year—and sometimes longer. But debt that sits untouched could drag down your score, especially if the balance is near the card’s limit, says John Ulzheimer, president of consumer education at SmartCredit.com. That’s because your credit-utilization ratio—the amount of debt you have relative to your credit limits—is calculated for balances on individual cards as well as overall. In addition, store cards tend to charge steep rates, so if you don’t pay the balance before the interest-free period is over, you will rack up big charges.
2. Trashing a parking ticket. Parking and speeding tickets, library fines, and other dues to the government left unpaid won’t go directly to your credit report. But if they are eventually reported to a collection agency, they could damage your score. That goes for anything that could go to collections, such as unpaid rent and medical bills. And even if you pay up, collections will appear on your report for seven years.
3. Stuffing your wallet with cards. If you’ve had a handful of cards for years, they won’t hurt your score. But if you open several new accounts in a short period, your score is likely to take a hit, and you may not benefit immediately from expanded credit limits.
4. Transferring a balance to a new card. The inquiry on your report from the new lender may shave a few points from your score, but the real problem is what you do with the old account. If you close it, your overall credit limit could go down, and your credit-utilization ratio will increase if you have debt on any remaining cards. Your best bet: Leave the old account open but keep a zero balance.
You may be damaging your score without knowing it.
By Lisa Gerstner, Staff Writer
From Kiplinger's Personal Finance magazine, September 2011
Most people know that paying bills late can play havoc with your credit score. But not every move that shaves points from your credit score is so obvious.
1. Charging a big balance to a store card. You’re tempted to buy thousands of dollars’ worth of furniture or appliances and charge it all to a store credit card that doesn’t require payments for six months or even a year—and sometimes longer. But debt that sits untouched could drag down your score, especially if the balance is near the card’s limit, says John Ulzheimer, president of consumer education at SmartCredit.com. That’s because your credit-utilization ratio—the amount of debt you have relative to your credit limits—is calculated for balances on individual cards as well as overall. In addition, store cards tend to charge steep rates, so if you don’t pay the balance before the interest-free period is over, you will rack up big charges.
2. Trashing a parking ticket. Parking and speeding tickets, library fines, and other dues to the government left unpaid won’t go directly to your credit report. But if they are eventually reported to a collection agency, they could damage your score. That goes for anything that could go to collections, such as unpaid rent and medical bills. And even if you pay up, collections will appear on your report for seven years.
3. Stuffing your wallet with cards. If you’ve had a handful of cards for years, they won’t hurt your score. But if you open several new accounts in a short period, your score is likely to take a hit, and you may not benefit immediately from expanded credit limits.
4. Transferring a balance to a new card. The inquiry on your report from the new lender may shave a few points from your score, but the real problem is what you do with the old account. If you close it, your overall credit limit could go down, and your credit-utilization ratio will increase if you have debt on any remaining cards. Your best bet: Leave the old account open but keep a zero balance.
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