These People Are...

...Quite Probably THE Dumbest People in Chicago!





THESE people bought a house in the heart of ENGLEWOOD, and are regretting it now. That the boy only got his ass kicked once is a miracle. Now the ass-wooping might cause them to foreclose on their "dream home". Seems more like a nightmare to me....

Foreclosing on a dream

'I WOULDN'T WISH THIS ON MY WORST ENEMY' | Subprime loan and a run of bad luck have left Theresa Adamovitz with mortgage payments that she can't meet

December 10, 2007
BY KARA SPAK Staff Reporter/kspak@suntimes.com
Theresa Adamovitz had one thing to do before putting up her Christmas tree this year: File for bankruptcy.

...

The modest home in the 6100 block of South Loomis was a dream come true for Adamovitz and her then-husband when they bought it in 1997.

...

She totaled a car she still owed money on. Her job switched to hourly pay, costing her $500 in monthly income. Her son got mugged, needed surgery and lost his job. Her ex-husband didn't make his payments on the loan. The adjustable rate mortgage kicked in, jacking up the monthly payment to $1,853 from $1,175.

Buying something in the wrong neighborhood is a bad mistake no matter what.

Thank God, Not in Chicago!!

House prices seen falling 30 pct

By Julie Haviv

NEW YORK (Reuters) - Housing markets from Punta Gorda, Florida, to Stockton, California, will crash and suffer price drops of more than 30 percent before the housing crisis is over, a report from Moody's Economy.com said on Thursday.

On a national level, the housing market recession will continue through early 2009, said the report, co-authored by Mark Zandi, chief economist, and Celia Chen, director of housing economics.

The report paints a worsening picture of the hard-hit housing sector, which is in the midst of its worst downturn since World War II.

Read that again! It says from Florida to California. It clearly says NOTHING about Chicago. We are safe. Everything is fine here. Go buy a condo.

Not Just the Poor

Middle class and out of a home in Chicago

Poorer neighborhoods hit hardest, but wealthy, middle class also squeezed

December 4, 2007
BY ART GOLAB Staff Reporter/agolab@suntimes.com
The home mortgage meltdown isn’t just gutting the poorer parts of town.

It’s beginning to hammer wealthy and middle class Chicago neighborhoods like Lincoln Park, Lincoln Square, Irving Park, Portage Park and Mt. Greenwood — all areas where home mortgage foreclosures have shot up by 100 percent or more from 2006 to 2007.

The home mortgage meltdown is beginning to slam Chicago's wealthy and middle-class neighborhoods.
(AP)

Data released Monday by the National Training and Information Center shows that in Lincoln Park there were 18 homes in foreclosure during the first six months of 2006 — but that number more than doubled to 37 for the first half of this year.

In terms of sheer numbers, poor neighborhoods still are feeling the worst pain. But percentage increase in mortgage defaults is climbing faster in middle class areas, according to the data.

Poverty stricken West Englewood, for example, had 348 foreclosures, or 111 per square mile — yet that was just a 58 percent increase over the previous year.

But in middle class Portage Park, the heart of the Northwest Side Bungalow Belt, mortgage defaults jumped from 32 homes to 94, a whopping 193.8 percent.

Does anyone out there realize that prices went way too far ahead of income??? That is why the foreclosures are jumping. People could not afford the price tag, but they were goeded into stretching too far by the TV flipper shows, the real estate agents, the neighbors, the co-workers, et al. Now judgement day as arrived and they want a pass because they are too gullible.

Freezing the ARMS is a good first step,” said Rose, but he added that lenders should also work with borrowers to permanently change the terms of the loans so they don’t get into trouble again.

Also, government and lenders should to find new, healthier ways to bring mortgage money into poorer neighborhoods rather than just subprime lending.

"And to make sure this doesn’t happen again we’ve got to slap some rules on an industry that has gone virtually unregulated,” said Rose.

Overall in Chicago, the foreclosure rate was 40 percent higher for the first six months of this year compared to a similar period in 2006.

Does this sound about right?

Mr. Fvcked Borrower: Mr. Nanny-State Government! Mr. Nanny-State Government!

Mr. Nanny-State Government: What Mr. Fvcked Borrower?

Mr. Fvcked Borrower: I'm in trouble and I need your help!

Mr. Nanny-State Government: What is it?

Mr. Fvcked Borrower: I can't afford my lottery tick....er, I mean my HOME any more. I'm scared! Tell Mr. Lender to give me a break.

Mr. Nanny-State Government: Ok, Mr. Lender, go easy on Mr. Fvcked Borrower!

Mr. Lender: We know you lied on your lottery tick...er, loan application, Mr. Fvcked Borrower. But that was ok, because we liked the commissions. We will freeze your rate if you promise never to do this ever again. Do you promise never to get in over your head again with debt?

