Navigating Foreclosure in Chicago • July 17, 2025

Selling Your Home During Pre-Foreclosure: What You Need to Know

by Molly Heyen

If you’re in pre-foreclosure, selling your property might feel like giving up—but it can actually be a powerful move to protect your credit, avoid the lasting impact of foreclosure, and give yourself more control over what comes next.

The pre-foreclosure period is often the last window of opportunity to sell the property on your terms before the lender steps in. Here’s what you need to know to make an informed decision.

What Is Pre-Foreclosure?

Pre-foreclosure begins after you’ve missed several mortgage payments and received a notice of default from your lender. At this point, foreclosure is not yet finalized—and you still have time to take action.

If you’re considering selling, this is the ideal time to do it. Once the property moves into foreclosure and is repossessed, your ability to influence the outcome becomes much more limited.

Why Sell Before Foreclosure?

There are several potential benefits to selling during this stage:

Protect Your Credit: A completed foreclosure can severely impact your credit score. A pre-foreclosure sale generally has a less damaging effect.
Avoid Legal Proceedings: Selling voluntarily helps you sidestep the stress and public record of a formal foreclosure.
Maintain More Control: You have a say in the price and terms—rather than the lender.
Possibly Walk Away With Equity: If your property is worth more than you owe, you may be able to walk away with cash in hand.

What About a Short Sale?

If your mortgage balance is higher than the current market value of the property, you may need to consider a short sale.

A short sale allows you to sell for less than what is owed on the mortgage, but you must first get approval from your lender. It’s not always a fast or simple process, but it can be a viable alternative to foreclosure if handled correctly.

Note: Consult with a licensed real estate professional who has experience with short sales and can guide you through the process.

How to Get Started

If selling during pre-foreclosure is something you’d like to explore, these are the key steps:

Know Your Payoff Amount: Request a payoff statement from your lender so you know exactly what is owed.
Get a Market Analysis: A qualified real estate agent can assess your property’s current value and sale potential.
List the Property Quickly: Time is critical. Listing with someone familiar with pre-foreclosure timelines ensures you don’t miss your window.
Communicate With Your Lender: Let them know you’re actively working to sell—they may offer extensions or pause proceedings if they see real progress.

You Don’t Have to Figure This Out Alone

Pre-foreclosure is a challenging position to be in—but there are still options on the table. Selling your home could be the fresh start you need, and the right support can make all the difference.

As a licensed real estate advisor, I’ve helped homeowners navigate this process with clarity, compassion, and results. If you’d like to explore whether selling makes sense for your situation, I’m here to talk through it.

Contact me to get started.

Building an Equitable Chicago • July 15, 2025

How to Assemble the Right Team for Your Equitable Development Project

by Molly Heyen

A man crossing his arms in front of a team of professionals with him

Introduction

Equitable development is a team sport. From architects and general contractors to community organizers and legal counsel, the success of a mission-driven project depends heavily on the people guiding it. Assembling the right team early in the process can help you avoid costly mistakes, strengthen community trust, and keep your development aligned with its core values.

This post outlines the essential roles on an equitable development team, how to identify the right professionals, and how to build a collaborative structure that supports your goals from planning through post-occupancy.

1. Core Team Members and Their Roles

Developer or Development Lead
The visionary and project coordinator. In many cases, this is you. You set the tone, secure financing, and ensure that the mission of equitable development stays front and center.

Real Estate Agent or Advisor
An agent with local expertise can help source the right site, negotiate favorable terms, and provide insight into neighborhood dynamics and city processes.

Architect and Urban Planner
Equity-focused architects can integrate accessibility, sustainability, and cultural relevance into the design. Urban planners can help align your vision with community needs and zoning requirements.

General Contractor or Construction Manager
You’ll want a builder who understands the nuances of community-sensitive construction. Look for firms with experience hiring local labor and managing complex projects within budget.

Zoning Attorney or Land Use Specialist
Navigating Chicago’s zoning process can be challenging. A land use attorney can interpret requirements, represent you during hearings, and help mitigate legal risk.

Community Engagement Consultant or Liaison
A trusted community intermediary ensures you’re building with—not for—the neighborhood. This person or firm helps gather input and builds support with local residents and stakeholders.

