Deerfield Real Estate

Credit Markets

2008-10-05T13:24:00.002-05:00

No one can overstate the need to unfreeze the credit markets. Home prices dropped in 24 of 25 U.S. metropolitan areas in July, led by declines in Las Vegas and the coastal cities of California , as foreclosures depressed prices and accounted for a fifth of all sales. Foreclosed houses tend to sell at a discount of about 20% to owner-maintained houses; these discounts are weighing on prices throughout the country.

Meanwhile, the market for commercial paper, short-term borrowing by businesses, has nearly frozen to a standstill. Even giants like General Electric are suffering. The industrial giant had to sell $3 billion worth of preferred stock to investing legend Warren Buffet and had to place an additional $12 billion of stock in the equity markets to maintain its triple-A bond rating.

To get credit flowing again, banks have to start lending to each other at lower rates. When banks charge each other a higher premium to borrow, the cost trickles down to the consumer. One indicator of how willing banks are to lend to each other is the "TED Spread," which measures the difference between the three-month LIBOR (London Inter-bank rate) and the three-month Treasury rate. The higher the spread, the greater the aversion to risk. Last Tuesday, the spread surged to 3.5%, its highest level in more than 25 years.

The fact is the $700 billion rescue package is the icebreaker for our frozen credit markets. Sure, the prospect of re-floating a few free-wheeling fat cats and funding a few pork-barrel projects appeals to no one, but the prospect of cutting off our nose to spite our face isn't very appealing either. We might not like it, but Congress did the right thing.

Eric P. Egeland
RE/MAX UNITED
847.337.7090
DeerfieldsAgent.com

WaMu goes down

2008-09-28T16:48:00.001-05:00

And yet another one bites the dust. Washington Mutual was last week’s casualty in a financial saga that has seen Lehman Brothers and IndyMac driven out of business, and that has led to the hastily arranged rescues of Merrill Lynch and Bear Stearns.

In what is by far the largest bank rescue in U.S. history, federal regulators seized WaMu and struck a deal to sell the bulk of its operations to J.P. Morgan. WaMu’s breathtakingly swift collapse was triggered by a wave of deposit withdrawals as many investors – proving to be prophetically right – believed the end was near. The good news is that all WaMu depositors will have access to their cash; the bad news is that holders of $30 billion in debt and all common shareholders will end up with nothing.

To get an idea of how fast and furious WaMu’s fall from grace was, last September its stock was changing hands at $35 a share. In Friday’s trading, it was changing hands at $0.16 a share, and that’s probably overvalued. The irony, if there is any, is that WaMu rejected a takeover offer from J.P. Morgan in March that valued the savings and loan at $4 a share.

Unfortunately, Washington isn’t doing much to assuage concerns of very nervous capital markets. The Bush administration wants Congress to authorize a $700 billion debt issue to allow the government to purchase collateralized debt obligations (CDOs) that banks can’t sell except at large losses, including mortgage-backed securities backed by poorly performing loans. While Democrats say the plan should include direct help for troubled borrowers and protections for taxpayers, some Republicans want any government program to be aimed solely at unfreezing the credit market’s institutions. As of week’s end, the two sides were at an impasse.

Eric P. Egeland
RE/MAX UNITED
847.337.7090
DeerfieldsAgent.com

Time to Nationalize Fannie & Freddie?

2008-08-25T10:00:00.002-05:00

Fannie Mae’s and Freddie Mac’s impact on the mortgage market can’t be understated. Both borrow huge sums of money to buy mortgages. Their demand is a major force in setting the overall rate on standard mortgages, particularly now that many other sources of financing have evaporated. And even though both companies have recently been purchasing larger amounts of mortgages, rates on mortgage loans have stayed relatively high.

If the government believes cheaper borrowing costs are central to a housing recovery, it will have to do something to get mortgage rates to decline in line with Treasury rates. One guaranteed way to lower the spread between Treasury and mortgage rates is for the government to take over Fannie and Freddie. A takeover would lower Fannie’s and Freddie’s borrowing costs, which, in turn, would lower mortgage rates.

More competition from the private sector is another, though less timely, solution. Nationalizing Fannie and Freddie would drop mortgage rates immediately, to be sure, but few private firms would be able to match Fannie’s and Freddie’s borrowing costs. That would mean less innovation and fewer mortgage options for borrowers, and that could hurt the housing and mortgage markets in the long run.

Eric P. Egeland
RE/MAX UNITED
847.337.7090
DeerfieldsAgent.com

Housing Recap

2008-08-04T12:32:00.001-05:00

Yesterday’s housing bill is today’s housing law. Among the highlights, first-time home buyers will receive a tax credit of 10% of the purchase price of their home, up to $7,500. If you are wondering how Congress defines a first-time home buyer, it’s someone who hasn’t owned a house in the past three years. The validity and efficacy of the credit has to be questioned, because it’s really not a credit; it must be repaid in equal installments over the subsequent 15 years.

Another highlight helps people who have fallen behind on their mortgages and who owe more than their houses are worth. In such situations, refinancing is difficult, if not impossible. The law seeks to resolve this dilemma by encouraging lenders to forgive delinquent borrowers’ debt down to 87% of the property’s current appraised value. At that point the homeowner can than refinance under an FHA plan (though he or she will be expected to pay higher FHA insurance premiums).

The new law imposes few changes on Fannie Mae and Freddie Mac. Both institutions are a mess, yet the law oddly imposes no changes in management or business approach and no penalties on shareholders. Taxpayers instead are given two dubious protections: The first is that the treasury secretary will have the right to dictate terms if the government has to stump up equity capital for the firms. The second is the creation of a new regulator, whose effectiveness one must question, considering the effectiveness of past regulators.

Outside of the housing market, general economic health is waning. U.S. second-quarter gross domestic product came in below expectations, rising 1.9% versus expectations for a 2.2% rise. Slowing GDP, in turn, is impacting employment, and not in a good way. On Friday, the employment situation showed that payrolls declined by 51,000, pushing the unemployment rate up to 5.7%.

Eric P. Egeland
RE/MAX United
847.337.7090
DeerfieldsAgent.com

Deerfield Illinois Market Update

2008-07-28T17:02:00.003-05:00

Market activity for July 14-28th 2008

Single Family Homes

New Listings
23349 N Wildwood LN 2 Beds 1 Baths $439,000
413 Locust PL 4 Beds 2.1 Baths $439,000
444 Hermitage AVE 5 Beds 3 Baths $479,000
1539 Woodland DR 5 Beds 3.1 Baths $649,000
1102 CAMILLE AVE 4 Beds 2.1 Baths $859,000
1562 Crabtree 4 Beds 2.1 Baths $1,199,000
61 Ellendale DR 5 Beds 3.1 Baths $589,000

Under Contract
806 Appletree LN 3 Beds 1.1 Baths $359,000
1315 Greenwood AVE 3 Beds 2.1 Baths $408,000
75 E MULBERRY EAST RD 4 Beds 2.1 Baths $498,000
822 Spruce 4 Beds 4.1 Baths $859,000
657 COLWYN TER 5 Beds 4.1 Baths $1,499,000

Price Changes
857 JUNIPER CT 2 Beds 2 Baths $279,900 New Price $269,900
20880 N CATALPA ST 3 Beds 1 Baths $359,900 New Price $355,000
649 W Elder LN 2 Beds 1 Baths $379,900 New Price $369,900
417 Willow AVE 4 Beds 2 Baths $399,000 New Price $389,000
1356 Hackberry 3 Beds 2 Baths $419,000 New Price $399,000
1119 COUNTRY LN 3 Beds 2.1 Baths $439,900 New Price $424,900
1103 ELMWOOD AVE 3 Beds 3 Baths $449,000 New Price $439,000
1142 Warrington RD 3 Beds 2 Baths $519,000 New Price $507,000
1152 PRAIRIE AVE 4 Beds 3.1 Baths $789,000 New Price $779,000
1116 Linden 4 Beds 4.1 Baths $1,049,000 New Price $999,000
195 River ST 4 Beds 4.1 Baths $1,230,000 New Price $1,075,000
1327 Somerset ST 4 Beds 3.1 Baths $1,290,000 New Price $1,175,000
1164 Wilmot RD 4 Beds 4.1 Baths $1,229,000 New Price $1,195,000
1611 Montgomery RD 5 Beds 6.1 Baths $1,399,000 New Price $1,379,000
461 Woodvale AVE 5 Beds 4.2 Baths $1,699,000 New Price $1,675,000
316 Landis LN 5 Beds 6.1 Baths $2,875,000 New Price $2,799,000
880 Northwoods 4 Beds 2 Baths $675,000 New Price $649,000

