Capitol Fax.com - Your Illinois News Radar » Today’s numbers ain’t good, either
SUBSCRIBE to Capitol Fax      Advertise Here      Mobile Version     Exclusive Subscriber Content     Updated Posts    Contact
CapitolFax.com
To subscribe to Capitol Fax, click here.
Today’s numbers ain’t good, either

Thursday, Jan 9, 2014

* AP

A new report says almost one-third of Illinois homes are “deeply underwater” meaning that they’re worth at least 25 percent less than what’s owed on the loans.

The report released today by Irvine, Calif.-based RealtyTrac says that represents almost 775,000 Illinois homes. The report is based on data from December.

Only Nevada and Florida fare worse, with 38 percent and 34 percent of homes deeply underwater, respectively.

Ugh.

Perhaps less talk about cartoon characters and more action on the economy is in order, governor.

- Posted by Rich Miller        

15 Comments
  1. - wordslinger - Thursday, Jan 9, 14 @ 11:50 am:

    Here’s a link to a Forbes map of underwater mortgages around the country.

    http://www.forbes.com/sites/erincarlyle/2013/12/17/6-4-million-still-have-underwater-mortgages-as-of-q3-2013-says-corelogic/

    Check out the deep blue in Texas. Though it may seem counter-intuitive, the state has some of the toughest laws in the country regarding predatory and home equity loans.

    In Illinois, they were passing out refis and home equity loans over the phone, without even an inspection.

    In Texas, those strict regulations helped protect homeowners from the ravages of the bubble.

    http://www.nytimes.com/2012/05/26/business/texas-lending-law-shielded-many-homeowners-from-housing-bust.html?_r=0


  2. - Excessively Rabid - Thursday, Jan 9, 14 @ 11:55 am:

    A third of Illinois homes? That doesn’t sound plausible. A third of mortgages, maybe.


  3. - Wensicia - Thursday, Jan 9, 14 @ 12:07 pm:

    The value of my house has reduced 38% since 2008. I’m grateful the loan was paid off before this crash, but it’s still trending down with each yearly assessment.


  4. - Cook County Commoner - Thursday, Jan 9, 14 @ 12:17 pm:

    A trend that would be interesting to see is the credit levels in home equity lines of credit for those that didn’t get caught in the bubble, especially for the Cook County area. A before and after property tax payment view could be informative as to whether those with equity are drawing against it and at what rate.


  5. - Formerly Known As... - Thursday, Jan 9, 14 @ 12:28 pm:

    This is sad news.

    This also bodes ill for property tax collections in the near future.


  6. - Pot calling kettle - Thursday, Jan 9, 14 @ 12:46 pm:

    I went to RealtyTrac’s web site and the trends are good. Compared to a year ago, preforeclosures are down 34%, auctions are down 54%, and bank owned are down 43%.

    http://www.realtytrac.com/statsandtrends/foreclosuretrends/il


  7. - thechampaignlife - Thursday, Jan 9, 14 @ 1:08 pm:

    According to Census data (http://quickfacts.census.gov/qfd/states/17000.html), there are 5.3M housing units in Illinois and 68% of those are owner-occupied (3.6M). 775K deeply underwater is 22% of owner-occupied homes and 15% of all housing units so that 33% figure has to be just for mortgages. Still, not good but on the bright side, those figures suggest that 1.3M own a home with no mortgage.


  8. - Loop Lady - Thursday, Jan 9, 14 @ 1:11 pm:

    Rich, it is patently unfair to only call out the Governor on this issue…he should be part of the solution, but is not singularly responsible for it…c’mon…


  9. - OneMan - Thursday, Jan 9, 14 @ 1:16 pm:

    Wordslinger….

    Thanks to something that happened back when it was the Republic Of Texas the Texas state constitution made home equity loans illegal until it was amended in the 90’s…


  10. - ChaiseLounge - Thursday, Jan 9, 14 @ 1:29 pm:

    I don’t argue home values are low, but breaking down RealtyTrac’s reporters is trivial. Look at their numbers for foreclosures, then look at the raw number of chancery cases at a county clerk’s office or even county POPULATION numbers that exist for those same years and it will become clear that RealtyTrac’s numbers are balderdash. A responsible reporter can’t even call them rough estimates. I’ve called them to talk about this and they have no explanation for why their numbers don’t align (even remotely) with counties’ own. They’re a business that thrives on scare tactics and has made a living the last eight years sending inaccurate and melodramatic numbers and analysis to the AP and other newswires. Please stop citing RealtyTrac, people. They’re a crock. If you don’t believe me, it’d be worth your time to verify their numbers with your clerk’s office (and possible reviewing hundreds of cases by hand, like the old days) and see for yourself.