Financial Consultant or Tax Credit Specialist
Equitable development often involves complex capital stacks, including grants, tax credits, and low-interest financing. You’ll need someone to help you strategize and secure funding.

2. How to Find the Right People

Look for mission alignment. Beyond qualifications, your team should share your values around equity and community impact.
Tap into local networks. Attend community development meetings, join local real estate associations, and ask for referrals from nonprofits or neighborhood groups.
Prioritize lived experience. Professionals who have worked or lived in the neighborhoods you’re targeting bring invaluable insight.
Review past projects. Ask to see case studies, references, and documentation showing a commitment to inclusion, affordability, and community engagement.

3. Structuring Your Team for Collaboration

Set clear roles and responsibilities early. Avoid duplication or gaps in decision-making.
Establish a regular meeting schedule. This promotes communication and keeps everyone aligned.
Use shared project management tools. Platforms like Asana, Trello, or Monday.com can help streamline workflows.
Encourage mutual accountability. Your team should not only be accountable to you, but to each other—and the community.

4. What to Watch Out For

Misalignment on values. A technically strong architect or attorney who dismisses the equity lens can derail your goals.
Inexperience in public-private or community-focused projects. Be cautious of firms whose portfolios don’t reflect your type of development.
Communication breakdowns. Early warning signs include missed meetings, vague timelines, and finger-pointing over responsibilities.

5. How I Can Help

As a commercial real estate advisor who specializes in equitable development in Chicago, I can:

Recommend vetted professionals who share your mission
Help you build a balanced team based on your project’s scope and budget
Facilitate introductions to community leaders, city officials, and funding sources
Provide continuity as your advisor throughout the life of the project

Conclusion

The right team doesn’t just execute your vision—it shapes it. Thoughtful team-building is one of the most strategic decisions you’ll make as an equitable developer. If you’re assembling your team and want guidance on where to start, let’s connect.

Navigating Foreclosure in Chicago • July 10, 2025

How to Avoid Foreclosure Scams When You’re Under Pressure

by Molly Heyen

Cartoon of a sheep talking to another sheep who got fleeced and says, "How did the negotiation go? Not too well."

When you’re under the stress of foreclosure, the last thing you need is to fall victim to a scam. Unfortunately, dishonest individuals and companies often target homeowners during difficult times, making bold promises they can’t keep. Knowing what to watch out for can protect you from financial loss and further hardship.

Here’s how to stay safe and informed when seeking help with your property.

Know the Common Scams

Scammers often use urgency and fear to convince homeowners to sign over control or pay upfront for fake services. Here are some of the most common schemes:

“Foreclosure Rescue” Offers: These promise to stop foreclosure immediately for a fee, but deliver little to no real assistance.
Title Transfer Schemes: A scammer convinces the homeowner to sign over the deed under the promise of saving the home. This often results in the homeowner losing their property entirely.
Fake Loan Modifications: Someone may claim they can modify your loan for a fee but never follow through with your lender.
Phony Government Programs: Scammers may pretend to be affiliated with government foreclosure relief programs to gain your trust.

Red Flags to Watch For

Whether you’re contacted by phone, mail, or online, here are some signs that should raise concern:

Requests for upfront payments before services are rendered
Guarantees to “stop the foreclosure” regardless of your situation
Pressure to act immediately or sign documents without reviewing them
Instructions to make payments to someone other than your lender
Refusal to provide written information or contact details

A legitimate housing advisor or real estate professional will never ask you to sign away ownership without fully explaining your options.

Take These Precautions

Protecting yourself from fraud means staying cautious and informed. Here are some steps you can take:

Research anyone offering to help. Look them up with the Better Business Bureau or your local real estate licensing board.
Consult a HUD-certified housing counselor. They offer free or low-cost assistance and are trained to help homeowners navigate foreclosure options.
Do not sign documents you don’t understand. If you’re unsure, consult with an attorney or trusted advisor before proceeding.
Never pay upfront for a loan modification or rescue service. Reputable professionals will explain their process and fees clearly—and will not ask for payment before any work is done.

Work With Trusted Professionals

The right support makes all the difference. Work with licensed professionals who are transparent about their credentials and offer clear, realistic options.

