IN CHICAGO, COOK COUNTY, STATE OF ILLINOIS - Foreclosures Continue to Climb!
COOK COUNTY STATISTICS - ONE IN 362 HOMES IS AT SOME STAGE OF THE FORECLOSURE PROCESS!
Those thinking any problems in the currently-sluggish Real Estate Market, in Chicago and across the U.S. is waning need only look at current figures compiled to RealtyTrac.com to again become concerned.
Illinois shows a 57.99% increase in homes in foreclosure during the Second Quarter, 2008, compared to the First Quarter last year. One in 193 homes statewide is at some stage of the foreclosure process, and the number of foreclosures has jumped nearly 16% since the first quarter of 2008. Cook County added 5,944 foreclosed properties in May, 2008.
Across the U.S. 739,714 homes received at least one notice involving foreclosure last quarter - a staggering increase of 121% versus the Second Quarter, 2007. The usual culprits: high homes-for-sale inventories, sliding market values, tightening standards in the lending industry, and a tight U.S. Economy leaving fewer Americans with the money to make their house payments, let alone consider buying a new home.
Mark Zandi, Chief Economist at Moody's Economy.com, estimates that in excess of 2.8 Million home owners will be at some stage of the foreclosure process by the end of 2009.
This gloomy foreclosure data comes in the wake of the U.S. Senate passing the massive Housing Relief Act, due to become law assuming President Bush signs it this week. The legislation tightens rules for lenders, eliminates Down Payment Assistance Programs for certain FHA loans, and strengthens guidelines for federally-sponsored mortgage giants Freddie Mac and Fannie Mae.
It also provides a financial safety net for Fannie and Freddie, should they need it go keep solvent and operating. Shares of both companies have fallen off dramatically within the last 10 days.
The cornerstone in the Housing Relief Act will create a permanent, government-sponsored Affordable Housing Program, as well as a special refinancing program that can benefit an estimated 400,000 distressed homeowners currently facing or about to be facing foreclosure actions.
For more information and related video, review J.W. Elphinsotne's article in last Friday's Chicago Tribune. Here is the latest RealtyTrac.com latest U.S. Foreclosure Data.
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