Closed
464 Grove PL 2 1.1 3910 $329,000 closed for $297,500
1252 Carlisle PL 4 2.1 3517 $459,900 closed for $430,000
1130 RAGO AVE 3 2 3640 $479,000 closed for $455,000
905 Warrington RD 3 1.1 3750 $499,000 closed for $435,000
43 ESTATE DRIVE 5 3.1 3910 $859,000 closed for $840,000
1314 Hazel AVE 4 3.1 3710 $979,000 closed for $925,000
1541 Hawthorne 5 6.5 3910 $1,699,000 closed for $1,515,000

Attached Homes

New Listings
378 GOSHAWK LN Unit # 378 2 Beds 2.1 Baths $244,900
401 Winston DR Unit # 401 2 Beds 2.1 Baths $252,000
392 Kelburn RD Unit # 222 3 Beds 2 Baths $498,000

Price Changes
1015 Deerfield RD Unit # 232 2 Beds 2 Baths $170,000 New Price $159,900
433 N SWAN BLVD Unit # 433 3 Beds 2.1 Baths $279,900 New Price $279,500
610 Robert York RD Unit # 107 2 Beds 2.1 Baths $599,000 New Price $575,000

Closed
459 Elm ST Unit # 1C 2 Beds 1.1 Baths $184,500 closed for $182,000
423 ELM ST Unit # 5C 2 Beds 1.1 Baths $189,000 closed for $175,000
610 Robert York RD Unit # 110 2 Beds 2 Baths $279,900 closed for $267,000

Eric P. Egeland
RE/MAX United
847.337.7090
DeerfieldsAgent.com

Housing Bill

2008-07-27T12:35:00.001-05:00

We saw a lot of coverage to last week’s House vote to offer $300 billion in assistance to troubled homeowners and to throw government support behind Fannie Mae and Freddie Mac. The bill has won endorsements from key senators in both parties and convinced President Bush to withdraw his long-standing veto threat.

Major provisions of the bill for mortgage markets include permanently increasing the cap on the size of mortgages guaranteed by Fannie Mae and Freddie Mac to a maximum of $625,000 from $417,000. It would also raise the FHA maximum loan limits for high-cost areas to $625,000. For first-time home buyers, the bill includes a tax refund worth up to 10% of a home’s purchase price but no more than $7,500. That said, the refund really isn’t a refund – it’s more of an interest-free loan, because the “refund” has to be repaid over 15 years in equal installments.

The bill will likely give the mortgage and housing markets an immediate boost, but let’s not get carried away with the back-slapping. Artificial stimulus packages are fickle; you can’t be assured that what you want stimulated is actually being stimulated. Besides, markets, if left to their own devices, eventually get it right, though sometimes not as quickly as we’d like. But when they do get it right, they tend to get it right on a more permanent footing.

Eric P. Egeland
RE/MAX UNITED
847.337.7090
DeerfieldsAgent.com

Deerfield Realty June 27th-July 11th

2008-07-12T12:53:00.002-05:00

Deerfield Real Estate Activity

Single Family Homes

New Listings
1030 Hazel AVE 2 Beds 1 Baths $289,900
201 FORESTWAY DR 4 Beds 2.1 Baths $424,900
964 BROOKSIDE LN 3 Beds 2 Baths $439,000
685 INDIAN HILL RD 4 Beds 2 Baths $439,900
1119 COUNTRY LN 3 Beds 2.1 Baths $439,900
1147 Kenton RD 3 Beds 1.1 Baths $469,999
29 Ellendale RD 4 Beds 3.1 Baths $599,000
625 SAPLING LN 4 Beds 2.1 Baths $609,000
715 Byron CT 4 Beds 2.1 Baths $699,000
1118 Williams AVE 3 Beds 3.1 Baths $779,000
1061 SPRINGFIELD 4 Beds 4.1 Baths $1,079,000
675 Indian Hill RD 5 Beds 4.1 Baths $1,450,000
1652 PEARTREE RD 5 Beds 5.1 Baths $1,945,000
7 FORESTWAY DR 4 Beds 3.1 Baths $1,150,000

Under Contract
425 Willow AVE 3 Beds 2 Baths $327,900
1313 Holly LN 4 Beds 2 Baths $369,900
1146 Deerfield RD 3 Beds 2 Baths $389,900
1142 Laurel AVE 4 Beds 2.1 Baths $425,000
1252 Carlisle PL 4 Beds 2.1 Baths $459,900
1128 DAVIS ST 4 Beds 3.1 Baths $839,000
1314 Hazel AVE 4 Beds 3.1 Baths $979,000
133 Birchwood 4 Beds 3.1 Baths $999,000
1124 Greentree AVE 4 Beds 3.1 Baths $1,100,000
1420 CROWE AVE 4 Beds 3.1 Baths $1,274,000
1322 WARRINGTON RD 5 Beds 3.1 Baths $1,325,000
775 Summit DR 5 Beds 5.2 Baths $2,150,000

Price Changes
857 JUNIPER CT 2 Beds 2 Baths $299,900 to $279,900
909 Holmes AVE 3 Beds 1 Baths $349,900 to $328,900
1045 Oakley AVE 2 Beds 2 Baths $375,000 to $349,000
806 Appletree LN 3 Beds 1.1 Baths $375,000 to $369,000
417 Willow AVE 4 Beds 2 Baths $409,000 to $399,000
926 Rosemary Terrace 4 Beds 1.1 Baths $419,000 to $399,000
1020 Oxford RD 3 Beds 2 Baths $413,900 to $399,900
855 Fair Oaks AVE 3 Beds 3.1 Baths $468,000 to $462,000
925 CASTLEWOOD LN 4 Beds 2.1 Baths $499,800 to $494,900
1102 COUNTRY LN 4 Beds 3.1 Baths $677,200 to $629,900
840 Warwick RD 4 Beds 2.1 Baths $657,500 to $647,000
1026 Greenwood 4 Beds 3.1 Baths $879,000 to $799,900
1030 Illinois TRL 4 Beds 2.1 Baths $887,900 to $849,900
855 N BROOKSIDE LN 4 Beds 4.1 Baths $1,049,000 to $999,999
1262 ARBOR VITAE 4 Beds 3.1 Baths $1,124,900 to $1,099,900
423 N LOCUST PL 4 Beds 4 Baths $1,189,000 to $1,159,000
925 Kenton RD 5 Beds 5.1 Baths $1,299,000 to $1,199,000
195 River ST 4 Beds 4.1 Baths $1,220,000 to $1,230,000
1327 Somerset ST 4 Beds 3.1 Baths $1,300,000 to $1,290,000
1340 Stratford RD 4 Beds 4.1 Baths $1,475,000 to $1,395,000
1530 Crabtree LN 5 Beds 5.1 Baths $1,745,000 to $1,675,000
880 Northwoods 4 Beds 2 Baths $695,000 to $675,000

Closed
813 JUNEWAY AVE 4 Beds 2 Baths $230,900 Closed for $208,000
1351 DEERFIELD RD 3 Beds 2.1 Baths $414,000 Closed for $400,000
429 Indian Hill RD 3 Beds 2 Baths $439,000 Closed for $408,000
1044 Wayne AVE 4 Beds 2.1 Baths $525,000 Closed for $514,000
235 Oakmont DR 5 Beds 3.1 Baths $699,000 Closed for $680,000
117 Park LN 5 Beds 2.1 Baths $724,900 Closed for $660,000
920 Summit DR 4 Beds 2.1 Baths $759,000 Closed for $710,000
442 Amberley LN 3 Beds 2.1 Baths $839,900 Closed for $782,500
1064 GREENTREE AVE 5 Beds 5 Baths $1,099,000 Closed for $1,034,000
1250 Linden AVE 4 Beds 3.1 Baths $1,250,000 Closed for $1,140,000