As a licensed real estate advisor, I’ve helped property owners explore their options and avoid making decisions they later regret. While I am not a financial advisor or attorney, I can connect you with trusted professionals and help you understand the real estate aspects of your situation.

You Don’t Have to Face This Alone

If you’re facing foreclosure, know that there are legal, trustworthy ways to find relief. Scammers take advantage of fear and isolation—don’t let them take advantage of you.

If you want a second opinion on something you’ve received or need help reviewing your options, feel free to reach out. I’m here to support you with honest information and a no-pressure approach.

Building an Equitable Chicago • July 8, 2025

Understanding Chicago’s Development Incentives: What Equitable Developers Need to Know

by Molly Heyen

Chicago offers a range of development incentives designed to support projects that align with community and economic development goals. For equitable developers, these programs can provide critical financial assistance, tax benefits, and resources to help make projects viable while prioritizing affordability, sustainability, and neighborhood impact.

However, navigating these incentives requires a clear understanding of eligibility requirements, application processes, and potential trade-offs. This guide breaks down key development incentives, how they work, and how they can support equitable development efforts.

1. Tax Increment Financing (TIF)

TIF is one of Chicago’s most significant economic development tools, designed to fund projects that revitalize underserved areas.

How It Works:

TIF districts capture the increase in property tax revenue generated by new development and reinvest it into infrastructure, public improvements, and project subsidies.
Funds can be used for land acquisition, environmental remediation, and affordable housing.

Who Can Benefit:

Developers focused on revitalizing blighted areas.
Projects that include affordable housing, mixed-use development, or workforce training.

Challenges:

Requires city approval and a demonstrated public benefit.
Developers must navigate complex compliance requirements.

2. Low-Income Housing Tax Credit (LIHTC)

LIHTC is a federal program that provides tax credits to incentivize affordable housing development.

How It Works:

Developers receive tax credits in exchange for setting aside units for low- and moderate-income tenants.
The credits are allocated by the Illinois Housing Development Authority (IHDA).

Who Can Benefit:

Affordable housing developers.
Mixed-income projects seeking additional funding sources.

Challenges:

Competitive application process.
Long-term affordability commitments required.

3. New Markets Tax Credit (NMTC)

The NMTC program encourages investment in low-income communities through tax credits for investors.

How It Works:

Private investors receive tax credits for financing projects in designated low-income census tracts.
Funds can be used for commercial developments, community facilities, and mixed-use projects.

Who Can Benefit:

Developers working on commercial or community-focused projects in underserved neighborhoods.
Projects that generate jobs or provide essential services.

Challenges:

Requires working with a Community Development Entity (CDE) to secure funding.
Limited availability and competitive allocation.

4. Cook County Class 7 and Class 8 Property Tax Incentives

Designed to lower property tax burdens for commercial and industrial redevelopment.

How It Works:

Provides reduced property tax assessments for qualifying projects.
Encourages redevelopment of vacant or underutilized properties.

Who Can Benefit:

Developers revitalizing commercial and industrial properties in designated areas.
Businesses looking to invest in long-term neighborhood development.

Challenges:

Approval process involves local government and Cook County Board review.
Developers must demonstrate economic benefit and job creation.

5. Sustainable Development Policy Incentives

Chicago requires large-scale projects to meet sustainability guidelines but also provides incentives for eco-friendly development.

How It Works:

Incentives for projects that incorporate green roofs, stormwater management, and energy-efficient design.
Compliance with sustainability standards can unlock additional funding and zoning benefits.

Who Can Benefit:

Developers committed to sustainable and resilient building practices.
Projects seeking LEED certification or other environmental designations.

Challenges:

Upfront costs of sustainable building materials and technologies.
Requires integration into early-stage project planning.

How I Can Help

✔️ Identify the Right Incentives for Your Project – I can help you determine which programs align with your goals.
✔️ Connect You with Key Decision-Makers – Introductions to city officials, tax credit advisors, and grant administrators.
✔️ Help You Maximize Funding Opportunities – Ensuring you leverage all available resources to make your project financially viable.

Conclusion

Understanding and accessing development incentives can make a significant difference in the success of an equitable development project. Whether you’re looking to reduce costs, secure tax credits, or qualify for grants, knowing the available programs and how to navigate them is key. If you need guidance on tapping into these resources, let’s connect.

