Chicagoland real estate purchases, real estate sales, short sales, foreclosures, first-time buyer representation, Illinois condominium association representation, estate planning for everyone, powers of attorney, quit claim deeds and more...

Happy New Year, everyone! This isn't the most timely post, but I have had this article from Chicago Crain's Business sitting on my desk for a couple of weeks, so I'll get around to blogging about it now.

The article is about the huge inventory of unsold condos sitting on the market now (and if you haven't heard, rates are low, low, low!) Now is the time to buy, and I've been saying this for a number of weeks now.

Properties like Library Tower, 520 S. State Street, are just 43% sold. I have had clients purchase there and it is a gorgeous property, run by a large and reputable developer. Vetro, the building at 611 S. Wells, is also just over 50% sold, and is a gorgeous building as well. Trump Towers is only 67% sold, so there's deals to be had at all these properties and more.

As I have said, though, keep in mind that it is a risk buying new construction from a developer, especially when it is not 75% or more sold. You run the risk of the developer having money problems with carrying unsold units and not being able to complete the building or even your punchlist items.

Make sure that you consult a knowledgeable realtor and attorney before you buy!

 Have a great and healthy 2009!

Monica Klein, a real estate agent with the Baird and Warner Gold Coast office and friend of mine, sent me a great article from the Chicago Sun Times published at the end of November that predicts that the Chicago condo market will rebound within 18 months.

According to Appraisal Research Counselors, Ltd., the condo market now represents a once-in-a-lifetime time to buy because of the great incentives many developers are offering. The most popular giveaways include free upgrades or assessments, or parking. I have personally even seen a few ads for a new car with the purchase of a condo! The existing home and condo sales in Chicago dipped about 23.3 percent from last year to this year, and although the median price did drop, it was only 4.5%, much less than other parts of the U.S.

The article also predicted that because many developers are stopping construction plans on new buildings, Chicago could go from a housing overage to a shortage of condos available within the next 18 months.....

Hope everyone had a great Thanksgiving.

Since I haven't posted anything for a few weeks, I just wanted to post a note regarding short sales. I have been representing lots of buyers (and a few sellers) lately on short sales and just want to post some reminders on dealing with them.

1) Remember it takes time. Short sales are taking weeks and months to complete. Banks are overwhelmed with foreclosures and short sales and I've heard statistics that each loan specialist at for example, Bank of America, has about 500 files per person.

2) Don't get sucked in to being "guided" on price by the listing agent if you are a buyer. Use the guidance of your own real estate agent and market conditions to make your offer.

3) Remember acceptance of your offer by the bank is not guaranteed. You may wait and wait only to find out that the bank declined your offer, or they will counteroffer you with a price you may not be willing to pay.

I'm always happy to talk with clients, or potential clients, about short sale issues. E-mail me or call with any questions, and good luck!