Attached Homes

New Listings
1154 INVERRARY LN Unit # 1154 2 Beds 1.1 Baths $199,500
1339 BARCLAY LN Unit # 1339 2 Beds 1.1 Baths $249,900
432 SWALLOW LN Unit # 432 3 Beds 2.1 Baths $289,900
739 GROUSE CT Unit # 739 4 Beds 2.1 Baths $304,900
666 MALLARD LN 2 Beds 3.1 Baths $318,500

Under Contract
1216 Inverrary LN Unit # 1216 2 Beds 1 Baths $169,900
459 Elm ST Unit # 1C 2 Beds 1.1 Baths $184,500
352 Redwing DR Unit # 352 2 Beds 2.1 Baths $209,900
427 WINSTON LN Unit # 427 4 Beds 3.1 Baths $257,500
382 Kelburn Unit # 322 2 Beds 2 Baths $278,000
610 Robert York RD Unit # 110 2 Beds 2 Baths $279,900

Price Changes
1228 INVERRARY 2 Beds 1.1 Baths $179,890 to $174,500
463 ELM ST Unit # 1I 2 Beds 1.1 Baths $185,500 to $182,000
1193 Deerfield RD 2 Beds 1 Baths $239,900 to $229,900
425 Swan BLVD Unit # 425 3 Beds 2.1 Baths $282,000 to $277,000
433 N SWAN BLVD Unit # 433 3 Beds 2.1 Baths $285,600 to $284,500
940 IVY LN Unit # B 3 Beds 2 Baths $325,000 to $305,000
731 CENTRAL AVE 2 Beds 2.1 Baths $629,000 to $624,000
440 INVERRARY LN Unit # 440 2 Beds 2 Baths $249,353 to $244,353

Closed
381 Kelburn RD Unit # 111 1 Beds 1 Baths $196,666 closed for $185,000
838 Inverrary LN Unit # 838 2 Beds 1.1 Baths $199,900 closed for $190,000
1426 Inverrary LN 3 Beds 1.1 Baths $209,900 closed for $198,000
402 Kelburn RD Unit # 325 2 Beds 2 Baths $267,500 closed for $258,000

Eric P. Egeland
RE/MAX United
847.337.7090
DeerfieldsAgent.com

Weekly Mortgage Recap

2008-07-03T08:25:00.001-05:00

An anemic economy, sinking home values and soaring gas prices pushed consumer confidence to its lowest level since 1992, the U.S. Confidence Board reported last week Many news outlets jumped on the news, spinning it to suggest the economy is spiraling downward like an unimpeded helix.
But maybe things really aren't all that dire. Gross domestic product – the output of goods and services produced by labor and property – increased at an annual rate of 1.0% in the first quarter of 2008, according to final estimates released by the Bureau of Economic Analysis. In comparison, GDP increased only 0.6% in the fourth quarter of 2007. The data suggest economic growth is accelerating.

Perhaps consumers would feel more upbeat if they knew that existing home sales are stabilizing, with sales rising 2% in May from April to a seasonally adjusted annual rate of 4.99 million units. At the same time, inventory of existing homes fell 1.4% to 4.49 million units in May, which represents a 10.8-month supply at the current sales pace, down from a 11.2-month supply in April.

The Federal Reserve appeared upbeat by switching its focus to abating inflation from inflating the economy. But although the Fed said it expects inflation to moderate "later this year,” it admitted that it is concerned over “continued increases in the prices of energy and other commodities.”
Credit markets didn't appear too terribly concerned about inflation; mortgage rates finally held firm for a week, with the prime 30-year fixed-rate mortgage averaging 6.62%, the prime 15-year fixed-rate mortgage averaging 6.19%, and the prime 5/1 adjustable-rate mortgage averaging 6.28%, according to Bankrate.com's weekly survey.

Eric P. Egeland
RE/MAX United
847.337.7090
DeerfieldsAgent.com

Deerfield Realty June 20th-July 2nd

2008-07-02T14:38:00.002-05:00

Single Family Homes

New Listings
551 LONGFELLOW AVE 3 Beds 2 Baths $299,900
638 Timber Hill RD 4 Beds 2.1 Baths $498,900
647 Ambleside DR 4 Beds 2.2 Baths $598,647
780 Marcie CT 5 Beds 3 Baths $649,900
30 SPENCER CT 4 Beds 3.1 Baths $940,000
915 Rosemary TER 5 Beds 3.1 Baths $998,900
1222 Dartmouth LN 5 Beds 4.1 Baths $1,395,000

Under Contract
464 Grove PL 2 Beds 1.1 Baths $329,000
458 LONGFELLOW AVE 3 Beds 2 Baths $345,000
646 PINE STREET 3 Beds 2 Baths $424,000
745 Carlisle AVE 3 Beds 2.1 Baths $485,000
644 Orchard 5 Beds 3.1 Baths $599,000
43 ESTATE DRIVE 5 Beds 3.1 Baths $859,000
1314 Hazel AVE 4 Beds 3.1 Baths $979,000
133 Birchwood 4 Beds 3.1 Baths $999,000
1420 CROWE AVE 4 Beds 3.1 Baths $1,274,000
1541 Hawthorne 5 Beds 6.5 Baths $1,699,000

Price Changes
1030 springfield AVE 3 Beds 2 Baths $395,000 to $299,000
857 JUNIPER CT 2 Beds 2 Baths $310,000 to $299,900
506 Longfellow AVE 3 Beds 2 Baths $378,000 to $349,000
737 DEERPATH DR 2 Beds 1 Baths $379,900 to $374,900
649 W Elder LN 2 Beds 1 Baths $389,000 to $379,900
814 Spruce ST 4 Beds 2.1 Baths $449,900 to $429,000
1760 Lake Eleanor DR 4 Beds 3 Baths $649,000 to $619,000
1222 CRABTREE LN 4 Beds 2.1 Baths $839,000 to $799,000
1128 DAVIS ST 4 Beds 3.1 Baths $879,000 to $839,000
1478 Berkley CT 5 Beds 5.1 Baths $1,250,000 to $1,199,000
195 River ST 4 Beds 3.1 Baths $1,130,000 to $1,200,000
880 Northwoods 4 Beds 2 Baths $750,000 to $695,000

Closed
813 JUNEWAY AVE 4 Beds 2 Baths $230,900 Closed for $208,000
429 Indian Hill RD 3 Beds 2 Baths $439,000 Closed for $408,000
1008 CASTLEWOOD LN 4 Beds 2 Baths $485,000 Closed for $440,000
150 Birchwood AVE 4 Beds 3.1 Baths $547,000 Closed for $520,000
235 Oakmont DR 5 Beds 3.1 Baths $699,000 Closed for $680,000
920 Summit DR 4 Beds 2.1 Baths $759,000 Closed for $710,000
142 Burr Oak CT 5 Beds 2.1 Baths $769,000 Closed for $725,000
1250 Linden AVE 4 Beds 3.1 Baths $1,250,000 Closed for $1,140,000

Attached Homes

New Listings
352 Redwing DR 2 Beds 2.1 Baths $209,900
432 SWAN CT 3 Beds 2.1 Baths $259,500
414 PINTAIL LN 3 Beds 2.1 Baths $320,000

Under Contract
426 Inverrary LN 2 Beds 1 Baths
459 Elm ST 1C 2 Beds 1.1 Baths
402 Kelburn ST 222 2 Beds 2 Baths
610 Robert York AVE 105 2 Beds 2 Baths

Price Changes
1216 Inverrary LN Unit # 1216 2 Baths 1 Baths $177,500 to $169,900
441 Elm Unit # 3B 2 Baths 2.1 Baths $192,900 to $188,900
433 WREN LN Unit # 433 2 Baths 2.1 Baths $254,000 to $249,000
874 SWALLOW CT 3 Baths 2.1 Baths $257,500 to $249,900
604 MARTIN LN 3 Baths 2.1 Baths $299,000 to $279,900
433 N SWAN BLVD Unit # 433 3 Baths 2.1 Baths $285,800 to $285,600
411 KELBURN RD Unit # 225 2 Baths 2 Baths $359,900 to $334,900
459 ELM ST Unit # 1B 2 Baths 2.1 Baths $199,000 to $189,000
1026 INVERRARY LN Unit # 1026 2 Baths 1.1 Baths $199,900 to $189,900

Closed
410 INVERRARY LN 3 Beds 1.1 Baths $180,000 closed for $171,000
381 Kelburn RD #111 1 Beds 1 Baths $196,666 closed for $185,000
838 Inverrary LN 2 Beds 1.1 Baths $199,900 closed for $190,000
1300 Barclay LN 2 Beds 1.1 Baths $234,000 closed for $223,000

Eric P. Egeland
RE/MAX United
847.337.7090
DeerfieldsAgent.com

Interest Rate Cut?