Navigating Foreclosure in Chicago • July 3, 2025

Life After Foreclosure: Steps to Rebuild Financial Stability

by Molly Heyen

Going through a foreclosure is difficult, but it doesn’t mean you can’t regain financial control. Many homeowners have successfully rebuilt after foreclosure—and you can, too.

This guide outlines practical steps to help you stabilize your finances, improve your credit, and prepare for a stronger future.

Step 1: Assess Your Current Financial Situation

Before making changes, here are some ways you can take a clear look at where you stand:

Check Your Credit Report – Foreclosure impacts your credit score, but reviewing your report can help you spot errors and plan for recovery.
Evaluate Your Debt – List all outstanding debts, including credit cards, personal loans, and any remaining mortgage obligations.
Create a Budget – A realistic budget will help you manage expenses, pay down debt, and avoid financial strain moving forward.

Tip: You can access free credit reports at AnnualCreditReport.com to see what lenders see.

Step 2: Start Rebuilding Your Credit

A foreclosure can stay on your credit report for seven years, but you can start improving your credit long before it drops off. Here are some strategies that have worked for others.

Make On-Time Payments – Pay all bills on time, including rent and utilities.
Keep Credit Utilization Low – Try to use less than 30% of your available credit limit to boost your score.
Apply for a Secured Credit Card – A secured card can help you rebuild credit if you have trouble getting approved for traditional cards.
Avoid New Debt (If Possible) – Taking on too many loans too soon can slow down your financial recovery.

Step 3: Rebuild Your Savings

A solid savings plan will help you regain financial stability and avoid future financial crises.

Set Up an Emergency Fund – Start small if needed—even saving $25 per paycheck adds up over time.
Use Cash or Debit Instead of Credit – This helps avoid unnecessary debt while keeping your spending in check.
Find Additional Income Sources – If possible, explore side gigs, freelance work, or additional shifts to accelerate savings.

Pro Tip: Financial professionals recommend having at least three to six months of expenses saved for emergencies.

Step 4: Explore Future Housing Options

Foreclosure doesn’t mean you can’t own a home again. Many lenders offer second-chance mortgage programs, but preparation is key.

Check Waiting Periods for Mortgage Approval – Most lenders require three to seven years before approving a new mortgage.
Improve Your Debt-to-Income Ratio – Pay down existing debt to make yourself a more attractive borrower.
Work With a Housing Counselor – The U.S. Department of Housing and Urban Development (HUD) offers free or low-cost housing counseling to help you prepare.

Step 5: Seek Professional Guidance When Needed

Rebuilding after foreclosure is a process, not an overnight fix. If you need support, consider working with:

A Credit Counselor – For strategies to rebuild credit responsibly.
A Financial Professional – For guidance on budgeting and long-term financial planning.
A Real Estate Advisor – To help you explore future housing options when you’re ready.

Reminder: I am not a financial advisor. For personalized financial advice, seek guidance from a certified professional.

Your Fresh Start Begins Now

Foreclosure is a setback, but it’s not the end of your financial journey. By taking small, consistent steps, you can rebuild stability and prepare for a brighter future.

If you’d like to explore your next steps or discuss future housing options, I’m here to help. Contact me to start the conversation.

Building an Equitable Chicago • July 1, 2025

How to Leverage Community Engagement for Successful Equitable Development

by Molly Heyen

Community members meet in a casual setting

Introduction

Equitable development isn’t just about constructing buildings—it’s about creating spaces that serve the people who live and work in them. The most successful equitable developers prioritize community engagement from the start, ensuring their projects align with neighborhood needs and gain local support.

Understanding how to collaborate with community stakeholders can help avoid opposition, streamline approvals, and create developments that foster long-term economic and social benefits. This post explores why community engagement matters, how to do it effectively, and strategies to turn local input into a project’s strength.

1. Why Community Engagement Matters

Builds Trust & Reduces Opposition – When residents feel heard, they’re more likely to support development instead of resisting it.

Leads to Better Project Outcomes – Community input helps refine plans to ensure developments truly benefit local populations.

Facilitates Faster Approvals – City officials and neighborhood organizations often require public support before greenlighting zoning changes.

