Home Equity is a neighborhood-funded, neighborhood-run program. It was approved in 1988 by an overwhelming majority of Chicago voters on the northwest side. When it comes to fostering stability in your community, the Northwest Home Equity Assurance Program provides protection that you and your neighbors can live with…literally! Created by state statute, Home Equity guarantees you won’t lose any money if your property falls below its current fair market value. This unique program has established an outstanding record for helping neighborhoods to:
Put a stop to panic peddling
Discourage rapid property turnover
Build homeowner confidence
Encourage home investment
Promote the appreciation of home values
Here’s how the program works…
You pay a small annual Home Equity tax based on your Cook County tax assessment. This amount appears on your property tax bill and typically ranges from $10 to $20. This money goes directly into your neighborhood’s guaranteed Home Equity fund.
A governing commission appointed by the Mayor and comprised of local residents and professionals will oversee the Home Equity fund. By law, no other governmental agency will be able to tamper with these funds.
If you sign up for Home Equity, keep your property well maintained, and live there, your home will be guaranteed for 100% of its appraised market value! It’s that simple.
For example, let’s say your home is appraised under Home Equity for $250,000. Let’s also say you bought your home five years ago, but the best offer is only $235,000. No problem. Home Equity will pay you the difference of $15,000, provided you’ve kept up your property and resided on the premises. You don’t lose a penny.