As you start to consider purchasing Chicago real estate, you should always begin with research. Learning about the city itself and its real estate market will allow you to have a stronger idea of what you want when you meet with your real estate agent. Are you looking for a place to be a family home for many years? An investment property that you can buy low and sell high? A fixer upper? A luxury new construction home? Depending on where you want to live, the type of property you are searching for might change.
In Chicago, there are some recent market developments to stay abreast of. Understanding the movements of the market yourself, while also working with the expertise of a real estate agent, can help you make a decision you are happy with and understand when you buy a home in Chicago.Foreclosures in Chicago
In January in Illinois, the number of properties facing foreclosure was up 25% from the same period last year, according to Chicago Real Estate Daily. “More than 18,000 properties in Illinois got a foreclosure-related notice in January,” and many of those properties could be viable short sales. Simultaneously, “Chicago-area home sales rose almost 45% in the fourth quarter while the median price dropped 13%, according to the Illinois Association of Realtors.” Many Chicagoans are taking advantage of the continually reduced home prices in the market to make a purchase. When the market is flooded with foreclosed properties, you too might be able to make an incredibly saavy purchase– basically, you are still looking at a buyer’s market.“The Chicago area’s median price – the price at which half the homes sell for more and half for less – fell 13% in the fourth quarter, while the city of Chicago fourth-quarter median price fell 11.5% in the quarter, the Realtors Association said.” With prices continuing to fall as sellers try to move their properties off the market, increasing numbers of foreclosure properties also on the market won’t raise prices anytime soon. You can take your time to make a smart purchase and consult with an agent to get the best info on properties recently on the market.
With the help of a Chicago real estate agent, especially one with experience in short sales and navigating the real estate market that has been persistent in the city for the past few years, you can capitalize on a foreclosed property or on one of the many other properties in the city with reduced prices. With so many properties on the market for long periods of time, now having to compete with more short sale properties, your options as a buyer are wide open when you find a place you like. You will probably be able to negotiate a price on any place you like, and if you aren’t taking advantage of an agent to help, you might be paying more than you need to.Chicago Foreclosure and Short Sale Resources
At Jameson, we work with numerous buyers interested in a short sale transaction, and we have many agents who are practiced in the short sale market.To hear a radio interview with our agent Mike Cuevas about how to navigate the short sale market, read this post. You can learn about his experience with short sale transactions as well as tips for how to make a good one.
To make sure you have a successful short sale transaction, make sure you set your expectations realistically by reading this post. Although you can find a great deal, you also need to know that you have to get that deal approved by a bank.
To make sure you get a proper price, you should always get your home appraised as a seller and get your potential new home inspected as a buyer. Read here to learn more about appraisals and here to learn more about home inspections.
And finally, you can always contact one of our agents for more information. As you observe the Chicago real estate market while you prepare to buy a home, you will definitely have questions. We’ve got answers!