Strengthens Long-Term Investment – Developments with community backing have higher occupancy rates and long-term economic success.

2. Key Stakeholders to Engage

To build genuine relationships, you need to connect with the right people.

Local Residents & Neighborhood Groups – The people directly impacted by the development.
Aldermen & Elected Officials – Their support can make or break a project requiring zoning changes or incentives.
Community-Based Organizations (CBOs) – Groups advocating for affordable housing, small businesses, and economic development.
Business Owners & Entrepreneurs – Key partners in creating vibrant commercial spaces.
Faith-Based Organizations & Cultural Groups – Often serve as trusted voices in the community.
Nonprofits & Advocacy Groups – Offer resources and support for workforce development and social programs.

3. Best Practices for Effective Community Engagement

Start Early & Be Transparent

Engage the community before finalizing plans—don’t wait until after submitting zoning applications.

Listen Before You Speak

Hold listening sessions to understand local priorities before presenting development concepts.

Use Multiple Engagement Methods

Public Meetings: Traditional but effective for structured conversations.
One-on-One Outreach: Build personal relationships with key community leaders.
Social Media & Digital Surveys: Gather broader feedback from diverse voices.
Pop-Up Events: Set up booths at local gatherings to interact informally.

Show How Community Input Shapes the Project

Residents need to see their voices reflected in the final plan—whether it’s affordable housing, green space, or small business opportunities.

4. Common Challenges & How to Overcome Them

Misinformation & Mistrust

Solution: Proactively communicate accurate information and be consistent in your messaging.

Political & Bureaucratic Hurdles

Solution: Build relationships with elected officials and understand the city’s approval processes.

Resistance to Change

Solution: Highlight long-term benefits like job creation, infrastructure improvements, and affordability.

Slow Community Buy-In

Solution: Be patient, listen actively, and follow up with tangible actions.

5. How I Can Help

✔️ Connect You with Community Leaders – I can introduce you to neighborhood groups and local influencers.
✔️ Help You Develop an Engagement Plan – Tailored strategies for securing community support.
✔️ Guide You Through the Political Process – Assistance with city approvals and public hearings.
✔️ Ensure Your Project Aligns with Community Needs – Helping refine your development vision for long-term success.

Conclusion

Equitable development succeeds when it’s collaborative. Engaging the community early and often can turn residents into allies, streamline approvals, and create spaces that truly enhance neighborhoods. If you’re developing a project in Chicago and need guidance on community engagement, let’s connect!

Navigating Foreclosure in Chicago • June 26, 2025

How Foreclosure Affects Your Credit Score and What You Can Do About It

by Molly Heyen

Gavel sitting on top of many credit cards

Foreclosure can feel overwhelming, but understanding its impact on your credit score can help you plan your next steps. While it does cause a credit drop, the effects are not permanent, and there are ways to rebuild your financial standing over time.

If you’re worried about foreclosure or exploring alternatives, this guide will help you understand what to expect and how to recover.

How Much Will Foreclosure Lower Your Credit Score?

There’s no universal answer, but in general:

A foreclosure can lower your credit score by 100 to 160 points or more, depending on your starting score.
It remains on your credit report for seven years from the date of the first missed payment leading to foreclosure.
If you had a higher credit score before foreclosure, the drop may be more significant. If your score was already lower, the impact may be smaller.

The good news? The impact lessens over time, especially if you take steps to rebuild your credit.

What Are the Long-Term Consequences of Foreclosure?

A foreclosure can affect more than just your credit score. You may also experience:

Difficulty Qualifying for a Mortgage: Lenders typically require a waiting period (often 3 to 7 years) before approving a new mortgage.
Higher Interest Rates: If you qualify for loans or credit cards, you may face higher interest rates due to the foreclosure on your record.
Challenges Renting a Home: Some landlords check credit reports, and a foreclosure may require you to provide a larger deposit or additional references.

How to Start Rebuilding Your Credit After Foreclosure

While a foreclosure stays on your credit report for seven years, you don’t have to wait that long to start improving your financial standing.

Pay Bills on Time: Your payment history makes up 35% of your credit score, so staying current on all bills (including utilities and rent) is crucial.
Reduce Debt: Lowering credit card balances can improve your credit utilization ratio, which plays a major role in your score.
Consider a Secured Credit Card: If you have trouble qualifying for traditional credit, a secured card can help you rebuild responsibly.
Check Your Credit Report for Errors: Mistakes happen—dispute any inaccuracies that may be hurting your score.