  11. - Federalist - Thursday, Jan 9, 14 @ 1:50 pm:

    Wensicia - Thursday, Jan 9, 14 @ 12:07 pm:

    The value of my house has reduced 38% since 2008

    Has your assessed valuation dropped by 38% or anything even close?

    We have the same issue in downstate rural Illinois
    but the assessed valuations are rarely if ever reduced.

    But no politician at the state or local level will even begin to investigate and analyze this issue.


  12. - Formerly Known As... - Thursday, Jan 9, 14 @ 2:29 pm:

    === Please stop citing RealtyTrac, people. They’re a crock. ===

    The RealtyTrac numbers are close to the CoreLogic numbers reported in 2013.

    Either they’re both in on the conspiracy, or both their numbers are fairly accurate.

    Then again, this is Illinois. Maybe the county numbers and our record-keeping are the numbers that are off.


  13. - Judgment Day - Thursday, Jan 9, 14 @ 2:50 pm:

    “This also bodes ill for property tax collections in the near future.”

    No, local property tax collections will probably do just fine. But property owners, not so much. As taxable values of the properties decrease (and they are), the tax RATES (in property tax cap counties - which is most of Northern IL) are skyrocketing. We are seeing all sorts of places where tax rates are now well in excess of $9.00 per $100 of taxable value.

    Btw, a tax rate of $9.00 per $100 of taxable value translates into an effective tax rate of 3 percent of the market value of your property.

    Basic formula is:
    Step 1: (Assessed value - exemptions (if any)) = taxable value.
    Step 2: (Tax rate / 100) = millage rate
    Step 3: Taxable value x Millage Rate = *Property tax bill amount.

    * = Calculations change if property is located in a TIF District, Enterprise Zone, or Special Service Area.

    But the short story is that IF you are in a tax capped county and your assessed value decreases because your house is worth less, your tax rate increases so the tax capped local tax districts get the same amount of money requested as they got last year. And maybe a slight increase on top of that.


  14. - Judgment Day - Thursday, Jan 9, 14 @ 3:04 pm:

    “I went to RealtyTrac’s web site and the trends are good. Compared to a year ago, preforeclosures are down 34%, auctions are down 54%, and bank owned are down 43%.”

    Well, they’re ‘better’, but not really. I’m certainly no defender of the ‘crooked, lying, thieving banksters’, but in this case, they’re caught in a storm and they have no real out.

    The report doesn’t really address the ‘elephant in the room’, which is that the banks really can’t afford to take all those non-performing loans back onto their books. They don’t dare, because then they would actually start to have to ‘mark to market’ on all the ‘failed’ mortgages that have been issued since the early 2000’s, and taking THAT step has consequences nobody anywhere (including the fed’s) want to get anywhere near.

    If the banks are forced to take this stuff back onto their books, imagine what it does to their capital base if they have to take an average 20% reduction on all mortgages being carried on their books, or worse, having been packaged and sold to the fed’s.

    The numbers are down, because they simply can’t be allowed to go up.


  15. - Wensicia - Thursday, Jan 9, 14 @ 4:10 pm:

    ==Has your assessed valuation dropped by 38% or anything even close?==

    Yes. I live in Waukegan.


Sorry, comments for this post are now closed.


* Rauner releases tax returns, made $91 million last year
* Barickman gets "The Rauner Question"
* Question of the day
* Insurance Department devises way around Trump's ACA executive order
* ILGOP mocks Madigan's online debut
* Rauner raised the most small-dollar contributions, Pawar raised the highest percentage then dropped out
* Former budget hostages still struggling to survive
* Pritzker makes Forbes list again while Illinoisans' discretionary income ranks lowest in Midwest
* CTU's Karen Lewis reveals she had a stroke last week
* Governor's race fundraising tops $100 million
* *** UPDATED x1 *** Republican AG candidate claims she was warned to make sure her brakes were working
* Rauner touts higher education advantages despite damage caused by impasse
* Yesterday's stories

Support CapitolFax.com
Visit our advertisers...

...............

...............

...............
<


Loading


* Mike Madigan Launches Website - Alton Daily News..
* Chicago and Illinois submit bid for Amazon's HQ.....
* STATEHOUSE INSIDER: And the digging out of debt.....
* Chicago and Illinois submit bid for Amazon's HQ.....
* Chicago and Illinois submit bid for Amazon's HQ.....
* Chicago and Illinois submit bid for Amazon's HQ.....
* Chicago and Illinois submit bid for Amazon's HQ.....


