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Lil' Buddy's Blog - In Chicago, Less State School Funding May Lead to Higher Class Sizes . . . SOON!

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

Buddy Formal Photograph - With a Big Smile!Hey, you dogs!  Slowly, surely . . . Spring is returning to Chicago.  Lots of squirrels to chase, a few robins to bark at.  After a seemingly-endless winter, life is beginning to look brighter, every day!

As the economic recession still stubbornly drags on, IL Tax Revenues have fallen.  Statewide, many programs have been slashed.  Funding for local school districts, including those in Chicago and Chicago Suburbs, has not been immune.

Many elementary and high school districts in the Chicago Area are now faced with substantial budget cuts.  To bridge their own growing budget gaps, many districts are trimming their teaching staffs.  The result:  higher class sizes and less individual attention to students.

Will the cuts reduce the quality of education children receive?  Many parents think so!

But is there an alternative?

Today's Feature Story in the Chicago Tribune, by Reporters Lisa Black, Noreen Ahmed-Ullah, and Lolly Bowean tells of Chicago School Superintendent Ron Huberman.  He warns of a scenario where up to 3,200 Chicago Public School Teachers, plus 600 non-teacher staffers, can be laid off unless the massive district receives renewed state funding, coupled with adjustments to its teacher pension program.

Such layoffs, Huberman predicts, could drive up average class sizes across Chicago to 37 students, from the current 30.  The Chicago Public Schools now face a $700 Million Budget Shortfall, and the school chief hopes the layoffs, in the absence of further state funding, will help bridge the budget gap.

Earlier this month, district administrators in the Northwest Chicago Suburb of Elgin IL announced their plans to lay off roughly 1,100 employees - including 732 teachers - across District U-46, the second largest school district in IL.  They hope their move will trim $30 Million from their own budget deficit of $44 Million.

In the tony Chicago Suburb of Highland Park IL, school administrators in North Shore  District 112 floated the idea of increasing average class sizes by only one or two additional students.  They wanted to trim $300,000 off their own growing budget shortfall.

But the district's move was met with heavy opposition from parents, and the administrators quickly backed off.  In 2009, the average class size across the district was 19 in grades Kindergarten through five, and 21 in the middle school grades.

In the Western Chicago Suburbs, Wheaton-Warrenville District 200 has proposed eliminating 71 teaching positions next year, as part of an attempt to trim $6.4 Million in costs.  

In affluent Barrington IL, Northwest of Chicago, Community Unit School District 220 plans to lay off 15 non-tenured teachers, mainly in Barrington High School.  Administrators predict average class sizes at the school might increase to 30 students.  Across the district, the average will remain at about 25 students per class, a figure most teachers and parents consider acceptable.

In most school districts, the highest budget line item is personnel cost - often, up to 80% of the total school district's operating budget.  The most effective way to truly curtail spending, administrators feel, is to trim teachers and staff.

But do larger class sizes reduce the overall quality of education?  Experts debate that.

Northwestern University Professor of Education and Social Policy, David Figlio, finds little difference in educational value of a class of 22 students versus one of 25 or 27.  But parents in schools facing this sort of a change, he feels, will resist vehemently.

Although smaller class sizes do allow teachers to spend more time with individual students, it is the quality of the teacher that is a better predictor of academic success or failure.  One Educational Researcher at Stanford University said even a small class size can't make up  for a mediocre teacher.  Class sizes as high as 37 students were considered.

One possible effect of reducing staff, and increasing class sizes, may be less attention on the good, non-disruptive students in each classroom, while teachers increase their focus on  those kids causing trouble.  Cuts can also impact classrooms of special needs students, where layoffs of teacher's aides assist students physically, and also help teach curriculum.

This is serious stuff for humans, you dogs, and one unpleasant side effect of the economic recession.

When I graduated from Puppy Training, our class size was a comfortable 11.  But that was during better economic times.

In 2005!

Bark if you need me!

See my post today via BlogChicagoHomes.com.

YOUR ACE REPORTER ON FOUR PAWS,

BUDDY HOLLY MOSS & DEAN'S TEAM CHICAGO

Lil' Buddy's Blog - At Wrigley Field, Chicago - Tradition May Take Another Back Seat To Progress, New Revenue Streams!