Mr. Fvcked Borrower: Oh, yes. Yes. I promise never to get in over my head again. Thank you sir, thank you.

[Mr. Fvcked Borrower is crossing his fingers behind his back.]

What's Going On Here?

Developer sought for West Garfield vacant parcels

By Jeanette Almada | Special to the Tribune
December 2, 2007

A mixed-use developer is being sought for several vacant city-owned parcels in the West Garfield neighborhood.

City planners at the Chicago Department of Planning and Development on Nov. 19 issued a request for development proposals for any of several lots, most of which are on the 3900 block of West Jackson Boulevard and West Adams Street, and at 201 S. Pulaski Rd.

The city hopes to find a developer who will build residential projects on most of the lots, and a mixed-use project at 201 S. Pulaski. Developers who propose environmentally friendly and energy-efficient projects, and particularly proposals promising to build U.S. Green Building Council LEED-certified projects will receive favorable consideration in the application process, a Planning Department project manager told the Community Development Commission last month.

Ok, I find this really weird. If Chicago R.E. is fine and not under the pressure that other markets are under, then this should not be happening. Having a good idea about how the City works, I find it difficult to believe that NOBODY wants these lots! Things must be really bad if the politicians cannot hand out sweetheat deals to their buddies.

Chicago to Lose $3.9 Billion

CNBC Video


Many major markets will take hits in the tax income. Chicago being one of the biggest hit.

I wonder how Daley and Toddler feel about all of this? They cannot really admit to a housing problem, Especially one that hits their town, since we all know that Chicago is invulnerable to the housing bust. Yet, this might be where all of the taxing problems are coming from. CTA on the ropes. Will CPS be next??

USA Today...Doom & Gloom Today??

Housing woes have domino effect


Ofcourse Chicago is different and will be just fine! Just go to yochicago.com for all the proof you need. But the rest of the country is SCREWED!

If you haven't yet felt the impact of the nation's credit crisis, just wait. Chances are, you won't have to wait long.

So far, the turmoil may feel a bit remote for average people: Failed mortgage lenders. Gargantuan write-downs by banks. Foreclosures for people who couldn't really afford the mortgages they got.

What about the rest of us? Are we in danger? No one knows for sure, but quite likely, yes.

As the credit crisis seeps into farther-flung corners of the economy, more of us will find it harder — and costlier — to borrow money. The value of the funds in our retirement accounts could shrink. People with subpar credit will likely find it more difficult to qualify for auto and home-equity loans. Even consumers who make the cut may need higher credit scores and more documentation.

With loans harder to get, people will hesitate to buy cars, boats and other big-ticket items. The gravest fear? That weak consumer spending — along with surging energy prices, a long housing slump and sluggish job growth — will plunge the economy into a recession.

Jeez, could all of this happen because some jerk actually lent $400,000+ to buy a 900 sq ft shoebox ranch on the NW Side?? Nah, remember, "Chicago Is Different!"

Repeat after me:

"Chicago Is Different!"

"Chicago Is Different!"

"Chicago Is Different!"

"Chicago Is Different!"

"Chicago Is Different!"

Feel better yet?

AARRGGHH!!!!

Fed chief calls for help on housing

Bernanke urges Congress to act, sees growth slowing

By William Neikirk | Tribune senior correspondent

November 9, 2007

WASHINGTON - Federal Reserve Chairman Ben Bernanke offered no immediate relief Thursday to Americans buffeted by a housing-induced credit crunch, record oil prices, a falling dollar and financial market turmoil.

In testimony before the Joint Economic Committee of Congress, Bernanke warned of slowing economic growth and gave no reason for hope that the central bank would cut interest rates again when it meets in December, instead cautioning lawmakers about the potential inflationary consequences of oil prices nearing $100 a barrel.

Good lord, doesn't he know that his rate cuts are causing those "potential inflationary consequences??!!

But Bernanke said there has been discussion about raising limits on the size of the loans that Fannie Mae and Freddie Mac can buy from lenders from the current $417,000, which would allow primary lenders to make larger loans that Fannie Mae and Freddie Mac could lump together and sell as mortgage-backed securities.

The federal government could guarantee the increased loan limit, he said, adding that any such move should be temporary. Jumbo mortgages, those above $417,000, have become harder to get since the troubles over subprime loans.

People cannot afford such outrageous prices! That is why the bubble popped. Increasing the conforming standard will help nothing.

Stagflation fears

One congressman suggested the country could be returning to a 1970s-style "stagflation," when slow growth and high inflation hammered the U.S. economy. But Bernanke said any such outbreak of stagflation now would be mild compared with the 1970s and not to worry.

YA! Someone finally said it! Rising prices + flat wages = STAGFLATION.

"I don't see any significant change in the broad holdings of dollars around the world," he said.

The dollar's value is rooted in the strength of the U.S. economy, America's trade situation and open markets, Bernanke said.

Please don't remind us, Ben.............