* Chicago's Amazon bid focuses on workforce and transportation
* Excerpts from recent editorials in newspapers in Illinois
* Police officer refused to testify in lawsuit over shooting
* Stretch of Byron roadway named after fallen Marine.
* Teachers union suffers stroke, says she is OK
* Illinois borrows $1.5B at reduced interest to pay down debt
* Colorado teen killed young siblings to be alone, police say
* Colorado teen killed young siblings to be alone, police say
* Case reveals legal rules of thumb tricky with iPhone sensors
* Case reveals legal rules of thumb tricky with iPhone sensors

* Illinois borrows $1.5B at reduced interest to pay down debt
* Rauner cuts human services, other area in state budget
* Pritzker makes list of richest Americans; Rauner releases tax returns
* Pritzker makes list of richest Americans; Gov. Rauner doesn't
* Pritzker makes list of richest Americans, Gov. Rauner doesn't
* Chicago officially submits bid for Amazon's 2nd headquarters
* New University of Illinois medical school to grant full scholarships
* 'Johnny Appleseed' trees to mark Illinois bicentennial
* Statehouse Insider: A poor rating, but sorta good news
* John Schmidt appointed to appellate court

* Northern Trust names new CEO
* More Illinois companies kept profits offshore last year
* Walgreens is doubling its city tech operations while shrinking in Deerfield
* Roskam, Tillman laud GOP tax-cut plan
* How Amazon will spoil it for Grainger


* Man shot in the head in West Chatham
* MORRISSEY: Cubs go all retro in an embarrassing loss to the Dodgers
* Dodgers clout Cubs again 6-1 to push defending champs to brink
* Man shot in Austin
* Man cut in fight near House of Blues
* Puig playing like a kid, performing like a man for unbeatable Dodgers
* Georgia Nicols horoscopes for Oct. 18, 2017
* Dear Abby: Guy’s Vegas partying worries his girlfriend
* Boy, 15, shot in Aurora home, suspect identified
* Cubs’ Bryant: ‘Obviously, some guys are tired — it’s been a long year’


* It seemed like old times at subdued Wrigley Field in Cubs' Game 3 loss to Dodgers
* 'Bullpenning' all the rage as playoff teams yank starters earlier and earlier
* Getting embarrassed in the NLCS? That's Cub
* NLCS Game 3 turning point: Chris Taylor's third-inning home run
* Worn-out Cubs on brink of elimination after Dodgers cruise in Game 3
* NLCS Game 3: Dodgers 6, Cubs 1
* 'The Daily Show' rats us out on second night in Chicago
* Cubs face must-win NLCS Game 4 after 6-1 loss to Dodgers
* Twelve days of silence, then a swipe at Obama: How Trump handled four dead soldiers
* Bipartisan deal on Obamacare subsidies stalls amid GOP opposition


» Illinois Bond Sale To Help Pay $16bn Debts
» Mayor To Propose Higher Prices For Ridesharing, Big Concerts
» WBEZ Investigation: CPS Secretly Overhauled Special Education At Students’ Expense
» How's The Illinois Economy? For Rauner Administration, Depends On The Audience
» Online Locator Tool Aims to Make Recycling Easier
» State Week: Prison Assaults, Pawar's Exit
» Lawmakers Urged To Override Life Insurance Veto
» Ameya Pawar Ends Campaign for Governor
» Union Says Prison Inmate Assaults On Guards Up 51%
» Union Says Attacks On Prison Guards Are Up


* Joe McMenamin: Aldermen and big money
* E.J. Dionne: Reformers: Be ready when your time comes
* Byron York: What's behind Trump's new executive actions
* Catherine Rampell: Trump's tax proposal won't actually help the middle class. Here's what would.
* Michael Gerson: The religious right has become a tribe of sycophants
* Our View: Don’t need to spend a bundle for bicentennial to have meaning
* Illinois borrows $1.5B at reduced interest to pay down debt
* Rauner cuts human services, other area in state budget
* Pritzker makes list of richest Americans; Rauner releases tax returns
* Pritzker makes list of richest Americans; Gov. Rauner doesn't


* Debra A. Freeman
* Jo Ann Ena
* John 'Jack' A. Eastman
* Joe S. James
* Xandra L. Gibson
* Karen Kidd Prichard
* Mary Louise Falkenbury
* Dr. Vernold Karl Feiste
* Police Beat
* More changes are coming to O’Fallon. Here’s how one area transformed over the years.