Important: If you’re unsure how to manage your credit after foreclosure, consider speaking with a certified financial professional or credit counselor for personalized advice.

Is Foreclosure Inevitable? Maybe Not.

If you haven’t gone through foreclosure yet, there may still be time to explore alternatives such as:

Loan Modification: Adjusting your loan terms to make payments more manageable.
Short Sale: Selling your home for less than you owe with lender approval.
Forbearance: Temporarily pausing or reducing your mortgage payments.

Every situation is unique, and seeking professional guidance early can open up more options.

Take Control of Your Financial Future

A foreclosure can feel like a setback, but it doesn’t have to define your financial future. With the right steps, you can rebuild your credit and regain financial stability.

If you’re facing challenges with your mortgage and want to explore your options, I’m here to help. Contact me to start the conversation.

Building an Equitable Chicago • June 24, 2025

Zoning and Land Use Policies Every Equitable Developer Should Know

by Molly Heyen

Two female supervisors discuss building under contstruction with laborer

Introduction

Zoning and land use policies shape the development landscape in Chicago, determining what can be built, where, and how. For equitable developers, understanding these regulations is essential for creating projects that align with both community needs and municipal guidelines.

While zoning laws can seem complex, knowing the basics can help you identify opportunities, navigate restrictions, and avoid costly delays. More importantly, developers who understand land use policies can proactively work with city officials and communities to ensure their projects move forward successfully.

1. Understanding Chicago’s Zoning System

Chicago’s zoning code classifies properties into different categories, each with specific development rules. The most common zoning districts include:

Residential (R Districts)

R1-R5: Single-family and small multi-unit homes.
R6-R9: Higher-density residential, including large apartment buildings.

Key Consideration: Affordable housing projects may require rezoning or special permits for increased density.

Business & Commercial (B & C Districts)

B1-B3: Mixed-use districts that allow storefronts with residential above.
C1-C3: More intensive commercial use, including retail, office, and hospitality.

Key Consideration: Many neighborhoods have zoning overlays that restrict certain commercial uses.

Industrial (M Districts)

M1-M3: Light to heavy industrial uses. Some areas are being rezoned to support mixed-use developments.

Key Consideration: Industrial-to-residential conversions may require a zoning change and environmental review.

2. Key Land Use Policies Impacting Equitable Development

Chicago has specific policies that influence where and how developers can build. Here are a few that matter most to equitable developers:

The Affordable Requirements Ordinance (ARO)

Requires residential developments receiving city assistance or zoning changes to include affordable units.
Developers can either build on-site, pay an in-lieu fee, or provide off-site affordable housing.

Why It Matters: If you’re planning a residential project, understanding ARO compliance is crucial for approvals and financial feasibility.

Planned Development (PD) Zoning

Large-scale projects often require PD approval, which allows flexibility in exchange for public benefits.
Developers work directly with city officials to negotiate project terms.

Why It Matters: If your development doesn’t fit standard zoning, a PD designation may be required.

Sustainable Development Policy

New projects must meet environmental sustainability requirements, including green roofs, stormwater management, and energy efficiency.

Why It Matters: Developers may need to incorporate sustainable features to comply with city codes and qualify for incentives.

3. Navigating Zoning Approvals and Community Input

Step 1: Check Your Site’s Zoning

Use Chicago’s Zoning Map to see your property’s classification.

Step 2: Determine if You Need a Zoning Change

If your project doesn’t comply with current zoning, you’ll need city approval.

Step 3: Engage the Community Early

Aldermanic and neighborhood group support is often required for zoning changes.

Step 4: Work with a Zoning Attorney or Consultant

Navigating zoning approvals can be complex—an expert can help streamline the process.

4. Common Challenges & How to Overcome Them

Strict Zoning Laws: Some areas have restrictive zoning that limits affordable housing and mixed-use projects.
Solution: Work with city planners to explore rezoning or variances.
Community Opposition: Neighborhood groups may resist new developments.
Solution: Engage with stakeholders early and emphasize community benefits.
Bureaucratic Delays: The zoning approval process can be time-consuming.
Solution: Plan ahead and anticipate a lengthy review period.

