"You've Caught the NET!"

Tighter lending guidelines have made it tough, in many cases, for the average Chicago Homebuyer to procure mortgage financing to buy a home.  Often, however, the task of financing a condominium or townhome in Chicago is even more difficult.

As our Team has found in recent months, many condo buildings, in average to more affluent areas, harbor multiple properties whose owners are in financial distress.  Owners behind in their mortgage payments are often behind in their payment of monthly homeowner assessments as well.  If too many units are in arrears, lenders may refuse to offer a mortgage against any unit in the same building.

As outlined by Chicago Tribune Reporter Mark Pearlstein, guidelines for both low-down-payment FHA Loans, and Conventional Loans backed by Federal Mortgage Guarantor and Investor Fannie Mae, require that no more than 15% of units be more than 30 days late in their assessment payments. 

For smaller buildings, like the two-bedroom ground floor unit, in a ten-unit building, we currently have under contract in the Rogers Park Neighborhood of Chicago, as few as two units behind in their assessments can potentially scuttle an in-process deal.

Right now, one unit in the building is behind - but another is a couple of weeks late on their last month's assessment already, and it is not likely they will pay current by the end of the month.

So what happens to an otherwise-solid deal due to this unplanned-for turn of events?  Well . . . it could get derailed!

Often, underwriting guidelines are not flexible - and, if they are not met, they are not met!  The loan gets disapproved, not on the merits of the condo buyer, but rather the strength of the building itself.    Seems like common sense, but, if you are a seller trying to avoid a distress-sale situation yourself, it seems like just another unsurmountable obstacle!

We've encountered other situations where the association has filed suit for back assessments, plus fines and legal fees, against a tardy unit owner.  Other association suits attempt to obtain physical possession of the unit, in order to rent it out use the rent to recoup lost assessment revenue.

Again, according to FHA and Conventional Guidelines, such a suit must generally be satisfied of settled at or before closing in order for the unit buyer - or, for that matter, any buyer in the complex or building,  to receive loan approval. 

Other stumbling blocks to approval - inadequate building reserves, pending special assessments, or long-term capital repair or improvement projects, even if they are already in place.

Here in the North and Northwest Side of Chicago Neighborhoods we serve with great frequency, any impediment to financing approval can quickly kill a deal, and add more distressed inventory to the building.  This added inventory, per the guidelines, has no chance of being sold.

SNOWBALL, it appears!

This is happening with greater frequency in condo buildings we see and list.  It further delays Real Estate Market Recovery, and keeps other, potentially qualified new buyers from closing and taking possession of their new condo homes.

Perhaps this is one of several reasons why Chicago Condominium Sales, especially in the outlying, less-expensive Chicago Neighborhoods, continues very sluggish.

Please see our post today via BlogChicagoHomes.com.

DEAN MOSS & DEAN'S TEAM CHICAGO

Good Afternoon, folks!

The first big holiday weekend of Summer, 2010 has hit Chicago, and there is so much to do around town, not including the President Obama Watch in the Kenwood and Hyde Park Neighborhoods on the South Side of Chicago! 

Our Team Member, Sue Moss, provides a rundown.

Soldier Field 10 Mile is an annual race sponsored by Fleet Feet, and gets started at 7:30 a.m. this Saturday outside Soldier Fieldlocated at 1410 S. Museum Campus Drive.  This event also features a 2-mile fitness walk and a kids' race, with post-race festivities inside the stadium, so be sure to stick around.

Bike the Driveis an event where cyclists take to Lake Shore Drive (no auto traffic for five hours) for a 15- or 30-mile non-competitive ride.  You can begin the course this Sunday between 5:30 a.m.-9:00 a.m.  Afterward, head on over to Butler Field in Grant Park for a post-ride bash from 8:00 a.m. to Noon with live music and an all-you-can-eat pancake breakfast for $7.00 extra.  Sounds like a great deal to me!

Chicago's Memorial Day Parade and Wreath Laying Ceremony is scheduled for Saturday with the Wreath Laying Ceremony at 11:00 a.m. at the Eternal Flame on Daley Plazain Chicago at Dearborn and Washington Streets, and the parade following at 12:00 p.m. at 200 N. State Street, which features marching bands, veterans' groups and Gold Star Families.  You certainly don't want to miss this parade billed as one of the largest in the country!