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

Buddy Roots for the Cubs - 09-13-2007Chicago Cubs, 2010!  Believe it or not, another likely-non-championship season for our beloved Boys in Blue is less than three weeks away!  And, this year, they have a new owner, the Ricketts family.  For Cub Fans, no more Tribune Company to kick around anymore!

But now, it appears the previously-sacrosanct, unwritten rule of limiting advertising within Wrigley Field itself is going by the proverbial boards.  Over the last few years, LCD Advertising Panels have been erected under the upper deck, and under the historic center field scoreboard.  Years before that, extensive advertising was added in the main concourse under the stands.

Under Armor has been sponsor of the Outfield Wall Doors for a couple of years now.  Heck, there are no more "Wrigley Field Bleachers" anymore!  They are now the Bud Light Bleachers, with that sponsorship deal being signed after the Wrigley Outfield Seats were reconstructed in 2005.

Now, likely, in 2010, one more ox will be gored at Wrigley.

As reported by Chicago Tribune writers Ameet Sachdev and Blair Kamin, there's talk of constructing a 360 Square Foot Illuminated Toyota Sign behind the Left Field Bleachers.  The sign would be bright Toyota Red, of course, and would be attached to the back wall of the bleachers. 

Although ad signs have been visible to Wrigley Field Fans for decades, painted signage has always been limited to several buildings across the street from the ballpark, on Sheffield and Waveland Avenues.  WGN-TV, Miller Beer, Horseshoe Casino, and, years ago, Baby Ruth Candy Bars, as well as the long-defunct Ricketts Restaurant (no relationship to the Cubs New Owner).  Never before has a large advertising sign been physically attached to the ballpark itself.

The Cubs' new owners, The Ricketts Family, claims they want to preserve Wrigley Field, but want to identify new sources of revenue that will make it easier for field a championship team, and, hopefully, end the Cubs 101 year old World Series drought.

Traditionalist fans, along with Chicago 44th Ward Alderman Tom Tunney, whose ward includes Wrigley Field, decry the change as a major structural and visual change to the old ballpark.  Further, since Wrigley Field is the only Major League Ballpark designated with landmark status, the City of Chicago will have to approve any changes of this nature.

Other fans, mostly those younger, reluctantly conclude that such signage is necessary to allow the Chicago Cubs to become more competitive on a consistent basis, and should be approved.

The sign would rise 38 feet from street level from the back of the Left Field Bleachers on Waveland Avenue.  The sign itself would be 16 feet high by 22.5 feet wide.  Alderman Tunney wants to make sure the proposed sign does not block the view of the surrounding Lakeview Neighborhood from within the ballpark.

Although the Cubs would like to see the new Toyota sign in place by Opening Day, 2010 at Wrigley Field - Monday, March 12th - they concede that necessary city permits and approvals will not likely be in place by that time.

So, you dogs, I don't know.  Tradition . . . or progress?

I might agree with the change, but to prove these kinds of "enhancements" will bring the Chicago Cubs a World Series title sooner - frankly, my little mind just can't make the connection.

My two cents, anyway!

See my post today via BlogChicagoHomes.com.

Enjoy the weekend - time to hit the park!

YOUR ACE REPORTER ON FOUR PAWS,

BUDDY HOLLY MOSS & DEAN'S TEAM CHICAGO 

This Weekend in Chicago - March 13-14 - Chicago St. Patricks Day Weekend Festivities

Top O' The Morning, Folks!

St. Patricks Day comes next Wednesday, March 17th.  For some, but not for everyone, of course, the annual St. Patricks Day Festivities in Chicago are happening one weekend early. 

Our Team Member, Sue Moss, provides a rundown -

Today, Saturday, starts off early with this annual Chicago tradition, the Dyeing of the Chicago River at 10:45 a.m., so head on over to the Chicago River at Columbus Drive (399 N. Columbus Drive).  Best views are the east side of the Michigan Avenue bridge, upper or lower Wacker Drive between Columbus & Michigan, or the west side of Columbus Drive.  Click here for more information on this tradition.