2008-06-10T10:57:00.002-05:00

A sluggish economy and a spike in foreclosures suggest an interest-rate cut is in order, but a weak currency and creeping inflation suggest a rate hike is in order (rate increases make a currency more attractive vis-à-vis other currencies). What is the Federal Reserve to do?

Clues will be forthcoming in the Fed's Beige Book, to be released on Wednesday. It will likely prove that the Fed's greater concern is inflation, but that could easily change if Friday's consumer price index shows consumer prices rising at an intolerable rate.

Either way, borrowers can expect a spike in rate volatility. Gaming interest rates – an already difficult endeavor – will become that much more difficult in coming weeks. Bankrate.com's survey showed that mortgage rates increased across the board through most of last week, but the survey was released before Friday's employment report, which could just as easily drop rates this week.

So what's the longer-term rate trend that's likely to emerge? Unfortunately, it's impossible to tell at this point because of the schizophrenia of recent economic data releases.

Eric P. Egeland
RE/MAX United
847.337.7090
DeerfieldsAgent.com

Deerfield Realty Market Activity

2008-06-07T08:15:00.004-05:00

May 27-June 6th

Single Family Homes

New Listings
630 Elm ST Deerfield 3 Beds 2 Baths $274,900
737 DEERPATH DR Deerfield 2 Beds 1 Baths $384,900
1146 Deerfield RD Deerfield 3 Beds 2 Baths $389,900
525 Longfellow AVE Deerfield 3 Beds 2 Baths $439,000
110 Plumtree RD Deerfield 3 Beds 2.1 Baths $465,000
855 Fair Oaks AVE Deerfield 3 Beds 3.1 Baths $468,000
863 Todd CT Deerfield 4 Beds 2.1 Baths $549,000
730 Carriage WAY Deerfield 4 Beds 2.1 Baths $759,900
15 Standish DR Deerfield 4 Beds 2.1 Baths $799,500
845 King Richards CT Deerfield 4 Beds 3.2 Baths $849,900
1215 HACKBERRY RD Deerfield 4 Beds 3.1 Baths $1,149,000
400 Cumnor CT Deerfield 5 Beds 4.2 Baths $1,599,000
605 WESTGATE RD Deerfield 5 Beds 4.2 Baths $1,850,000

Under Contract
813 JUNEWAY AVE Deerfield 4 Beds 2 Baths $230,900
905 Warrington RD Deerfield 3 Beds 1.1 Baths $499,000
312 Birchwood AVE Deerfield 4 Beds 4.1 Baths $999,000
1064 GREENTREE AVE Deerfield 5 Beds 5 Baths $1,099,000
1250 Linden AVE Deerfield 4 Beds 3.1 Baths $1,250,000

Price Changes
730 Pine ST Deerfield 3 Beds 1.1 Baths $329,900 $309,900
859 Central AVE Deerfield 2 Beds 1 Baths $324,900 $319,000
539 MALLARD LN Deerfield 3 Beds 2 Baths $379,900 $349,900
946 Clay CT Deerfield 3 Beds 1.1 Baths $419,900 $419,500
413 Locust PL Deerfield 4 Beds 2.1 Baths $475,000 $450,000
1232 Wincanton DR Deerfield 3 Beds 2.1 Baths $470,000 $469,000
925 CASTLEWOOD LN Deerfield 4 Beds 2.1 Baths $518,900 $499,800
1542 Woodbine CT Deerfield 2 Beds 1.1 Baths $665,000 $647,500
1000 North AVE Deerfield 4 Beds 2.1 Baths $699,000 $659,900
1436 DEERFIELD RD Deerfield 5 Beds 4 Baths $669,000 $669,999
601 Carlisle AVE Deerfield 5 Beds 3.1 Baths $739,900 $698,000
755 WESTGATE RD Deerfield 4 Beds 3.1 Baths $799,000 $749,000
962 CENTRAL AVE Deerfield 5 Beds 3.1 Baths $959,000 $949,000
195 River ST Deerfield 5 Beds 4.1 Baths $1,100,000 $1,130,000
1224 KENTON RD Deerfield 4 Beds 3.1 Baths $1,299,000 $1,279,000
1327 Somerset ST Deerfield 5 Beds 4.1 Baths $1,295,000 $1,290,000
417 Hermitage DR Deerfield 5 Beds 4.3 Baths $1,649,000 $1,599,000

Closed
l20901 Catalpa ST Deerfield 3 Beds 2 Baths $359,900 closed for $341,500
821 WOODWARD AVE Deerfield 5 Beds 3 Baths $459,900 closed for $440,000
667 CARRIAGE WAY Deerfield 4 Beds 2.1 Baths $539,900 closed for $545,000
1112 N OSTERMAN AVE Deerfield 3 Beds 2.1 Baths $599,900 closed for $595,000
1133 Elmwood Deerfield 4 Beds 4.1 Baths $1,049,900 closed for $954,000
1156 CHERRY ST Deerfield 5 Beds 4.1 Baths $1,399,000 closed for $1,230,000

Attached Homes

New Listings
232 Inverrary Unit D Deerfield 3 Beds 1 Baths $158,900
1015 Deerfield Unit 232 Deerfield 2 Beds 2 Baths $180,000
1260 Inverrary Unit 1260 Deerfield 2 Beds 1.1 Baths $219,000
864 INVERRARY Unit 864 Deerfield 3 Beds 1.1 Baths $219,900
610 Robert York Unit 110 Deerfield 2 Beds 2 Baths $279,900
640 Robert York Unit 305 Deerfield 2 Beds 2 Baths $330,000
859 Bluebird Unit 0 Deerfield 3 Beds 2.1 Baths $334,900
610 ROBERT YORK Unit 302 Deerfield 2 Beds 2 Baths $419,000
816 Chestnut Unit B Deerfield 2 Beds 2.1 Baths $425,000

Under Contract
410 INVERRARY Unit 410 Deerfield 3 Beds 1.1 Baths $180,000
1050 INVERRARY Unit 0 Deerfield 3 Beds 1.1 Baths $185,900
402 Kelburn Unit 325 Deerfield 2 Beds 2 Baths $267,500

Price Changes
1171 Deerfield Unit 1171 Deerfield 2 Beds 1.1 Baths $229,000 changed to $219,000
738 GROUSE Unit 7387 Deerfield 2 Beds 2.1 Baths $250,000 changed to $244,900
410 Hummingbird Unit 410 Deerfield 3 Beds 2.1 Baths $289,900 changed to $275,000
439 Swan Unit 439 Deerfield 3 Beds 2.1 Baths $299,000 changed to $289,000
520 SOUTH COMMONS Unit - Deerfield 3 Beds 2 Baths $384,900 changed to $374,900
731 CENTRAL Unit 0 Deerfield 2 Beds 2.1 Baths $649,900 changed to $629,000

