Fewer Flossmoor homes in foreclosure
BY SARAH ZYLSTRA Correspondent September 18, 2013 7:36PM
Updated: October 20, 2013 7:16AM
Fewer homeowners in Flossmoor are facing foreclosure this year.
The foreclosure rate for the first six months of 2013 is down 25 percent when compared with the first six months of last year, assistant village manager Patrick Finn told the village board.
By the end of the year, Flossmoor is projected to have 78 foreclosures, down from 92 in 2012, he said, describing it as a “healthy and significant drop.” It would be the lowest number that Flossmoor has seen since the village began tracking foreclosures in 2007.
Finn said Cook County foreclosures were down 40 percent through June compared with the first six months of last year, with South Cook County’s number declining by about 36 percent. That’s higher than Flossmoor’s 25 percent decrease, but Finn said that doesn’t worry him.
“There is a lot of disparity at the individual town level that kind of skews the regional numbers,” he said. “We’re consistent with communities of a similar character.”
Of the 39 first-time foreclosure filings this year in Flossmoor, 46 percent were conventional mortgages, 23 percent were adjustable rate mortgages and about 31 percent were Federal Housing Administration loans, Finn said.
He said the overwhelming majority of FHA mortgages were taken out well after the housing market’s collapse.
“This is suggestive of a pattern where individuals may have attempted to capitalize on depressed prices but still borrowed beyond their means,” he said.
Banks have completed foreclosure on 129 homes in Flossmoor since 2010, but that doesn’t mean those homes are vacant, Finn said.
Only 37 of those homes are still owned by a bank, which means less than 1 percent of homes in the village are bank-owned and vacant, he said.