Then it's time, rain or shine, for the 55th annual Chicago St. Patrick's Day Parade, which begins at Columbus & Balbo Drives (300 E. Balbo Drive) at Noon on Saturday.  Click here for more information.

If you haven't heard, the City's most attended and celebrated St. Patrick's Day Parade, known as the South Side Irish Parade, has been canceled, but not forgotten.

This Saturday, the Beverly Arts Center of Chicago will be hosting the South Side Irish Parade Family Fest.  A children's parade around the Center's grounds will be featured along with kids' activities, food, drink, Irish merchandise vendors, Irish dancers, a soda bread baking contest, and more.  A heated, outdoor tent will provide live music too.  Click here for more information.

Then on Sunday, the Beverly Woods Restaurant (11532 S. Western Avenue) will provide appetizers and soft drinks while mourning the loss of the South Side Irish Parade at the Parade Wake.  Music and a eulogy will be provided as well.  Click here for more information.

And finally, on Sunday, several North Side bars will be hosting the North Side Irish Barade, which also mourns the loss of the South Side Irish Parade, by touring several of those bars.  The price includes trolley service along with food buffets and Bud Light drafts.  Click here for more information and a list of participating bars.

But that's not all!  There's still more -

Learn how the Irish have shaped modern Chicago on Shoreline Sightseeing Cruises' St. Patrick's Day Cruise this Saturday.  This river tour includes an Irish lunch buffet with a cash bar, and has two tours, a pre- and post-parade one.  Click here for more information.

And let's not forget St. Patrick's Day at the Irish American Heritage Center located in the North Park neighborhood at 4626 N. Knox Avenue.  Their festivities run for four days and include more than 150 Irish dancers and live music as well as food vendors, kids' activities and more.  Click here for more information.

Needless to say, many of the Chicago area bars will be celebrating with their own Irish food & drink specials, entertainment and possibly more.  A few of those bars are -

Tilted Kilt Pub & Eatery in the Loop, Timothy O'Toole's in the Gold Coast neighborhood, O'Donovan's in the North Center neighborhood, and The Smoke Daddy Rhythm & Bar-B-Que in the East Village/Ukrainian Village neighborhood.

Finally, to bring your St. Patrick's Day celebrations full-circle, wrap-up on Sunday with one or both of these -

St. Paddy's 5K Run/Walk at Diversey Harbor at the Lake (2800 N. Lake Shore Drive).  Win a prize for best outfit by wearing a festive green costume.  There's also a post-race party at The Trinity BarClick here for more information.

Northwest Side Irish Parade in the Norwood Park neighborhood at 6334 W. Raven.  This is their 8th annual parade featuring performances by 65 units, including Mullane Irish Dancers, the Jesse White Tumblers, the St. Patrick's High School Jazz Band and much more.  Afterward, Immaculate Conception Parish will be serving up corned beef and cabbage dinners, soda, beer and wine along with a variety of live entertainment.  Click here for more information.

Please, party safely this St. Patricks Weekend!

Here's a link to Sue's This Weekend in Chicago Blog Archive, via BlogChicagoHomes.com.

DEAN & DEAN'S TEAM CHICAGO

Chicago Neighborhood News - March 13, 2010

Morning, Folks!

This week, our Team Member Cathy Mallers catches us up on happenings in the Chicago Neighborhoods of Portage Park, The Loop, Lincoln Park, The Gold Coast, and the Chicago Suburb of Evanston IL.

Have an event happening anywhere in Chicago or in any Chicago Suburb?  Let us know - we'll help spread the word.  Dean's Team offers the Number One Rated Active Rain Blog in the City of Chicago!

PORTAGE PARK

This weekend don't miss the quadruple feature at Portage Park Theater.  These are some real blasts from the past and truly an homage to the early horror flick.

You'll have the opportunity to see Abbott & Costello Meet Dr. Jekyll & Mr. Hyde (1953), The Phantom of the Opera (1925), The Bride of Frankenstein (1935) and The Ghost & Mr. Chicken (1966).  Grab some extra popcorn for this one.  It starts Sunday at 1:30 pm and lasts until 8:30 pm.