Norwood Park Memorial Day Parade is a patriotic tradition by this Chicago neighborhood that has continued undisturbed for over a century.  The parade starts off from Onahan School located at 6634 W. Raven on Monday at 11:00 a.m., and brings out the entire community!

Fete for the Vets held at The Tin Lizzie in the Lincoln Park neighborhood at 2483 N. Clark Street, will have guest bartenders who have served in the armed forces slinging up drinks this Saturday from 11:00 a.m. to 3:00 a.m.  ALL tips will benefit veterans and their families, so get our there and have one for a Vet!

Randolph Street Market Festival officially opens this Saturday and Sunday for its 7^th annual European-style fair with themed mini-markets, a pet-friendly outdoor market, kids' activities and more.  This festival is located in the West Loop neighborhood at Randolph and Ada Streets (1350 W. Randolph Street).  Also, get free admission on Sunday if you participate in Bike the Drive!

Belmont/Sheffield Music Festival now in its 26^thyear will feature local, regional and national bands this Saturday and Sunday.  This popular street party is held at Sheffield and Belmont Avenues (3200 N. Sheffield Avenue) in the Lakeview neighborhood.

The Arboretum of South Barrington Memorial Weekend Block Party is an all-day event which features live entertainment including performances by the 10,000 Maniacsand Michael McDermottthis Saturday from 9:00 a.m. to 10:00 p.m. in South Barrington at Higgins and Route 59 (100 W. Higgins Road), which is a suburb of Chicago.  This 2^nd annual block party also includes food, shopping, rides, face painting and more.  But, more importantly, this event will benefit the Heart of the Marine Foundation and spread awareness about the Juvenile Diabetes Research Foundation International!

Chicago Gaelic Park Irish Fest is an annual event which features live music, storytelling, theatrical performances, kids' entertainment, Irish merchandise and much more!  It even includes unlimited carnival rides!!  This fest is located in Gaelic Park at 6119 W. 147^th Street in Oak Forest, a suburb of Chicago.

Memorial Day Fireworks at Navy Pier kicks off its season on Saturday at 10:15 p.m. at Navy Pier located at 600 E. Grand Avenue with a spectacular display of colorful fireworks that are synchronized to the music of soundtracks and runs all summer long!

So, on this Memorial Day weekend, as you are out celebrating with family and friends, please take a moment to honor all our Veterans who gave the ultimate sacrifice in defense of our country so we can enjoy wonderful events such as those taking place this weekend.

Special Sports Announcement:

Stanley Cup Finals -- Chicago Blackhawks vs. Philadelphia Flyers

Game 1, Saturday, 7:00 pm., NBC

Game 2, Monday, 7:00 p.m., NBC

This is the Blackhawk's First Appearance in the Stanley Cup Finals in 18 years, so, please . . . ROOT THEM ON!

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

Enjoy the Holiday Weekend, Chicago Style!

DEAN MOSS & DEAN'S TEAM CHICAGO

Historically, kids who break the Chicago Curfew for those under the age of 17, especially in some of the toughest neighborhoods in Chicago, are rounded up and sent to the closest police station.  Curfew here begins at 10PM each weeknight, Sunday through Thursday, and at 11PM Friday and Saturday, all through the year.

Now, Chicago Mayor Richard Daley wants to shake things up a bit!  The story was reported by Chicago Tribune writer John Byrne.

Effective immediately, The Mayor is starting a trial program geared at introducing to youths alternatives to hanging out in the streets.  Parents of children who violate the Chicago Curfew Law will now have to pick them up at select Chicago Parks.  While there, the kids and their parents will have to speak with Chicago Neighborhood Relations Officers about youth programs available through the Chicago Park District.

Parks becoming Curfew Pickup Sites include those on the South Side of Chicago - Ogden Park, on the 6500 Block of South Racine Avenue, Harris Park, at 6200 S. Drexel Boulevard, and Piotrowski Park, at 4247 W. 31st Street on the Southwest Side of Chicago.