Closed
699 MALLARD LN - Deerfield 4 Beds 2.1 Baths $356,900 closed for $330,000

Eric P. Egeland
Re/Max United
847.337.7090
DeerfieldsAgent.com

Deerfield Real Estate May 12-15

2008-05-15T20:51:00.003-05:00

Single Family Homes

New Listings
859 Central AVE Beds 1 Baths $324,900
1030 FOREST AVE Beds 2 Baths $469,000
711 Carlisle Beds 2.1 Baths $579,000
1515 Wilmot RD Beds 5.1 Baths $995,000
1124 Greentree AVE Beds 3.1 Baths $1,100,000
1267 Linden AVE Beds 4.1 Baths $1,599,000
1443 Stratford RD Beds 4.1 Baths $1,699,000
507 Radcliffe CIR Beds 2 Baths $449,900

Price Changes
15204 Walnut DR Beds 1 Baths $269,900 to $249,900
458 LONGFELLOW AVE Beds 2 Baths $369,000 to $345,000
1232 Wincanton DR Beds 2.1 Baths $474,000 to $472,000
1639 VILLAGE GREEN CT Beds 2.1 Baths $539,000 to $524,900
914 BEVERLY PL Beds 3 Baths $669,000 to $665,000
1102 COUNTRY LN Beds 3.1 Baths $691,000 to $677,200
1032 Warrington Beds 3.1 Baths $1,095,000 to $998,000
902 Bristol DR Beds 4.1 Baths $1,079,000 to $999,000
1111 Cherry ST Beds 4.1 Baths $1,059,000 to $1,089,000
195 River ST Beds 4.1 Baths $1,450,000 to $1,125,000
1155 North AVE Beds 3.2 Baths $1,275,000 to $1,199,000
932 Castlewood LN Beds 3.1 Baths $1,119,000 to $1,199,000

Closed
1407 Bayberry LN Beds 2.1 Baths $497,500 closed for $464,500
1611 BERKELEY CT Beds 4.1 Baths $1,595,000 closed for $1,450,000

Attached Homes

New Listings
838 Inverrary LN Unit # 838 2 Beds 1.1 Baths $199,900
440 INVERRARY LN Unit # 440 2 Beds 2 Baths $249,353
613 MARTIN LN Unit # 613 3 Beds 2.1 Baths $299,900
442 PARTRIDGE LN Unit # 16-2 4 Beds 2.1 Baths $340,000
407 Winston DR Unit # 407 3 Beds 2.1 Baths $355,000
892 SWAN LN Unit # - 4 Beds 2.1 Baths $364,900

Under Contract
411 KELBURN RD Unit #225 2 Beds 2 Baths $359,900

Price Changes
905 FOUNTAIN VIEW DR 905 3 Beds 2.1 Baths $559,000 to $529,900

Eric P. Egeland
RE/MAX United
847.337.7090
DeerfieldsAgent.com

Deerfield Realty May 9th-11th

2008-05-11T20:21:00.003-05:00

Single Family Homes

New Listings
1252 Carlisle PL 4 Beds 2.1 Bath $479,900

Under Contract
720 Jonquil TER Deerfield 7 Baths 3 Bath $345,000

Price Changes
201 FORESTWAY DR 4 Beds 2.1 Baths $474,900 to $444,900
1020 Summit DR 4 Beds 2.1 Baths $699,900 to $665,000
1128 DAVIS ST 4 Beds 3.1 Baths $899,000 to $879,000
195 River ST 5 Beds 4.1 Baths $1,450,000 to $1,150,000

Closed
20882 N ASH ST 4 Beds 2 Baths $300,000 closed for $287,000

Attached Homes

Price Changes
422 Kelburn RD Unit # 323 3 Beds 2 Baths $539,900 to $519,900

Closed
347 Milford RD Unit # 347 3 Beds 2.1 Baths $498,900 closed for $470,000
739 Central AVE Unit # 0 3 Beds 2.1 Baths $519,999 closed for $490,000

Eric P. Egeland
RE/MAX United
847.337.7090
DeerfieldsAgent.com

Deerfield Realty April 29th-May 8th

2008-05-09T10:40:00.004-05:00

Deerfield Illinois Realty Report

Single Family Homes

New Listings
20742 ASPEN CT 3 Beds 1 Bath $244,900
1313 Holly LN 4 Beds 2 Bath $369,900
926 Rosemary Terrace 4 Beds 1.1 Bath $437,000
1233 WOODRUFF AVE 3 Beds 1.1 Bath $439,000
1563 Hawthorne PL 4 Beds 3.1 Bath $865,000
924 FOREST AVE 4 Beds 3.1 Bath $869,000
561 Brierhill RD 6 Beds 6.5 Bath $4,495,000

Under Contract
920 Summit DR 4 Beds 2.1 Baths $759,000
1133 Elmwood 4 Beds 4.1 Baths $1,049,900
1156 CHERRY ST 5 Beds 4.1 Baths $1,399,000

Price Changes
813 JUNEWAY AVE 4 Beds 2 Baths $254,900 to $234,900
720 Jonquil TER 3 Beds 2 Baths $369,000 to $345,000
1003 N WILMOT 3 Beds 1.1 Baths $369,700 to $349,900
909 Holmes AVE 3 Beds 1 Baths $364,500 to $349,900
1248 Hackberry RD 4 Beds 2.1 Baths $445,000 to $425,000
1016 Sheridan RD 3 Beds 1.1 Baths $439,000 to $429,000
1055 Forest 4 Beds 2 Baths $479,000 to $465,000
150 Birchwood AVE 4 Beds 3.1 Baths $589,000 to $547,000
61 ELLENDALE DR 5 Beds 3.1 Baths $649,000 to $648,000
676 Pine ST 4 Beds 3.1 Baths $799,000 to $775,000
442 Amberley LN 3 Beds 2.1 Baths $868,900 to $839,900
195 River ST 5 Beds 4.1 Baths $1,450,000 to $1,175,000
1327 Somerset ST 5 Beds 4.1 Baths $1,450,000 to $1,298,000
775 Summit DR 5 Beds 5.2 Baths $2,295,000 to $2,150,000

Closed
849 Appletree AVE Deerfield 3 2 3910 $425,000 closed for $409,250
1118 Gordon TER Deerfield 4 2.1 3910 $649,900 closed for $576,000
231 Gladys CT Deerfield 4 2.1 3640 $695,000 closed for $645,000
909 WESTCLIFF AVE Deerfield 4 4.3 3910 $1,499,000 closed for $1,425,000

Attached Homes

New Listings
442 Kelburn RD 121 1 Beds 1 Baths $195,900
914 INVERRARY DR 914 2 Beds 1.1 Baths $209,900
519 Hummingbird LN 519 2 Beds 2.1 Baths $289,500

Under Contract
714 Inverrary LN 2 Beds 1.1 Baths $169,000
1300 Barclay LN 2 Beds 1.1 Baths $234,000

Price Changes
1032 INVERRARY LN # 1032 2 Beds 1 Baths $168,000 to $166,000
463 ELM ST # 1I 2 Beds 1.1 Baths $189,500 to $185,500
382 Kelburn # 322 2 Beds 2 Baths $289,900 to $278,000

Closed
297 Tanager ST # 297 3 Beds 2.1 Baths $274,500 closed for $260,000
821 Fountain View DR # 821 3 Beds 2.1 Baths $699,000 closed for $647,500

Eric P. Egeland
RE/MAX United
847.337.7090
DeerfieldsAgent.com

Rates up or Down?

2008-05-07T17:38:00.002-05:00

Will the recent cut in the fed funds rate translate into lower mortgage rates? The answer is an equivocal yes and no. It's possible we'll see lower rates on some adjustable rate mortgages, but it's no slam-dunk. ARMs are more closely linked to the fed funds rate than fixed-rate mortgages, to be sure, but have only fallen about half a percentage point since September. ARMs played a leading role in the recent foreclosure fiasco, which has kept their rates higher than what would normally be expected.

Fixed-rate mortgages, on the other hand, are driven by rates on 10-year treasury notes. Rates on a 30-year fixed mortgage are typically 1.5 percentage points higher than the rate on the 10-year Treasury note, but because of increased risk perception – brought on by higher foreclosure rates and a stagnating housing market – that premium has expanded to 2.3 percentage points.

