Foreclosures in 10 E. Ontario – Ontario Place UPDATE

10 E. Ontario, also known as Ontario Place in Chicago is known for its massive amount of short sales and foreclosures. For those of you who read my blog regularly of have read my previous blogs with other companies you know that I have less than a loving attitude towards any American Invsco development. This is especially true with 10 E. Ontario. Here is the most recent update for those of you who are wondering “What the hell is going on over there?”

Today is November 1, 2011 so if we go back 1 full year of closed sales here is the data we get.

55 Total Closed Condos The Building has a total of 467 Units

Priced between $125,100 and $310,000

The question is, how many of these 55 were short sales or foreclosures? ALL OF THEM! Yes, that is right, ALL of the 55 units closed out on the MLS in the past year were either Bank Owned or Short Sale condos.

What is on the market right now?

19 Units on the Market

Priced Between $129,900 to $350,000

15 of these 19 are UNDER CONTRACT.

1 is Temporarily OFF Market

3 Are ACTIVELY for Sale. Unit 1212 is a Junior 1 Bedroom priced at $163,000 and is listed as NOT A SHORT SALE and does not appear to be bank owned. HOWEVER, a Lis Pendens was filed on 3/12/2010 according to public records.

Lastly, Unit 3008 does not say either way whether it is a Foreclosure or Short Sale, despite the fact that the MLS does require listing agents to disclosure if a property is a short sale. The Unit is currently listed at $175,000 and is under contract. The previous owner paid $392,000 in 2006 and had an initial mortgage amount of $313,400.

The majority, almost all recent sales, have been purchased with CASH and not financed.
As always any questions regarding this building, to schedule showings, to list property; please do not hesitate to contact me:

Paul Blackburn – Realtor

@ Properties

Paul@PKBlackburn.com

 

INVESTORS CLEAN UP AFTER AMERICAN INVSCO

Ontario Place, Millennium Centre, 200 N. Dearborn, River City, Century Tower….you know these buildings right? Well, if you were looking to pick up some cheap foreclosures you definitely would. If you were an investor 4 years ago too, you definitely would know these buildings. These are all American Invsco developments. Developments in prime locations that unfortunately were marketed mostly to uneducated investors who were enticed with cash back at closing, cheap financing, and guaranteed rental income for 2 years.

In the last few years, after the market crashed, these conversions by American Invsco showed some of the greatest price declines of any developments throughout all of Chicago. For those of you who have read my previous blogs regarding American Invsco you understand my extreme dislike, even hatred for the company and their development style. They were smart, they got out, they made their money, but they left destruction in their path.

Thankfully, I am happy to say that investors have come back into the market and have cleaned up the majority of their mess. 10 E. Ontario has seen 94 sales in the past year, almost all of which were foreclosures or short sales. Investors have gobbled up Convertibles and One Bedrooms between $129,000 and $160,000 (with some including a deeded parking space). These same units sold for well over 300,000 in the heat of the market in 2007. Assessments are still high and taxes are still pushing the upper limits but the purchase prices are unbeatable.

When condos in 10 E. Ontario first dropped below $200,000 a couple investors jumped right in. Most however, waited on the sidelines asking themselves “how much lower are prices going to go?” As an agent with clients interested in the building back in 2009 I didn’t know how much lower prices would go. I honestly had not the faintest clue. I started to steer people away from this building; I didn’t believe it was a good investment at the time. Then one day, I started to follow the sales there again and noticed prices below $150,000, some at $135,000….then I started to see these units go under contract. One by one they went. Soon, as units in this building hit the market they were gobbled up. Finally….normality had started to return.

We’ve seen the same with 345 N. LaSalle (The Sterling) and 33 W. Ontario (Millennium Centre). While these buildings are still seeing some short sales and foreclosures hit the market; investors are eager to jump on them when they do. Century Tower and 200 N. Dearborn have weathered the storm. While there are a good handful of units in foreclosure and some short sales on the market, there is nothing near the devastation we saw at 10 E. Ontario.

What does this mean? This means that the market is starting to rebound. Not shoot up…but stabilize from the chaos we had before. When investors are willing to jump into some of the riskiest buildings in downtown Chicago for an investment…that means we’re getting back to normal.