Perhaps parks are  less intimidating  environment than a police station for creating positive habits.  And new positive habits will have a lasting impact on how young folks in Chicago structure their leisure time.

Here's a link to today's post via BlogChicagoHomes.com.

DEAN MOSS & DEAN'S TEAM CHICAGO

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

Hey, you dogs!  I'm getting all set for my BBQ this weekend with Bo - you know, President Obama's Portuguese Water Dog.   That world-famous dog in town this weekend, for his first state visit to Chicago.

Who knows, maybe I'll even get to see his Human Daddy, and tell him a thing or two about how to run the good ole' U.S.A.  I figure, if I bark long enough, perhaps he will listen!

Despite the fact that Bo, and, of course, the First Human, live in Chicago, they really don't have to deal with infamous Chicago Traffic anymore!   Flying Air Force One into O'Hare, taking the Marine One Helicopter down to Soldier Field, then a multi-vehicle motorcade down to the Presidential Home on South Greenwood Avenue near Hyde Park Boulevard in the Kenwood Neighborhood, over cordoned-off streets - they will soon forget how generally awful Chicago Road Congestion really is!

In fact, according to a new study by the Federal Highway Administration, in conjunction with The American Transportation Research Institute,Chicago now has the worst congestion of truck traffic anywhere in the U.S.  The story was reported by Jon Hilkevitch in the Chicago Tribune,

The Administration released a list of the Top 100 Truck Traffic Bottlenecks across the U.S., and Chicago is on the list three of the Top Ten times - including the Two most congested traffic corridors in the country!

Number One is what is locally known as the Circle Interchange - the junction between the Eisenhower Expressway (I-290), the Dan Ryan, and the Kennedy (I-90/94), just west of The Chicago Loop.   Often referred to as "The Spaghetti Bowl" by disgruntled drivers, the average truck speed here dips to 23 miles per hour this stretch of highway during the rush hours (a seemingly endless number of hours each week), and only 30 MPH during non-peak driving times (for example, Sunday Morning, about 3:00 AM, when it's not raining, snowing, or cloudy outside!)

The Number Two Rough Spot - the junction of the Kennedy Expressway, with the Edens Expressway (I-94), on the Northwest Side of Chicago, around Montrose and Cicero Avenues.  Here, once again, the average rush hour speed is 23 MPH, and a slightly more endurable 39 miles per hour during non-peak driving times.

Number Nine is the junction of the Dan Ryan with the Bishop Ford Freeway, on the far South Side of Chicago.  At this point, the average measured truck speed is 38 MPH during the rush hour, 50 other times of day.

Other less serious truck bottlenecks around Chicago - the junction of I-290 with I-355 in the Western Suburbs of Chicago, ranking 67 on the Highway Administration Hot 100 List.  The I-80/94 Corridor, linking the Southern Suburbs of Chicago with Northwestern Indiana, ranked 85 on the list.

And, you gotta remember, you dogs, if truck traffic is slow, so is traffic for those of us driving smaller vehicles as well . . . yes?

Hey, Mr. President?  Wanna hire a Lil' White Pekingese to show Bo around town this weekend?  I've never driven in a motorcade before.  You know, I'll work for Recession Wages, and won't eat much.  And, besides, your Bo will love the fact I know all of the best trees to mark around town!

Enjoy the Memorial Day Weekend with your humans!  Catch you next week - assuming I don't get tied up in traffic!

See my post today via BlogChicagoHomes.com.

YOUR ACE REPORTER ON FOUR PAWS,

BUDDY HOLLY MOSS & DEAN'S TEAM CHICAGO

I heard from an old Chicago Real Estate Agent some years ago an interesting axiom about a high Unemployment Rate, and it's impact on the Real Estate Market -

" If it's Friday, and folks are worried whether they will have a job come Monday, it is unlikely they will buy a new home that Saturday or Sunday."

We all wonder here if that old salt might indeed be true.  According to figures released by the Illinois Department of Employment Security, as reported by Sandra M. Jones in today's Chicago Tribune, the seasonally-unadjusted Unemployment Rate in the Chicago Metro Area increased to 10.7% last month, up from 9.8% recorded one year earlier. 