The 10-year Treasury note rate, in turn, is driven by inflation expectations. On that front, rising inflation concerns are pushing 10-year treasury rates higher.
So what's the outlook for mortgage rates? The focus is shifting back to inflation, which means rates are unlikely to go much lower. But while inflation could pressure 10-year treasury rates, a narrowing risk premium could offset the impact on fixed-rate mortgages. In other words, odds favor rates moving higher, but not much higher, so anyone sitting on the sidelines waiting for a drastic improvement is likely waiting in vain.

Eric P. Egeland
RE/MAX United
847.337.7090
DeerfieldsAgent.com

Deerfield Real Estate Market April 23-28

2008-04-29T15:22:00.004-05:00

Single Family Homes

New Listings
908 HOLMES AVE 3 Beds 1.1 Baths $356,499
1044 Wayne AVE 4 Beds 2.1 Baths $525,000
325 Earls CT 4 Beds 2.1 Baths $629,000
840 Warwick RD 4 Beds 2.1 Baths $657,500
635 AMBLESIDE DR 5 Beds 3.1 Baths $689,000
601 Carlisle AVE 5 Beds 3.1 Baths $739,900
641 AMBLESIDE DR 5 Beds 4.3 Baths $1,549,000
417 Hermitage DR 5 Beds 4.3 Baths $1,649,000

Under Contract
1121 CENTRAL AVE 3 Beds 1.1 Bath $395,000
1008 CASTLEWOOD LN 4 Beds 2 Bath $485,000
1154 Stratford 5 Beds 3.1 Bath $659,000
1440 Country LN 5 Beds 3.1 Bath $799,000

Price Changes
437 Longfellow AVE 2 Beds 1 Baths $305,000 To $295,000
425 Willow AVE 3 Beds 2 Baths $359,900 To $339,900
806 Appletree LN 3 Beds 1.1 Baths $383,900 To $375,000
1045 Oakley AVE 3 Beds 2 Baths $398,000 To $375,000
814 Spruce ST 4 Beds 2.1 Baths $479,000 To $449,900
784 Fox Hunt TRL 3 Beds 2 Baths $549,000 To $529,000
715 Byron CT 4 Beds 2.1 Baths $749,900 To $699,000
310 Oakmont 4 Beds 2.1 Baths $810,000 To $779,000
1513 DARTMOUTH LN 5 Beds 4 Baths $795,000 To $779,000
1152 PRAIRIE AVE 4 Beds 3.1 Baths $842,000 To $829,000
1032 Warrington 4 Beds 3.1 Baths $1,195,000 To $1,095,000
932 Castlewood LN 4 Beds 3.1 Baths $1,199,000 To $1,119,000
195 River ST 5 Beds 4.1 Baths $1,450,000 To $1,300,000
1327 Somerset ST 5 Beds 4.1 Baths $1,450,000 To $1,375,000
1340 Stratford RD 5 Beds 4.1 Baths $1,565,000 To $1,475,000
1232 Wincanton DR 4 Beds 4.1 Baths $1,220,000 To $1,210,000

Attached Homes

New Listings
1171 Deerfield RD 2 Bed 1.1 Bath $229,000
405 SWALLOW LN 3 Bed 2.1 Bath $274,900
433 N SWAN BLVD 3 Bed 2.1 Bath $287,000
439 Swan BLVD 3 Bed 2.1 Bath $299,000

Under Contract
940 IVY LN C 3 Bed 2 Bath $325,000
699 MALLARD LN 4 Bed 2.1 Bath $356,900

Price Changes
441 Elm 3B 2 Bed 2.1 Bath $199,900 To $196,900
738 GROUSE CT 2 Bed 2.1 Bath $275,000 To $250,000
1161 Waukegan RD 2 Bed 1.1 Bath $309,000 To $299,900
419 MALLARD DR 4 Bed 2.1 Bath $324,900 To $319,000

Eric P. Egeland
RE/MAX United
847.337.7090
DeerfieldsAgent.com

Rising Interest Rates

2008-04-29T10:09:00.002-05:00

Efficient markets are synonymous with confidence and liquidity – the result of investors' appetite to underwrite risk and savers' appetite to provide leverage to investors who want to underwrite risk. As risk appetite increases, liquidity follows, producing an increase in overall confidence.

Perhaps higher interest rates could increase both liquidity and confidence. Higher rates would strengthen the U.S. dollar – which has been in a free fall the past two years – and, therefore, strengthen foreign confidence in the U.S. economy. Walter Bagehot, a 19th century British economist, noted as much 140 years ago when he called a seizing of internal markets "a domestic drain” and the flight of capital abroad "an external drain." Bagehot argued that raising interest rates restores foreign confidence and makes domestic banks more willing to lend.

But would higher rates further ravish the housing market? Interest rates exert influence on home prices, to be sure, but the relationship is surprisingly tenuous. In 1980, the prime 30-year fix-rate mortgage averaged 13.7%, rising to 16.1% in 1982. Home prices during that period tumbled over 20%. From 1984 through the present, mortgage rates have steadily trended lower, but in 1989 the housing market endured a major 15% correction. Of course, it's enduring another correction today on relatively low rates.

At this stage in the game, more willing lenders are more important to reviving the housing market than marginally lower interest rates. After all, what good is cheap money if no one is willing to lend it?

Eric P. Egeland
RE/MAX United
847.337.7090
DeerfieldsAgent.com

Deerfield Real Estate April 16-22

2008-04-23T11:59:00.003-05:00

Single Family Homes

New Listings
458 LONGFELLOW AVE 3 Bed 2 Bath $369,000
1232 Wincanton DR 3 Bed 2.1 Bath $475,000
464 Elm ST 3 Bed 3 Bath $625,000
405 Willow AVE 4 Bed 4 Bath $724,900
930 NORTHWOODS DR 4 Bed 2.1 Bath $825,000
855 BROOKSIDE LN 4 Bed 4.1 Bath $1,089,999
423 LOCUST PL 4 Bed 4 Bath $1,199,999
1255 Montgomery DR 4 Bed 4.1 Bath $1,299,000
925 Kenton RD 5 Bed 5.1 Bath $1,299,000

Under Contract
20901 Catalpa ST 3 Bed 2 Bath $359,900
1128 Prairie AVE 3 Bed 4.1 Bath $797,900
46 E ST ANDREWS LN 5 Bed 3.1 Bath $799,000

Price Reductions
1221 DEERFIELD RD 3 Bed 1.1 Bath Reduced From $370,000 To $358,000
946 Clay CT 3 Bed 1.1 Bath Reduced From $469,900 To $449,000
232 Willow AVE 4 Bed 2.1 Bath Reduced From $479,900 To $459,900
1170 HALF DAY RD 4 Bed 3 Bath Reduced From $549,900 To $499,000
745 Carlisle AVE 3 Bed 2.1 Bath Reduced From $519,000 To $499,000
1442 Hackberry RD 4 Bed 2.1 Bath Reduced From $519,000 To $499,000
920 Summit DR 4 Bed 2.1 Bath Reduced From $769,000 To $759,000

Closed
1363 Woodland DR 5 Bed 5.2 Bath $1,949,000 closed for $1,825,000

Attached Homes

New Listings
158 Inverrary LN 158 2 Bed 1.1 Bath $195,000
442 KELBURN RD 226 2 Bed 2 Bath $269,900

Under Contract
742 GROUSE CT 0 3 Bed 2.1 Bath $234,900
347 Milford RD 347 3 Bed 2.1 Bath $498,900

Price Changes
425 SWALLOW LN 425 3 Bed 2.1 Bath Reduced from $299,500 to $275,000
402 KELBURN RD 325 2 Bed 2 Bath Reduced from $285,500 to $278,000

Eric P. Egeland
RE/MAX Advanced
847.337.7090
DeerfieldsAgent.com

Weekly Mortgage Recap

2008-04-21T17:05:00.003-05:00

The cup overflowed with an assortment of economic data last week. Of most interest to mortgage watchers were the disappointing data on inflation. The producer price index for finished goods rose 1.1% in March, after a 0.3% increase in February, while the core index, which excludes food and energy, climbed 0.2% after rising 0.5% in February and 0.4% during January.

