Thursday, February 28, 2008

My second prediction for Chicago Real Estate in 2008 comes true

In a post in January of this year, I went out on a limb and made three predictions about Chicago Real Estate for 2008. Of course, right away, one of my predictions came true with uncanny accuracy.

Well, Miss Cleo has got some killer competition with me and my razor sharp intuition.

I predicted that there would be fewer home foreclosures in Chicago in 2008 for a couple of good reasons. I predicted that interest rates would fall a bit. And that government would intervene on behalf of homeowners facing foreclosure due to rising interest rates on adjustable mortgages.

From Wednesday's Sun Times comes word that the Chicago area held up against foreclosures better than many other parts of the country as the number of homes seized by banks fell 3-percent in January from the year ago number, while nationally, they jumped 57%. This is according to a new report from RealtyTrac Inc., a mortgage research firm.

Some Chicago area counties saw sharp increases, however. Kendall county was up 78%; Grundy up 34%; DuPage up 22%. Illinois was up 1.65% from a year earlier and down nearly 21% from December.