Foreclosures Hitting 2005 Buyers Hard: 375 W. Erie in River North
If you research the foreclosure lists long enough, you’ll definitely begin to see a pattern develop.
Many of those in trouble on the North Side of the city took out loans in 2005. No surprise, as that was the “peak” of the mortgage mania.
A seller has been trying to do a short-sale on a unit at 375 W. Erie in River North for awhile. 375 W. Erie is a loft building converted in 1997.
A foreclosure auction is scheduled for this week.
Unit #201: 2 bedrooms, 2 baths, 1525 square feet
- Sold in December 2000 for $237,000
- Sold in August 2002 for $349,500
- Sold in January 2005 for $400,000
- Currently listed as a “short-sale” for $425,000 (not sure if this includes the parking)
- Foreclosure auction price of $368,190
- Assessments of $485 a month
What is interesting is that even at $425,000, a buyer didn’t come in to rescue this homeowner. Also, this unit may also look south- into the brick building behind the loft building- which would have made it a more difficult sell.
First Chicago Real Estate, Inc. has the listing.
Or maybe, as Laura pointed out in another post, they’re getting killed by heating bills. How much DOES it cost per month to heat a brick and timber loft? How much to air condition one? Is it even possible for a developer to insulate it well?
$237K with parking seems a fair price.
It’s in River North, and it’s over 1500 square feet… Looking into a brick wall in one of the bedrooms or not, $237 with parking strikes me as awfully low. $350 with parking. Let’s see who wins! (Either way, certainly not the owner.)
That’s all a bum like me can afford…. 😉
This is troubling. The foreclosure price is still 55% higher than the sale price 8 years ago. I don’t know the River North market specifically, maybe it wasn’t as ‘hip’ back then, but I think the RE downturn is going to hit banks too.
Why is the short-sale price $425,000.00 if the auction price is 368?
Jason, it means the bank bought it (I think). That is, the bank was going to buy it unless it hit the short sale price. And it didn’t.
Jason- the foreclosure auction price is usually just on the first loan. It could be that the owner has a second mortgage worth another $100k.
Buyer beware at the auction!
Also, don’t forget that the buyer of a foreclosed property will likely have to pay missed assessment payments (as in Illinois, the banks aren’t required to pay the assessments on the unit if its in foreclosure.)
What is interesting is that even at $425,000, a buyer didn’t come in to rescue this homeowner
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At 425 he’s $8,000 over the jumbo limit (unless the changes went thru). Why pay a point over the normal for a 2×2??
Sorry for the double post. I know the south side is not this (great) site’s cup of tea. This property below might (or might not) shock you. If you want to see some interesting foreclosures, check out Englewood.
6641 S LOWE AVE
CHICAGO, IL 60621
MLS ID# 06725798 (new)
(last) sale: 10 Nov 2005
Price: $140,000
Now asking: $16,500!
No joke. almost 1/10th of the ’05 sales price. That MLS# is the current look it up. It went Bank Owned on 03 Jan 07.
Stuckinthecity: Thanks for the info about the south side. I watch the south side every day. The foreclosures are overwhelming there.
And this post shows what is going on in some neighborhoods. They’re just being destroyed right now.
But $16,500! I thought they only had those prices in Detroit.
Wow. I look at south side stuff all the time. Live there also!
CHECK THIS ONE OUT. This might be a pretty good deal.MLS# 06561628
A House for $34,000.00. I can put it on my visa.
Jason,
Have fun paying back taxes on that. In Detroit you can get a house for $10 I’m not kidding. Or at least a shell of a house with a ridiculous amount of back taxes that need to be paid.
They’re giving away tax liabilities!
I think there is good potential in some areas of the South Side for those not wanting nightlife or cultural attractions: areas very closely bordering UC can always be rented out and Kenwood is going to be hot if a certain candidate wins the presidency, but overall gentrification has been much slower than hypers would hope for.