The data were equally disconcerting on the consumer end, where prices rose 0.3%, exceeding most economists' expectations. Stripping out volatile food and energy costs, the core consumer price index gained 0.2%. Inflation pressures are being stoked by rocketing crude oil prices, which broached $115-a-barrel last week, and increased food costs as commodity prices around the world continue to soar.

Surprisingly, the mortgage market's reaction to the inflation threat was upbeat, which suggests inflation may not be as onerous as the PPI and CPI numbers would imply. The benchmark 30-year fixed-rate mortgage rose only seven basis points to 6.03%, the 15-year fixed-rate mortgage rose nine basis points to 5.65%, and the 5/1 adjustable-rate mortgage actually fell 10 basis points to 5.85%, according to the Bankrate.com national survey.

Housing starts fell to a 17-year low in March – a decline that exceeded the consensus estimate twice over. However, given the current overhang in housing inventory, it's far better for housing starts to be low than high. Suppliers must reduce inventory to return some semblance of order to the market, and housing starts suggest that's occurring.

A glass-half-full spin could also be applied to the news that Freddie Mac is planning on buying $10 billion to $15 billion in jumbo mortgages in an effort to counterbalance the upper-end housing market. Freddie Mac used to be restricted from buying jumbo loans – mortgages above $417,000. Thanks to Congress, the new limit now exceeds $729,000 in many areas. Freddie Mac's move to purchase larger loans will grant home buyers cheaper rates than they would have otherwise received.

Eric P. Egeland
RE/MAX Advanced
847-337-7090
DeerfieldsAgent.com

Deerfield Real Estate April 12-15th

2008-04-16T16:02:00.003-05:00

Single Family Homes

New Listings
419 Birchwood AVE 3 Bed 2 Bath $533,000
1057 Linden AVE 4 Bed 3.1 Bath $869,000
1345 Linden AVE 4 Bed 5.2 Bath $2,100,000

Under Contract
20882 N ASH ST 4 Bed 2 Bath $300,000
429 Indian Hill RD 3 Bed 2 Bath $439,000
821 WOODWARD AVE 5 Bed 3 Bath $459,900
1118 Gordon TER 4 Bed 2.1 Bath $649,900

Price Changes
1308 Somerset AVE 2 Bed 1.1 Bath $375,000 $349,900
720 Jonquil TER 3 Bed 2 Bath $389,000 $369,000
1315 Greenwood AVE 3 Bed 2.1 Bath $439,000 $408,000
420 Elm ST 4 Bed 2.1 Bath $610,000 $590,000
680 Wilmot RD 4 Bed 2.1 Bath $649,900 $599,900
61 ELLENDALE DR 5 Bed 3.1 Bath $679,000 $649,000
116 Plumtree RD 4 Bed 2.1 Bath $689,600 $679,000
1020 Summit DR 4 Bed 2.1 Bath $734,900 $699,900
1436 DEERFIELD RD 5 Bed 4 Bath $779,000 $725,000
1130 OSTERMAN AVE 4 Bed 4.1 Bath $884,999 $785,000
1513 DARTMOUTH LN 5 Bed 4 Bath $798,000 $795,000
1530 Crabtree LN 5 Bed 5.1 Bath $1,899,900 $1,840,000
1415 Wilmot RD 6 Bed 6.1 Bath $2,895,000 $3,295,000

Closed
1111 PARK AVE 4 Bed 2.1 Bath $495,000 closed for $450,000

Attached Homes

New Listings
423 ELM ST 5C 2 Bed 1.1 Bath $189,000
1434 Inverrary LN 2 1 Bath $189,900
433 WREN LN 2 Bed 2.1 Bath $260,000
1162 OSTERMAN AVE 3 Bed 2 Bath $274,900

Under Contract
844 SWALLOW ST 3 Bed 3.1 Bath $299,900

Price Changes
411 Kelburn RD 221 1 Bed 1 Bath $215,000 $205,000

Closed
546 INVERRARY LN 2 Bed 1.1 Bath $199,900 closed for $192,500

Eric P. Egeland
RE/MAX Advanced
847.337.7090
DeerfieldsAgent.com

Deerfield IL Realty April 7th-11th

2008-04-13T12:41:00.004-05:00

Single Family Homes

New Listings

813 JUNEWAY AVE 4 Bed 2 Bath $254,900
437 Longfellow AVE 2 Bed 1 Bath $305,000
1106 Davis 3 Bed 1 Bath $329,000
551 LONGFELLOW AVE 3 Bed 2 Bath $329,900
506 Longfellow AVE 3 Bed 2 Bath $388,000
719 PINE ST 3 Bed 2 Bath $389,900
925 CASTLEWOOD LN 4 Bed 2.1 Bath $518,900
701 WESTGATE RD 3 Bed 2.1 Bath $589,000
1154 Stratford 5 Bed 3.1 Bath $659,000
61 ELLENDALE DR 5 Bed 3.1 Bath $679,000
1040 Heather RD 4 Bed 3.1 Bath $729,000
170 CRESTVIEW DR 5 Bed 3.1 Bath $769,000
1440 Country LN 5 Bed 3.1 Bath $799,000
312 Birchwood AVE 4 Bed 4.1 Bath $999,000
1116 Kenton RD 4 Bed 5.1 Bath $1,399,000

Under Contract
1333 Elmwood AVE 4 Bed 3 Bath $575,000
156 W St. Andrews LN 5 Bed 3.1 Bath $859,000

Price Changes
857 JUNIPER CT Deerfield 2 Bed 2 Bath $398,000 to $364,500
720 Jonquil TER Deerfield 3 Bed 2 Bath $389,000 to $369,000
201 FORESTWAY DR Deerfield 4 Bed 2.1 Bath $489,900 to $474,900
1142 Laurel AVE Deerfield 4 Bed 2.1 Bath $499,000 to $475,000
413 Locust PL Deerfield 4 Bed 2.1 Bath $475,000 to $475,000
1130 RAGO AVE Deerfield 3 Bed 2 Bath $499,000 to $479,000
1150 WALDEN LN Deerfield 4 Bed 3 Bath $599,000 to $575,000
962 CENTRAL AVE Deerfield 5 Bed 3.1 Bath $989,000 to $959,000
1064 GREENTREE AVE Deerfield 5 Bed 5 Bath $1,198,500 to $1,149,000
641 AMBLESIDE DRIVE Deerfield 5 Bed 4.3 Bath $1,599,000 to $1,549,000
417 Hermitage DR Deerfield 5 Bed 4.3 Bath $1,699,000 to $1,649,000
1530 Crabtree LN Deerfield 5 Bed 5.1 Bath $1,899,900 to $1,840,000
1232 Wincanton DR Deerfield 4 Bed 4.1 Bath $1,240,000 to $1,230,000

Closings
965 BROOKSIDE LN 3 Bed 2 Bath listed for $425,000 closed for $405,000
1200 Kenton RD 3 Bed 2.1 Bath listed for $479,000 closed for $440,000
433 Woodvale AVE 3 Bed 2 Bath listed for $499,000 closed for $470,000
30 ELLENDALE RD 4 Bed 2.1 Bath listed for $649,000 closed for $607,500
16 W ST ANDREWS LN 4 Bed 2.1 Bath listed for $869,900 closed for $860,000
52 Buckingham CT 5 Bed 4.1 Bath listed for $998,000 closed for $936,000
1325 Stratford RD 4 Bed 4.1 Bath listed for $1,279,900 closed for $1,237,000

Attached

New Listings
1032 INVERRARY LN 1032 2 Bed 1 Bath $169,000
423 ELM ST 5C 2 Bed 1.1 Bath $189,000
854 INVERrARY LN B 2 Bed 1.1 Bath $212,000
351 KELBURN RD 212 2 Bed 2 Bath $249,000
378 GOSHAWK LN 378 2 Bed 2.1 Bath $259,000

Price Changes
714 Inverrary LN 2 Bed 1.1 Bath $174,000 to $169,000
742 GROUSE CT 3 Bed 2.1 Bath $249,900 to $234,900

Closings
546 INVERRARY LN 0 2 Bed 1.1 Bath listed for $199,900 closed for $192,500
619 MARTIN LN 619 3 Bed 2.1 Bath listed for $279,900 closed for $273,000

