BEVERLY — The number of foreclosures in the 19th Ward nearly has dropped to 2005 levels, according to a report released this month by the Institute for Housing Studies at DePaul University.
Foreclosure activity for the ward that includes Beverly, Mount Greenwood and portions of Morgan Park peaked in 2012. That year, 364 filings — mostly for single-family homes — were recorded with the Cook County Circuit Courts, the DePaul data project found.
Since then, there's been a sharp decline in foreclosure activity. Just 169 foreclosure filings were recorded in 2014 — the most recent data provided by the DePaul report. This compares to 161 filings in 2005 — the earliest data provided by the report.
Geoff Smith, executive director of the institute, said there are several reasons for the drop in foreclosure activity both in the 19th Ward and throughout the city.
First, he said many places that are seeing the healthiest drop in foreclosure filings — including the 19th Ward — weren't as severely impacted when the housing bubble burst.
"Different parts of the city are recovering at different paces," Smith said.
He theorized that subprime lending which contributed to the housing bust might have been less of an issue in the 19th Ward. Unemployment tied to the most recent recession also might have been tempered on the far Southwest Side.
Likewise, the housing boom that sent prices soaring throughout the Chicago area in 2007 was likely more subdued in the 19th Ward. These areas that saw only modest gains were actually protected from much of the fluctuation when home values subsequently dropped — bottoming out in the neighborhood in 2013, Smith said.
Indeed, only 10.5 percent of residential parcels in the 19th Ward were touched by foreclosure between 2005-2014, compared to 18.8 percent of residential parcels throughout the city, the DePaul data found.
The 16th Ward, which consists of parts of Englewood and Back of the Yards, had the worst overall foreclosure rate for the period at 44.3 percent. The 43rd Ward, consisting of Lincoln Park and portions of the Near North Side, was largely untouched by the foreclosure crisis with only 4.7 percent of residential parcels seeing a foreclosure filing from 2005-2014, according to the data.
Margot Burke Holland, executive director of the Beverly Area Planning Association, said the 19th Ward is often seen as a bastion for city workers bound by Chicago's residency requirement. This is commonly believed to be a factor in protecting the neighborhood from real estate peaks and valleys.
However, Holland also pointed to recent analysis compiled by the Chicago Community Trust that found 19th Ward residents stand out as one of the more educated populations throughout the city.
She believes well-educated professionals are drawn to the neighborhood along with police officers, firefighters, teachers and other public servants. This further contributes to the stability of real estate prices as well as low foreclosure figures.
Additionally, Holland said homes in Beverly — many of which include backyards and garages — are often considered a good value when compared to other areas of the city.
"I also think a lot of it has to do with the housing stock," she said.
For more neighborhood news, listen to DNAinfo Radio here:
