Morning Minute: Attacking zombie foreclosures

Abandoned “zombie” foreclosures accounted for 8.7 percent of the foreclosures in Cook County between 2008 and 2010 and if that trend grows, it will continue to create a blight on neighborhoods where they are located, according to a Woodstock Institute study, HousingWire reports.

What is a zombie foreclosure? For the purposes of its study, the Woodstock Institute defined it as a property where a foreclosure has been filed but has not been resolved in more than three years, leaving the borrower and the servicer without clear control of the property and little incentive to take responsibility.

But the Woodstock Institute recommends ways that municipalities can attack the problem of zombie foreclosures including requiring mortgage servicers to notify parties when they stop pursuing a foreclosure.

Read the Woodstock Institute study, “Unresolved Foreclosures: Patterns of Zombie Properties in Cook County,” as well as its recommendations and comment on what you think.

In other headlines:

Chicago home prices climb most in 25 years in November – Chicago Tribune

Both S&P/Case-Shiller indices shoot up more than 13% – HousingWire

This entry was posted in Consumer Information, Housing Market by Stephanie Sievers. Bookmark the permalink.

About Stephanie Sievers

Stephanie Sievers is Senior Editor for the Illinois Association of REALTORS®. She serves as Senior Editor for IAR publications including the Illinois REALTOR® magazine and all other IAR publications. She is responsible for developing content for the Illinois REALTOR® Weekly Connection e-newsletter, coordinates the IAR Twitter account content at ILREALTOR and plans and develops content for videos. She assists in developing and writing content for the IAR blog. She also is involved in researching and drafting news releases and coordinates the news media distribution database and newsclips reports for the Association. She also assists in IAR spokesperson training seminars and is involved in development of association briefing materials on issues. She assists with the housing statistics program and reports.

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