* Cubs bats stay quiet, Dodgers lead NLCS 3-0
* Constable: It's getting late for Cubs and fans
* Cubs playoff ticket prices the lowest in 3 years
* The Latest: Xi: China resolved against Taiwan independence
* Imrem: Get used to seeing Cubs, Dodgers in playoffs

* Rep. Randy Hultgren announces 2017 Congres...
* Democratic 14th Congressional District can...
* GOP congressmen say Rauner 'let down' Illi...
* Democratic candidates square off in Kendal...
* Hultgren 'disappointed' about potential re...
* Rival: Kinzinger not conservative - MyWebT...
* Smith, Hultgren praise House passage of bi...
* Naperville's Lauren Underwood to run for R...
* Measure extends term of FSOC independent m...
* Dissident artist Ai Weiwei and US Rep. Ran...

* Young Laborers Needed - Alton Daily News...
* Boomer Esiason destroys Colin Kaepernick t......

* Congress is on the offensive against Ameri......
* Congress wants to make Americans with disa......

* Will Chgo mystery bid entice Amazon?
* “The Driver’s Side” – News From The Motorist’s Perspective
* Sheridan Park Student Awarded Prestigious STEM Scholarship
* Red Line Assailant Sought By Police
* Noah Baumbach’s The Meyerowitz Stories makes music out of humor and pain
* Palatine para-professionals aren’t worth an 11 cent raise but they are too essential to allow them to strike.
* Illinois teacher retirees: What the hell is Walgreen’s up to?
* Get Down, Boogie-Oogie-Oogie, At Fat Cat's 70s Night
* Out & About Uptown's Coast: Learn About The Leland Greenway And Alternative Transit
* Majestic Men's Store 2.0


* Illinois Awarded Funds to Offer Advanced Training on Detecting Impaired Driving
* Illinois EPA Announces Upcoming Household Hazardous Waste Collection Events
* IEMA Highlights Emergency Preparedness for People with Access and Functional Needs in May - Ready Illinois website offers preparedness tips for people, caregivers
* First Lady Launches Illinois Family Connects
* Governor and Lt. Governor Unveil 2016 Journal of Local Government Shared Service Best Practices

  
* US Venmo users can now use it to pay at web stores
* Huawei Mate 10’s early battery problems with Google Play Services quashed
* No, the Pixel Buds aren’t just wireless earbuds with some plastic cable connecting them
* Microsoft Surface Book 2 launch, ZTE Axon M & more – Pocketnow Daily
* Apple Watch app HeartRate logged abnormal rates, may have saved a life
* Xiaomi aims to follow Huawei’s footsteps and go for 90 million shipments in 2017
* Facebook Live Now Offers Built-In Screen Sharing Feature

* Adolfo 'grew up,' hit his stride in 2017
* The top 11 White Sox winners of 2017
* Mid-October White Sox fall ball update
* Inbox: Has White Sox Draft strategy evolved?
* Podcast: 2017 White Sox Outfielders Review
* Sox Century: Oct. 15, 1917
* Sporcle Saturday: White Sox Postseason Home Runs


Main Menu
Home
Illinois
YouTube
Pundit rankings
Obama
Subscriber Content
Durbin
Burris
Blagojevich Trial
Advertising
Updated Posts
Polls

Archives
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
February 2010
January 2010
December 2009
November 2009
October 2009
September 2009
August 2009
July 2009
June 2009
May 2009
April 2009
March 2009
February 2009
January 2009
December 2008
November 2008
October 2008
September 2008
August 2008
July 2008
June 2008
May 2008
April 2008
March 2008
February 2008
January 2008
December 2007
November 2007
October 2007
September 2007
August 2007
July 2007
June 2007
May 2007
April 2007
March 2007
February 2007
January 2007
December 2006
November 2006
October 2006
September 2006
August 2006
July 2006
June 2006
May 2006
April 2006
March 2006
February 2006
January 2006
December 2005
April 2005
March 2005
February 2005
January 2005
December 2004
November 2004
October 2004

Blog*Spot Archives
November 2005
October 2005
September 2005
August 2005
July 2005
June 2005
May 2005

Syndication

RSS Feed 2.0
Comments RSS 2.0
WordPress




Hosted by MCS SUBSCRIBE to Capitol Fax Advertise Here Mobile Version Contact Rich Miller