LINCOLN PARK

Theatre Y is now presenting the world premier of "I Killed My Mother," by award-winning Eastern European playwright András Visky, directed by Karin Conrad at the Greenhouse Theater, 2257 N. Lincoln Ave. Studio.

With Clip's (her soul mate) help she struggles to transcend the brutality of her surroundings and learns to "kill," that is turn her back forever, on parasitic bonds in order to realize her own extraordinary identity.  To receive 20% off tickets, use the code ROMANIA when ordering tickets at 773.404.7336.

THE LOOP

With a program sure to inspire any dancer, the Giordano Jazz Dance Chicago will showcase their greatest hits in "Ovations."  The group is coming back for their Spring show after critical acclaim last October.

They will be performing at the Harris Theater for Music and Dance in Chicago's Millennium Park tonight, Saturday.  With a robust program of six award-winning selections, this is surely something not to miss.

THE GOLD COAST

OK Foodies, be prepared for this one.  If you're a foodie, then you're very aware of Tru Restaurant.  The new M Burger at 161 E. Huron opens this Thursday and replaces the old chef's table from Tru.  There's not a lot of room to sit and dine, but this is sure to be a big grab-and-go lunch spot.  By the way, they have a couple chicken items too.

EVANSTON

It's time to start learning more about what this great suburb has to offer.  The Evanston History Center has a great deal of information about the growth of this near north suburb as well as a direct connection to the Burnham Plan.

With a newly re-opened Dawes House, you can view the exhibit "Daniel Burnham's Evanston."  The tour showcases Burnham's home and a show of fashions from his era.  Everything is viewable by tour only and tours are Thursday through Saturday from 1-4pm.

Here's a link to Cathy's Chicago Neighborhood News Blog Archive, via BlogChicagoHomes.com.

DEAN & DEAN'S TEAM CHICAGO

Lil' Buddy's Blog - Around Chicago, Gasoline About To Get Even More Expensive!

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

Buddy and his PT Cruiser - Cruisin to MN - 06-29-2008Good Morning, you dogs!  On the way to get gas.  I hate when I am almost empty.  Will I make it to the Mobil station?  Will I?  Will I?

You may have heard that the Chicago Area long has had some of the highest prices for a gallon of gas almost anywhere in the U.S. I saw this clearly a couple of weeks ago, driving back from New Orleans, and the 2010 Keller Williams Family Reunion Conference.

Drive through LA, MS, AR, MO, even Southern Illinois, and you see regular gas these days for about $2.65/gallon.  Here in Chicago - now over $3.00!

Used to be around here, if you wanted to save a few cents on a gallon of gas, you headed outside of the City of Chicago, for the nearest Chicago Suburb.  The Chicago City Limits are only about a mile from the suburbs of Skokie and Niles IL - gas is usually about 12 cents cheaper in these towns.

That might change this summer, however. 

As reported in The Chicago Tribune, in a story by Joseph Ruzich and Alicia Fabbre, many Chicago Suburbs, starving for more revenue in a tough economy, are looking to increased gasoline taxes to help fill their coffers.  Real Estate Transfer Tax Revenue, and Local Sales Tax Revenue, is down, as fewer humans move, and fewer still buy big stuff.

Out west of the City of Chicago, the suburb of Elmhurst is considering a 1.5 cent new tax on gasoline.  Further west, in Naperville IL, local gas taxes are already 2 cents on every gallon.  City leaders are considering doubling that!

Suburbs seeking tax increases promise to use the incremental revenue for local infrastructure and road projects.  Some community leaders feel the increased tax is less "obvious" than raising other local taxes - on real estate, for example, or the local sales tax.

But one troubling side effect might come to the gas stations owners themselves, as drivers in need of a fill-up might just pass them by, and search for gas in the next, and perhaps tax-cheaper suburb, further down the road.

In Naperville, the projected budget gap for 2011 is $5.5 Million.  The proposed gas tax increase will bring in about $700,000 - hardly bridging the gap.

Nearby, the suburb of Boling brook IL has a 5 cent per gallon gas tax.  Wheaton taxes at 4 cents per gallon, Woodridge and Downers Grove at 2.5 cents each.