5. How I Can Help

✔️ Identify Properties with Favorable Zoning – I can help you find sites that align with your project vision.
✔️ Connect You with Zoning Experts – I’ll introduce you to zoning attorneys and city officials.
✔️ Guide You Through the Approval Process – From community outreach to application submissions, I’ll help you navigate each step.
✔️ Help You Maximize Development Incentives – I’ll assist in identifying zoning-related benefits.

Conclusion

Zoning and land use policies shape Chicago’s real estate landscape, and understanding them is critical for equitable developers. Whether you’re planning an affordable housing project, a mixed-use development, or a community-focused commercial space, knowing the rules—and how to navigate them—will set you up for success. If you need guidance on zoning approvals, site selection, or community engagement, let’s connect!

Navigating Foreclosure in Chicago • June 19, 2025

How to Sell Your Home Fast Before Foreclosure

by Molly Heyen

Need to Sell Quickly? Here’s What You Need to Know

Introduction:
If you’re facing financial difficulties and worried about foreclosure, selling your property quickly could be a solution that allows you to protect your equity, avoid a foreclosure record on your credit, and move forward with more financial flexibility.

This post outlines general steps that property owners take when selling under tight timelines. Since every situation is unique, I encourage you to consult with a real estate professional and other qualified experts to determine the best course of action for your specific needs.

1. Understand Your Timeline

Selling in a pre-foreclosure situation requires acting fast. The exact time frame you have depends on:

How many missed payments you’ve had
Whether the foreclosure process has officially started
Your lender’s policies and state laws

Action Step: Contact your lender to confirm where you are in the process. This will help determine if a traditional sale is possible or if other options—like a short sale—might be necessary.

2. Price It Right for a Quick Sale

If your goal is to sell fast, pricing at or just below market value can attract serious buyers quickly. While this might not be ideal in normal circumstances, the priority here is to sell before foreclosure proceedings progress further.

Factors to Consider When Pricing:

Recent comparable sales in your neighborhood
The condition of your property (Does it need repairs?)
How quickly comparable properties are selling in your area

Action Step: Work with a real estate professional who understands distressed property sales to set a competitive price and attract buyers immediately.

3. Make the Property Appealing Without Major Expenses

When selling quickly, you may not have the time or funds for extensive renovations. However, small improvements can make a difference.

Declutter and clean to make the space feel more inviting.
Improve curb appeal with simple touches like mowing the lawn or adding fresh mulch.
Fix minor repairs like leaky faucets or broken door handles.

Action Step: Focus on low-cost, high-impact improvements that make your property more attractive to buyers without delaying the sale.

4. Consider a Cash Buyer for Speed

If time is extremely limited, selling to a cash buyer—such as an investor—could speed up the process significantly. Cash sales eliminate the need for financing approvals, which is one of the biggest delays in traditional sales.

Pros of Selling to a Cash Buyer:

Fast closing (sometimes within days or weeks)
No need for repairs or staging
Fewer hurdles with financing

Potential Downsides:

Offers may be below market value
Some investors might take advantage of sellers in distress

Action Step: If you consider this route, work with a trusted real estate professional who can help you evaluate offers and avoid lowball deals.

5. Know Your Alternatives If Selling Isn’t an Option

If selling fast isn’t possible, there may be other ways to avoid foreclosure, such as:

Loan modification (negotiating new terms with your lender)
Short sale (selling for less than you owe with lender approval)
Deed in lieu of foreclosure (transferring ownership to the lender to settle debt)

Action Step: Speak with a real estate professional or a housing counselor to discuss which option best fits your circumstances.

Final Thoughts: Don’t Wait—Explore Your Options Now

If foreclosure is looming, taking action sooner rather than later gives you the best chance to sell on your own terms. Whether you list your property on the market or explore other options, time is your biggest asset right now.

I’ve worked with owners in difficult situations, and I know how overwhelming it can feel. If you’d like to discuss possible options for your property, I’d be happy to share my insights.