That Unemployment Rate is extraordinarily high, but it is recent moderation in the level of increase that gives the optimistic pause for hope.  Says Maureen O'Donnell, the Director of the IDES in Chicago, the level of the increases had tapered off in the past four months.  She is hopeful this is but one of many signs the U.S. Recession may be coming to an end.

With every monthly employment report for the last three years, the Unemployment Rate in the Chicago Metro Area has jumped.  In the last few months, however, the pace of the increase has slowed.  Many experts find that encouraging, but caution the economy is still fragile, and an oversupply of very inexpensive distressed homes, coupled with a still-too-high jobless number, is likely a major tempering factor in a Chicago Real Estate Market turnaround.

Across IL, all Major Metro Areas have suffered through far higher unemployment than in April, 2009.  The biggest increase, year over year, belongs to the town of Rockford, IL, about 90 miles northwest of Chicago.  That city's Unemployment Rate skyrocketed 3.3% from one year ago.  It currently stands at 16.3%!

The IL Unemployment Rate currently stands at 10.8%, versus 9.5% nationally.  Indeed, Illinois Unemployment as a percentage of those out of work, but who still want to find a job, is 13.7% higher than the U.S.Average.

In the Chicago Metro Area, the number of non-farm jobs, not seasonally adjusted, fell 2.3% last month.  In North Suburban Lake County IL, including the Kenosha WI area just over the IL-WI border, non-farm payrolls declined 3.5% last month.

On the face, the numbers draw concern.  They also make you wonder whether the Chicago Real Estate Market is in for substantial recover in 2010.

Please see our post today via BlogChicagoHomes.com.

DEAN MOSS & DEAN'S TEAM CHICAGO

Is the Chicago Real Estate Market beginning to gain its stride once again?  It depends on what statistics you are looking at!

Considering Single-Family Homes in the City of Chicago, median home prices in April jumped 3.2%, versus April, 2009.  According to data compiled by the Illinois Association of Realtors, as reported in the Chicago Tribune by Mary Ellen Podmolik, the Median Price of single-family homes sold within Chicago was $155,000 last month - an increase of 14.8%. 

Taking into account, citywide, the combined figures of detached homes and condos, the median price spike was 3.2%, to $225,000.  Total units sold - detached homes and condos - increased 41.1% year-over-year - the eighth straight month of unit sales increases here.

However, when looking at only condos within the Chicago City Limits, the median sale price dipped 3.9%, to $278,012, despite the fact that unit sales in April increased 53.9% versus April, 2009. 

Across the entire Chicago Metro Area, prices actually decreased 0.5% in April.  All of the nine counties comprising the Chicago Metropolitan Statistical Area and some Outlying Counties saw unit sales gains as high as 77% in April, 2010, compared to a year earlier. 

Cook County - the county in which the City of Chicago is located - posted only a modest 1.8% median home price increase in April, 2010 versus April 2009.   The Median County-Wide Single-Family Home Price - $195,000.  North Suburban Lake County IL showed the largest year-over-year Median Home Price increase - 11.2%, to a $200,000 Median Price in April.

Some positive indications, yes!  But questions remain over the staying power of any housing market recovery these days.

Unemployment tops 11% in the Chicago Metro Area.  Further, many worry that the expiration of the Fed Homebuyer Income Tax Credit - which provided first-time buyers and select repeat buyers with up to an $8,000 Income Tax Credit before expiring the end of April (purchase contracts must have been written last month, to close no later than June 30th to qualify) - may draw down the pool of buyers this summer.

Indeed, according to a study by Campbell/Inside Mortgage Finance, only 43.2% of home buyers in April were purchasing their first home, thus qualifying for the credit.  In March, just over 48% of all home buyers were first timers.  It will be bellwether to see how many first-time homebuyers remain in the market this month, now that the Fed Tax Credit has expired for new written contracts.

For the week ending May 14th, a Mortgage Bankers Association survey indicated new Mortgage Loan Applications plummeted 27% versus the previous week, and a total of 20% over the past 30 days.  That's the lowest level of mortgage applications in the last 13 years!

Please read our post today via BlogChicagoHomes.com.