The Chicago Suburbs of Oak Lawn and Evergreen Park, south and west of the City of Chicago, recently doubled their tax on a gallon of gas to 6 cents.  Northwest Suburban Des Plaines - also recently doubled, to 4 cents per gallon.  Glenview, Skokie, and Morton Grove IL also have implemented a gasoline tax to help fund local road and infrastructure projects.

Even towns in the nearby states of IN and WI are taxing gas more these days.  No where, it seems, can we dogs seem to save a buck on our daily commutes.

Say, you dogs - can anyone spare a $50?  Have to fill up my Lil' Honda?

Enjoy the weekend!  Humans:  take your lil' furry friends for frequent trips to the park!   OK?

See my post today via BlogChicagoHomes.com, please.

YOUR ACE REPORTER ON FOUR PAWS,

BUDDY HOLLY MOSS & DEAN'S TEAM CHICAGO

CHICAGO MAYOR RICHARD DALEY Advocates Tougher Gun Laws, Defends Chicago Gun Ban!

Here in Chicago, the cynical among us beam that our city was the Birthplace of the Drive By Shooting.  Gun rights advocates claim that restrictive gun laws do little, if anything, to curb violent handgun crimes, and extol the virtue of a citizen's right to bear arms.

Truth be told, however, gun crimes here in Chicago, especially those involving school-aged children, have skyrocketed over the last few years.  This is despite the fact that, on the books anyway, the sale, use, and manufacture of handguns has been banned in the City of Chicago for over two decades.

In Washington, the U.S. Supreme Court overturned a similar handgun ban in D.C. two years ago.  That ruling has  led to numerous lawsuits across the U.S. challenging the constitutionality of seemingly-common-sense gun prohibitions on a local level.  The Chicago Ban is coming up before the court soon.

But Chicago Mayor Richard M. Daley is undeterred by the action of firearm advocacy groups, such as the Illinois Rifle Association, advocating that the Chicago law be overturned or weakened.  As reported in Monday's Chicago Tribune by reporter Hal Dardick, the mayor wants to bring new legislation at the state level aimed at slowing the traffic of illegal weapons not only in the city, but statewide.

Daley advocates changes to the IL law that would require background checks for gun buyers at private sales, limit the number of guns that may be purchased, require the licensing of gun dealers,  and a ban of military-style assault weapons.

He is asking the IL General Assembly to make it a serious felony to sell a gun to a known member of a street gang, strengthen the penalties for illegal use of a firearm, and require special high-tech stamping of the guns themselves to allow police to more easily tie a gun to a particular crime.

All of these ideas have failed in previous efforts at passage.

The Chicago Mayor also supports efforts to re-instate the Federal Ban on Assault Weapons, which expired in 2004.  He wants a loophole that allows easy sale of guns at public shows to be closed, and a repeal of current laws which provide immunity to gun manufacturers from certain lawsuits.

Of course, gun rights proponents feel the right of a U.S. Citizen to own weapons for their own self defense should never be weakened.  For many years, they have been successful.

The Supreme Court Ruling, however, could change how the city deals with gun crimes.  But will it reduce or impact the number and severity of the crimes themselves?

Most feel - not likely!

Please read our post today via BlogChicagoHomes.com.

DEAN MOSS & DEAN'S TEAM CHICAGO

CONDOS GALORE IN DOWNTOWN CHICAGO - But Financing Them Often Difficult!

Condos, condos everywhere.  Often priced for a song, or just slightly higher. 

That's the environment in many new Downtown Chicago Condo Buildings, thousands of which began construction several years ago, in a stronger Real Estate Market.

Today, however, the overall weakness of the condo market here has left many prominent developers here doing the unthinkable - offering sizable discounts off their asking price.  This counters recent practice of maintaining high price points, but offering special incentives - reduced-priced upgrade packages, free garage parking, even Hawaii Vacations or HDTV's - instead of a lower price.

As reported by Jeffrey Steele in the February 14th edition of the Chicago Tribune, roughly 7,500 new construction condo units hit the Chicago Gold Coast, Loop, West Loop, South Loop, Streeterville, and River North Neighborhoods in Downtown Chicago between 2008 and 2009. 