Building an Equitable Chicago • June 17, 2025

Leveraging Tax Incentives for Equitable Development in Chicago

by Molly Heyen

Introduction:
For equitable developers, tax incentives can make the difference between a project that is financially feasible and one that never gets off the ground. Chicago offers a variety of tax benefits designed to encourage development in underserved neighborhoods, preserve affordability, and promote adaptive reuse. Understanding these incentives—and knowing how to access them—can help developers reduce costs and create long-term community impact.

While I’m not a tax expert, I can help you identify opportunities, connect with specialists, and navigate the process of leveraging tax incentives for your next project.

1. Key Tax Incentives for Equitable Development

Chicago and Illinois offer several tax incentives that can benefit equitable developers. Here are some of the most impactful programs:

Low-Income Housing Tax Credits (LIHTC)

A federal program administered by the Illinois Housing Development Authority (IHDA).
Encourages private investment in affordable housing by offering tax credits to developers.
Can be used for new construction or rehabilitation of existing buildings.

Who It’s For: Developers creating or preserving affordable rental housing.
How It Helps: Reduces federal tax liability in exchange for providing long-term affordable housing.

Tax Increment Financing (TIF)

Chicago’s TIF program uses future tax revenues to subsidize redevelopment in designated districts.
Funds can be used for site preparation, infrastructure improvements, and affordable housing projects.

Who It’s For: Developers working in TIF districts with projects that provide public benefits.
How It Helps: Offsets upfront costs and makes redevelopment more financially viable.

Pro Tip: Each TIF district has different rules, so understanding the local requirements is key.

Class 7 & Class 8 Property Tax Incentives

Aimed at commercial and industrial projects in economically challenged areas.
Reduces property tax rates for up to 12 years.

Who It’s For: Developers rehabbing or constructing commercial properties in targeted areas.
How It Helps: Lowers property tax burdens, making projects more attractive to investors and tenants.

Historic Preservation Tax Credits

Encourages the rehabilitation of historic properties for residential or commercial use.
Offers a 20% federal tax credit for certified projects.

Who It’s For: Developers restoring historic buildings in Chicago.
How It Helps: Helps cover the costs of adaptive reuse projects while maintaining community character.

Pro Tip: Projects must be certified by the National Park Service to qualify.

New Market Tax Credits (NMTC)

Encourages investment in businesses and real estate developments in low-income communities.
Provides tax credits to investors who finance projects in qualified census tracts.

Who It’s For: Developers working on mixed-use, community, or commercial projects in economically distressed areas.
How It Helps: Attracts private capital to areas that need it most.

2. How to Access These Tax Incentives

Step 1: Identify Eligible Properties

Use Chicago’s TIF district map and LIHTC property database to find potential sites.
Research historic preservation eligibility if considering an adaptive reuse project.

Step 2: Connect with the Right Agencies

The Chicago Department of Planning & Development oversees TIFs and commercial property tax incentives.
The Illinois Housing Development Authority (IHDA) administers LIHTC applications.
The National Park Service & State Historic Preservation Office handle historic tax credits.

Step 3: Work with Financial & Legal Experts

Tax credits often require compliance with strict guidelines.
Partnering with tax advisors and attorneys can help navigate the process efficiently.

Step 4: Combine Incentives for Maximum Impact

Many incentives can be stacked to maximize savings (e.g., using TIF funds alongside LIHTC for an affordable housing project).
Work with a consultant or financial expert to determine the best approach.

3. Challenges & Considerations

Lengthy Approval Processes: Some incentives require extensive documentation and patience.
Affordability Commitments: Many programs require long-term affordability agreements.
Community Engagement: Some tax incentives require neighborhood support and aldermanic approval.

4. How I Can Help

While I don’t provide tax advisory services, I can:
✔️ Help Identify Properties in Incentive Zones – I’ll find locations that may qualify for tax benefits.
✔️ Connect You with the Right Experts – I’ll introduce you to tax specialists, city officials, and legal advisors.
✔️ Assist in Navigating the Process – I’ll help you understand eligibility requirements and connect you with the right resources.
✔️ Support in Community Engagement – I’ll guide you in securing neighborhood and aldermanic support when needed.

Conclusion:

Tax incentives can be a game-changer for equitable developers, helping to lower costs and increase project viability. If you’re considering a development and want to explore potential tax benefits, I can help you research options and connect with the right experts. Let’s start the conversation!

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