Getting Real
How Much Longer Will Chicago Foreclosure Activity Remain Depressed?
The July Foreclosure Market report from ATTOM came out last week and it continues to show extremely low levels of foreclosure activity across the nation. However, it’s been the foreclosure moratorium that has been depressing activity and that technically ended on July 31. For those on the wrong side of a foreclosure the end of the moratorium is a bit depressing but all is not lost.
As Rick Sharga, executive vice president of RealtyTrac, an ATTOM company, said:
The end of the government’s moratorium won’t result in millions of foreclosures, but we’re likely to see a steady increase in default activity for the balance of the year. Much of the foreclosure volume will come from the reinstatement of foreclosure proceedings on properties that had already been in default prior to the pandemic, and new foreclosure activity on vacant and abandoned properties.
We might see an uptick in foreclosure activity starting in August but it’s not like people are going to lose their homes overnight. Forbearance is still an option for many who can enter the program through September 30 if they have government backed loans. They might have that option for non-government backed loans, depending on the mood of their mortgage servicer.
There is also some kind of weird CFPB rule out there that says that mortgage servicers need to review your options with you and can’t really start the foreclosure process until January 1, 2022. So, effectively, the foreclosure moratorium is really in effect until January 1 ?!?!?! I’m so confused.
Anyway, here is the latest Chicago foreclosure activity data and you can see how low it is. After we get the August data it will be interesting to see if there is a significant rise.
An even better indicator of what is going on is the delinquency rate. After the huge spike at the beginning of the pandemic it’s been falling pretty fast. The chart below comes from Black Knight’s June Mortgage Monitor report and it shows the delinquency rate down to 4.37%, which is about where we were 6 years ago and again earlier this century.
Chicago Shadow Inventory
The number of Chicago homes in some stage of the foreclosure process remains low and has been slowly trending down for some time now. I guess this could be heading up soon for the first time since I’ve been tracking the data.
#Foreclosures #ChicagoForeclosures #Coronavirus
Gary Lucido is the President of Lucid Realty, the Chicago area’s full service real estate brokerage that offers home buyer rebates and discount commissions. If you want to keep up to date on the Chicago real estate market or get an insider’s view of the seamy underbelly of the real estate industry you can Subscribe to Getting Real by Email using the form below. Please be sure to verify your email address when you receive the verification notice.
Filed under:
Foreclosures/ Short Sales, Market conditions
Welcome to ChicagoNow.
Getting Real On Facebook
Subscribe To Getting Real
Meet The Blogger
Gary Lucido
After 20 years in the corporate world and running an Internet company, Gary started Lucid Realty with his partner, Sari. The company provides full service, while discounting commissions for sellers and giving buyers rebates.
Recent posts
How Much Longer Will Chicago Foreclosure Activity Remain Depressed? »
Chicago’s Safest And Most Dangerous Neighborhoods 2021: Assault & Battery »
Chicago Real Estate Market Update: July Sales 3rd Highest In 25 Years »
Chicago Murder Map And Neighborhood Totals – 2021 Update »
Chicago Foreclosure Activity Not Budging Much »
Featured Posts
How Realtor’s Lie To Get Your Business
The #1 Myth About Selling Your Home
The #2 Myth About Selling Your Home
Tags
market conditions (554)
Chicago home prices (226)
Case Shiller index (143)
Chicago foreclosures (130)
industry issues (91)
Chicago monthly real estate market update (82)
real estate agents (66)
Chicago real estate market (64)
foreclosures (60)
Neighborhood news (56)
Monthly Archives
August 2021
July 2021
June 2021
May 2021
April 2021
March 2021
February 2021
January 2021
December 2020
November 2020
October 2020
September 2020
August 2020
July 2020
June 2020
May 2020
April 2020
March 2020
February 2020
January 2020
December 2019
November 2019
October 2019
September 2019
August 2019
July 2019
June 2019
May 2019
April 2019
March 2019
February 2019
January 2019
December 2018
November 2018
October 2018
September 2018
August 2018
July 2018
June 2018
May 2018
April 2018
March 2018
February 2018
January 2018
December 2017
November 2017
October 2017
September 2017
August 2017
July 2017
June 2017
May 2017
April 2017
March 2017
February 2017
January 2017
December 2016
November 2016
October 2016
September 2016
August 2016
July 2016
June 2016
May 2016
April 2016
March 2016
February 2016
January 2016
December 2015
November 2015
October 2015
September 2015
August 2015
July 2015
June 2015
May 2015
April 2015
March 2015
February 2015
January 2015
December 2014
November 2014
October 2014
September 2014
August 2014
July 2014
June 2014
May 2014
April 2014
March 2014
February 2014
January 2014
December 2013
November 2013
October 2013
September 2013
August 2013
July 2013
June 2013
May 2013
April 2013
March 2013
February 2013
January 2013
December 2012
November 2012
October 2012
September 2012
August 2012
July 2012
June 2012
May 2012
April 2012
March 2012
February 2012
January 2012
December 2011
November 2011
October 2011
September 2011
August 2011
July 2011
June 2011
May 2011
April 2011
March 2011
February 2011
January 2011
December 2010
November 2010
October 2010
September 2010
August 2010
July 2010
June 2010
May 2010
April 2010
March 2010
Blogroll
Crib Chatter
Real Estate Decoded
Smart Mortgage Advice
The Real Deal – Chicago
Latest on ChicagoNow
What do you say to someone on public transportation who is not wearing a mask?
posted today at 3:32 pm
How Much Longer Will Chicago Foreclosure Activity Remain Depressed?
posted today at 3:11 pm
My geat-grandmother died in 1918, a victim of the infamous flu pandemic; here’s part of the story in real time
posted today at 3:00 pm
Celebrating My 800th Post As A ChicagoNow Writer!
posted today at 9:53 am
Do masks put a TARGET on your back?
posted today at 9:12 am
Posts from related blogs
Real Estate Royalty
Most recent post: A Wicker Park Wonder and a Tribute to Helmut Jahn
North Shore Real Estate Chatter
Most recent post: What You Need to Know About Earnest Money
MCwriting
Most recent post: Travel in a “Post-Covid-19” World and How Businesses are Preparing for it
More from Lifestyle: Real Estate
Read these ChicagoNow blogs
Cubs Den
Pets in need of homes
Hammervision
Read these ChicagoNow Bloggers
Carole Kuhrt Brewer
Dennis Byrne
LeaGrover
About ChicagoNow
•
FAQs
•
Advertise
•
Recent posts RSS
•
Privacy policy (Updated)
•
Comment policy
•
Terms of service
•
Chicago Tribune Archives
•
Do not sell my personal info
©2021 CTMG – A Chicago Tribune website –
Crafted by the News Apps team