DEAN MOSS & DEAN'S TEAM CHICAGO

Hey, Zillow - the world-famous Computer-Modeled Home Valuation and Promotion Website?

You hear me?  Do ya?

I think we have a problem here!  Really, we do!

And it is steaming me more than the 90-degree Chicago temperatures this afternoon!

Tell us why - yes, why - our listings via Zillow now each have links on them to other, competing agents on their property pages? 

Now, I'm not talking the managing broker of the Listing Agent's office.  I'm talking other competing agents, on my listings, in the right-side index!  Low!

You know, we Real Estate Practitioners work hard, and spend lots of money distributing our websites via the Internet.  Pay per click, SEO, Virtual Tours, the whole nine yards!

The objective, of course, is to gain web presence, higher search engine ranking, and, ultimately, to sell the listing for our clients. 

For the seller, a link back to the Listing Agent assures immediate response.  A link to a competing broker - often, hit or miss!  Might the affected sellers be losing phone or email inquiries about their home for sale if they go to another, potentially-not-as-responsive agent?

Within the past year, major Real Estate Sites like Zillow, Trulia, and others have begun charging for premium positioning, placement, and promotion on the Internet.  I've got no problem with that!  Everybody has to make a buck, you know, especially in these challenging times in Real Estate.

But to place other agents - perhaps those who have paid the premium, I am not sure - on another agent's listings.  Heck, I am not sure if that is even legal in most states, without prior Virtual Office Website (VOW) consent!

I noticed from an email today that our Keller Williams Executive Director of Technology, Cary Sylvester, has challenged Zillow to reverse its practice of posting multiple agents on an agent's listing.  Apparently, they have agreed to the reversal - but only for we Keller Williams Associates.  Not for anyone else - yet!

Even so, two of my own listings, sent via feed (Dean's Team Chicagodoes not pay for premium Zillow services) STILL have other agents links on my listings.

We believe you have gone too far, Zillow - against the agents, as well as the Seller Clients they represent!  The Keller Williams central Internet philosophy - "My Listing/My Leads," should be pretty much universal.

Sending them to the Office Broker or Manager - not most desirable for the agents, but better than this kind of syndication.

This really makes me mad - and it should for you as well, whether you are a real estate professional, or an seller simply wanting your house SOLD!

Do you agree?  Please, spread the word . . . SHARE!

DEAN MOSS & DEAN' S TEAM CHICAGO

Good Afternoon from Chicago, folks!

In this week's installment of Chicago Neighborhood News, our Team Member Cathy Mallers covers the Chicago Neighborhoods of Norwood Park, Lakeview, South Loop, Gold Coast, as well as the Chicago Suburb of Evanston IL.

Got something going on, in any Chicago Neighborhood or Suburb, you would like us to help you publicize?  Let us know, and we'll help you spread the word.  Dean's Team offers the Number One Real Active Rain Blog in the City of Chicago!

NORWOOD PARK

Taft High School is committed to community and raising awareness.  Just recently students from the local school hosted a breast cancer awareness walk - a cause near and dear to the hearts of Dean's Team.  Students came up with the slogan "Fight Like A Girl,"  in support of the cause. 

LAKEVIEW

This neighborhood has an affinity for the Cubs and the history of not only the team but also the park, Wrigley Field.  Last week, Alderman Tom Tunney embraced a plan that has been in development for the past two years.  M&R Development plans to install a complex at Addison and Clark streets which will include a 137-room Hyatt hotel, 135 residential units, 147,000 square feet of retail space and a 403-space underground parking garage.  Due to building and residential concerns the original plan was shrunk to meet the concerns of the community.

THE SOUTH LOOP

Starting today, the Chicago Park District will be hosting a series of public meetingsto discuss the future of Grant Park and Northerly Island.  Last fall the Park District retained Michael Van Valkenburgh Associates to "re-imagine" the 25-acre expanse from Daley Bicentennial Plaza to Peanut Park.  The first planning meeting is schedule for May 26. 

THE GOLD COAST

During the month of May you'll be seeing the Lakefront Sculpture Exhibittake on new shape as the 2010 exhibit is installed.  A jury selected twenty local artists in the ninth year of the exhibition, showcasing large-scale art for the neighborhood.  Look for sculptures anywhere from quiet residential streets to manufacturing districts to beautiful park settings.