Eric P. Egeland
RE/MAX Advanced (Deerfield)
847.337.7090
DeerfieldsAgent.com

Deerfield Realty April 3rd-6th

2008-04-07T14:42:00.002-05:00

Single Family Homes

New Listings
1063 N FOREST AVE 6 4 $446,500
701 WESTGATE RD 3 3 $597,900
125 Greenbriar DR 4 2.1 $647,900
1390 CAROL LN 5 3.1 $724,900
622 Appletree CT 4 3.1 $999,000
1527 STRATFORD RD 4 3.1 $999,000
1155 North AVE 5 3.2 $1,275,000
1541 Hawthorne 5 6.5 $1,699,000

Under Contract
235 Oakmont DR 5 Bed 3.1 Bath $699,000

Price Changes
821 WOODWARD AVE 5 Bed 3 Bath Reduced from $484,900 to $459,900
819 HOLMES ST 4 Bed 2.1 Bath Reduced from $499,000 to $469,000
1639 VILLAGE GREEN CT 4 Bed 2.1 Bath Reduced from $549,000 to $539,000
1232 Wincanton DR 4 Bed 4.1 Bath Reduced from $1,250,000 to $1,240,000

Attached Homes

New Listings
731 CENTRAL AVE 2 Bed 2.1 Bath $649,900

Price Reductions
742 Inverrary Unit# 742 2 1 Reduced from $149,900 to $144,900
402 Kelburn ST Unit# 222 2 2 Reduced from $259,500 to $249,500
419 MALLARD DR Unit# 0 4 2.1 Reduced from $339,900 to $329,900
347 Milford RD Unit# 347 3 2.1 Reduced from $499,000 to $498,900

Eric P. Egeland
RE/MAX ADVANCED (Deerfield)
847.337.7090
DeerfieldsAgent.com

Weekly Mortgage Recap

2008-04-06T22:11:00.003-05:00

Recession or no recession? That was last week's $64,000 question, and it appears we are listing toward the former. Federal Reserve Chairman Ben Bernanke acknowledged as much, stating that “it now appears likely that real gross domestic product (GDP) will not grow much, if at all, over the first half of 2008 and could even contract slightly.”

Friday's labor report added gravitas to the Fed chairman's sentiments. Government figures showed the economy lost jobs for a third straight month in March, pushing unemployment up to 5.1%. The elimination of 80,000 jobs was the most since March 2003, when the labor market was still struggling to recover from the 2001 recession. Some professional soothsayers are now portending a 5.5% unemployment rate by year's end (of course, many of these soothsayers are no more accurate than a random coin flip).

Meanwhile, Fannie Mae – the quasi-government agency that buys and securitizes mortgages – continues to up the ante, setting new rules on what mortgages it will buy. On that front, Fannie Mae will no longer purchase loans made to borrowers with credit scores below 580, nor will it purchase loans that have been more than 60 days past due within the year.

Fannie Mae is also correlating fees to credit scores. (It already correlates interest rates to them.) The good news is that fees will drop for borrowers with credit scores of 720 and above. The bad news is that fees double to 1.5% of the loan amount for borrowers with credit scores between 660 and 680. For borrowers with credit scores below 660, fees are even higher.

Higher fees, interest rates, and a non-existent subprime market are making FHA-insured loans a viable alternative for many borrowers with marginal credit. Yes, there is an upfront fee of 1.5% of the loan amount, which can be rolled into the mortgage, and there's a monthly fee too, but FHA doesn't charge a higher premium to borrowers with low credit scores.

Eric P. Egeland
RE/MAX Advanced (Deerfield)
847.337.7090
DeerfieldsAgent.com

Deerfield Realty March 31st-April 2nd

2008-04-03T08:51:00.005-05:00

Single Family Homes

New Listings
909 Holmes AVE 3 Bed 1 Bath $364,500
1055 Forest 4 Bed 2 Bath $479,000
905 Warrington RD 3 Bed 1.1 Bath $499,000
745 Carlisle AVE 3 Bed 2.1 Bath $519,000
1335 Carlisle PL 3 Bed 2 Bath $535,000
1239 Kenton RD 4 Bed 3.1 Bath $689,000
1436 DEERFIELD RD 5 Bed 4 Bath $799,000
310 Oakmont 4 Bed 2.1 Bath $810,000
1441 Country LN 5 Bed 3 Bath $837,000
156 W St. Andrews LN 5 Bed 3.1 Bath $859,000
885 North AVE 5 Bed 3.1 Bath $999,000

Under Contract
1407 Bayberry LN 4 Bed 2.1 Bath $497,500
909 WESTCLIFF AVE 4 Bed 4.3 Bath $1,499,000

Price Changes
1134 CHESTNUT ST 3 Bed 1 Bath $389,000 to $375,000
4 Pine ST 5 Bed 2.1 Bath $515,000 to $499,000
1333 Elmwood AVE 4 Bed 3 Bath $624,750 to $575,000
150 Birchwood AVE 4 Bed 3.1 Bath $599,000 to $589,000
914 BEVERLY PL 3 Bed 3 Bath $695,000 to $669,000
142 Burr Oak CT 5 Bed 2.1 Bath $789,000 to $769,000
1478 Berkley CT 5 Bed 5.1 Bath $1,299,000 to $1,250,000

Closed
639 Wilmot RD 5 Bed 4.1 Bath Listed for $1,050,000 Sold For $950,000
1524 Crabtree LN 5 Bed 5.1 Bath Listed for $1,495,000 Sold For $1,390,000
927 WESTCLIFF LN 5 Bed 5.1 Bath Listed for $1,900,000 Sold For $1,750,000

Attached Homes

New Listings
738 grouse CT 2 Bed 2.1 Bath $275,000
401 Kelburn 2 Bed 2 Bath $318,000

Price Change
714 Inverrary LN 2 Bed 1.1 Bath $179,000 to $174,000

Closed
418 GROUSE 418 Deerfield 3 Bed 2.1 Bath Listed for $299,000 Sold for $279,000
620 MARTIN LN 0 Deerfield 3 Bed 2.1 Bath Listed for $348,000 Sold for $320,000

Eric P. Egeland
RE/MAX Advanced (Deerfield)
847.337.7090
DeerfieldsAgent.com

Deerfield Realty March 26-30th

2008-03-31T10:01:00.003-05:00

Single Family Homes

New Listings
1010 SPRINGFIELD AVE 3 Bed 3 Bath $300,000
730 Pine ST 3 Bed 1.1 Bath $329,900
420 Elm ST 4 Bed 2.1 Bath $610,000
43 ESTATE DRIVE 5 Bed 3.1 Bath $939,000

Price Changes
533 Longfellow AVE 3 Bed 2 Bath 3710 $469,000 to $449,900
821 WOODWARD AVE 5 Bed 3 Bath 8031 $499,900 to $484,900
1407 Bayberry LN 4 Bed 2.1 Bath 3710 $509,000 to $497,500
855 Fair Oaks AVE 3 Bed 3.1 Bath 24451 $529,000 to $499,000
531 Woodvale AVE 4 Bed 3 Bath 3710 $598,800 to $574,900
235 Oakmont DR 5 Bed 3.1 Bath 8118 $729,000 to $699,000
1128 DAVIS ST 4 Bed 3.1 Bath 2208 $949,000 to $899,000

Closed
1126 Wayne AVE 3 Bed 2.1 Bath $449,000 sold for $439,000
1160 DEERFIELD RD 4 Bed 2.2 Bath $675,000 sold for $675,000
830 CEDAR TER 4 Bed 4.1 Bath $959,900 sold for $945,000

Attached Homes

New Listings
304 Inverrary LN 2 Bed 2.1 Bath $269,900
1161 Waukegan RD 2 Bed 1.1 Bath $309,000
900 Poplar LN 3 Bed 2.1 Bath $428,000

Price Changes
441 Elm 3B 2 Bed 2.1 Bath $205,000 to $199,900

Under Contract
666 MALLARD LN Deerfield 2 Bed 3.1 Bath $329,000

Eric P. Egeland
RE/MAX ADVANCED-Deerfield
847.337.7090
DeerfieldsAgent.com