According to estimates by Gail Lissner of Appraisal Research Counselors, at a meeting last month of members of The Chicago Association of Realtors, about 2,200 of these new units are still available for sale downtown.  That staggering figure is in addition to the 5,020 resale condo units available for sale in the same neighborhoods (Midwest Real Estate Data MLS Statistics for Downtown Chicago).

Experienced Real Estate Professionals covering Downtown Chicago see great equity building potential for those who buy now.  Our Team agrees.

Projects such as The Private Residences at Ontario Place near North Michigan Avenue, and the 565 Quincy project in the West Loop, are discounting some condo prices to the low $200,000's - prices never seen for years in these neighborhoods.  At the Quincy Street project, developer Alan Lev, President of the Belgravia Group, cut some prices in January as much as 30%.

Developers did try the incentive route, but, in this market, with the incredible inventory surplus, the condos just weren't selling fast enough.  Hence, the unprecedented price moves.

Even with the once in a lifetime discounts, however, many buyers are left sitting on the sidelines.  Far more stringent underwriting rules for Fannie Mae, Freddie Mac, and FHA Loans require more down payment of many condo buyers.  In our Team's experience, the once-widely-available 5% Down Financing is only for those with top credit scores, and buildings with impeccable financial credentials and condo reserves. 

Although building guidelines have moderated somewhat, many new construction projects do not have enough capital reserves in the condo association for approval of commonly-available financing options.  Further, some of the older buildings have an association "Right of First Refusal" built into their Condo Declaration.  This clause allows these condo associations to purchase condos in its complex that sell lower than they'd like - even finance them, if necessary - rather than potentially lower prices complex-wide.

Such Right of First Refusal used to be an automatic denial for FHA Financing - now practically the only option for buyers with less-than-10% down payments.  That is not the case anymore, but those buildings still require up to a several week wait for FHA approval of the complex. 

Also, the specific language of some First Refusal Clauses might slow down the foreclosure process when buyers default, a situation not acceptable to lenders offering 5-10% Down Conventional Financing.  Rules for those buying condominiums as investment - not owner-occupied - are even tougher.

In a nutshell?

Lots of opportunity in Downtown Chicago and The Chicago Loop to acquire condos at deep discount prices these days.  But finding the money to buy them often is a bit tricky.

Please see our post today via BlogChicagoHomes.com.

DEAN & DEAN'S TEAM CHICAGO

UNEMPLOYED NEED JOBLESS BENEFITS - But, Has Extending Benefit Period Actually Helped Keep Unemployment High?

Few would dispute the notion that high unemployment is dampening the Real Estate Market Recovery, here in Chicago and elsewhere.  As we like to tell our clients, if today is Friday, and you are fearful whether or not you will have a job on Monday, you're not going out and buy a more expensive house over the weekend.

But today, IL Unemployment Benefits have ballooned from 26 weeks less than two years ago, to a full 99 weeks today - nearly two years!  Have some of the long-term unemployed become so comfortable with the extended government dole to delay their plans to return to the work force?

To be sure, the job outlook may be looking up a bit in Chicago.  As reported by Chicago Tribune Reporter Mike Oneal. a survey by Temporary Employment Company, Manpower, Inc., projects local companies plan to step up their hiring during the Second Quarter. 

According to the Manpower Employment Outlook, 18% of those companies surveyed plan to hire more employees beginning next month.  Only 3% plan to make payroll cutbacks this coming quarter - 75% plan to keep staff levels unchanged.

But for those out of work for a long time, the extension of guaranteed government checks, no matter how paltry, may actually disincentive some to look for jobs. 

In his Chicago Tribune story from March 4th, Reporter Greg Burns points out that some economists feel the long benefit period might explain why roughly 40% of the U.S. Unemployed have been out of work for 27 weeks or more - the largest such figure since the Fed started keeping such records in the 1940's.

Robert Shinmer, a Professor of Economics at the University of Chicago, estimates that the long-term unemployed - those playing out their benefits period - could make up as much as 15% of the total unemployment rate.

Across IL, the Average Unemployment Check totals $315 per week, with a Maximum of $535 for a head of household with dependent children.  That's not a lot of money today, but it might have caused some out of work to spend more time finding a new job, rather than settling for a lower-level, and lower paying, position.