EVANSTON IL

The City of Evanston is calling all residents and students with computer skills to join in their first annual Code-A-Thon.  The group will come together on June 5 to move the city's existing website to a new location and finish other web projects which need their expertise.  You need to sign up by Wednesday, May 26, to join the group.

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

DEAN MOSS & DEAN'S TEAM CHICAGO

Did the Fed Homebuyer's Credit, for First Time Buyers and Select Repeat Buyers, which expired the end of April, bolster the Real Estate Market?   Has its expiration thrown the market, in Chicago and elsewhere, into the doldrums?

One measuring stick, the number of Residential Loan Applications, fell 27% for the week ending May 14th, according to the Mortgage Bankers Association, as reported by Mary Ellen Podmolik of The Chicago Tribune.  In May alone, mortgage apps have declined 20% so far - to their lowest level in 13 years.

Another came from the U.S. Commerce Department early last week.  Although they reported housing starts jumped in April, building permits, which measure future new housing activity, fell 11.5% month to month, to their lowest level since October, 2009.

For our Team, which does considerable business in North and Northwest Side Chicago Neighborhoods and close-in Chicago Suburbs, interest in the up-to-$8,000 Fed Tax Credit seemed muted, as compared to a bit of a spike of interest in November, 2009.  At that time, there was uncertainty whether the credit program would be extended into this year.  Many prospective first-time homebuyers hustled to take advantage of the free Fed money.

Figures from the Illinois Association of Realtors show existing home resales this past March were roughly 45% higher than they were one year earlier.  April figures are due out this week, but they will not yet reflect any falloff resulting from the expiration of the Fed credits.

Conventional wisdom suggests any sluggishness from the expiration of the credit could be countered by even more aggressively pricing housing inventory still available.  It appears, at least early on, however, that, for many prospective buyers, taking the Fed Homebuyer Incentive off the table provides one more reason to to return to the sidelines - at least for the time being.

Please see our post today via BlogChicagoHomes.com.

DEAN MOSS & DEAN'S TEAM CHICAGO

Good Sunday Evening, folks, from Hot & Steamy Chicago!

It's nearly 90 degrees, but they are still playing hockey in Chicago.  Our beloved Chicago Blackhawks have swept the near-equal San Jose Sharks into the Stanley Cup Finals.  That's the first time in 18 years we have made it this far in NHL Hockey.

Sorry, San Jose.  Take Care, Vancouver.  See You Next Year, Nashville.

Here, in Chicago - where we die-hard Chicago Cub Fans last celebrated a World Series Victory over 102 years ago - having one of our Professional Sports Teams win something significant doesn't come very often, you know!

Back in 1984, 1989, 1998, 2003, 2007, and 2008, I was feeling pretty good when the Cubs made it to the playoffs. Carried the incredible high to my business.  But the team's eventual loss left me, and many of my colleagues, quite down for several days, even a couple of weeks.

When the Chicago Bulls of the 1990's took home Six Championship Rings, even when the Chicago Bears won the Super Bowl in 1985, the whole city was proud - myself include.  Civic pride resulted in an even more positive attitude, and growing business during these off seasons.

So tonight, I am on a roll!  Oozing Civic Pride.  These Hawks - they are GOOD!  AMAZING, even!

Now . . . can I bottle up this nearly-invincible feeling and use it to my business advantage?

Is there attitude carry over?

Or will I slip into the usual, Chicago, glass-half-empty mode?  And worry if the Philly Flyers, or Montreal Habs, will kick our butts beginning about a week from now, during the Stanley Cup Final Series?

I can't help it, folks . . . I am from Chicago.  And Sports Championships here are few and far between!

You folks in traditional sports champion cities - Boston, Pittsburgh, Los Angeles, Green Bay.  Have Sports Victories increased your optimism, your overall attitude, and even improved your business?

Please share!  I sure hope so, as I feel I have the world by the tail tonight!

Man . . . I'm such a GUY!

Enjoy the evening, wherever your favorite team is tonight!

DEAN MOSS & DEAN'S TEAM CHICAGO