To say that the nation's high level of unemployment is only due to the ever-extending period for Unemployment Insurance Benefits is a gross over-simplification.  Many experts say the U.S. stands mired in the deepest recession in over 70 years. 

Changes in workplace technology, as well as the overseas outsourcing of jobs once held domestically, is a big part of the picture.  The availability of credit for many small businesses and individuals has dried up, directly impacting the ability of these companies to grow and hire.

Further, the crash in Real Estate Prices, felt especially strong in many neighborhoods across Chicago and Chicago Suburbs, has kept many from selling their homes, realizing a small profit from the equity, and moving on.

But, even as extended, Unemployment Benefits will indeed expire, eventually.  Will this spur more people back to the work force, and drive us past the recession?

Stay tuned!

Please see our post today via BlogChicagoHomes.com.

DEAN MOSS & DEAN'S TEAM CHICAGO

Lil' Buddy's Blog: Zillow "Zestimates" - Accurate? Often, Even Homeowners Themselves Predict More Accurately!

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

His Majesty, Buddy Holly Moss - Guards the Moss Family Compound - 09-18-2008Good Afternoon, you dogs!

Well, before you know it, those Lazy, Hazy, Crazy Days of Summer will be back, and all of this Melting Chicago Snow will be gone.  Can't be soon enough for me - I have a concrete sidewalk to spread across, and green grass to smell!

Zillow!

If you're a Chicago Homeowner, or have ever considered buying or selling a home in Chicago, you know this well-publicized consumer website.  Since its debut here, during the boom market of 2006, many of our Team clients first checked the site before calling us for our opinion of value.

"We know our home value," some said.  "We "Zillowed' it!"

Now, according to a study by an Academic Think Tank in Texas, as reported in the Chicago Tribune by Mary Ellen Podmolik, many of the Zillow Estimates for the sample it studied - over 2,000 homes in the Dallas TX Suburb of Arlington during 2006 - had their values grossly overstated.

The research found that 40% of the home values provided by the Zillow Proprietary Formulas - they call them "Zestimates" - were actually overstated in value by 10% or more.  Less than one percent of the test sample had their home value under estimated.  The entire study was published in last winter's edition of The Appraisal Journal, an industry trade magazine of The Appraisal Institute.

We might have suggested the same here in Chicago, as some of the "Zestimates" provided by our clients over the last few years have been very high, especially as many sectors of the Chicago Real Estate Market went into steep declines beginning late in 2006.

Professor Ron Rutherford, one of the authors of the study, selected Arlington TXbecause of its stable real estate market at the time, and because Zillow gave its estimates in that market "Four Stars" for reliability. 

By contrast, the Internet Valuation Site gives Chicago a lower, "Good" Rating.  Zillow says 70% of its home price estimates are within 20% of the likely or actual sales price, with a Median Error of 11.5%.  This Median Error means half of all the homes the Internet Site values in the Chicago area are off by 11.5% or less - the rest are off by greater than 11.5%.

Homeowners themselves, by comparison, inflate their homes value by only 5-8%, according to the TX Research.  Rutherford attributes this to more in-depth, personal knowledge of the features of the home, of course.  But, although generally optimistic, most homeowners have friends or family members who have experienced today's market challenges first hand locally, and uses their input to factor their own estimates.

As you might imagine, Zillow disputes the validity research findings.

But these days, a Real Estate Practitioner has to use more than a computer-generated model to estimate home value - especially in a still-shifting Chicago Real Estate Market.  Specific location factors have to be taken into consideration, as well as traffic and noise patterns, in addition to how the interior and exterior of the house actually shows as compared to the competition, and its level of upgrades.

Geez - even a Lil' White Dog with an IL Real Estate Broker's License understands that!

However, you dogs, in this day and Internet Age, there will always be room for an online opinion.  It's just important not to consider it as the ONLY opinion a homeowner uses to establish value.

My two bones of an opinion, anyway!

Enjoy the weekend - make sure your humans take you on regular walks!

Please see my post today via BlogChicagoHomes.com.

YOUR ACE REPORTER ON FOUR PAWS,

BUDDY HOLLY MOSS & DEAN'S TEAM CHICAGO