According to industry observers, ever-increasing gas prices, along with relatively low property values, are leading to an upsurge of people moving downtown, buying condos and other homes closer to their jobs in Chicago, San Francisco, Detroit and other cities around the United States.
A recent article in the International Business Times focused on young professionals who are at the forefront of the movement to rejuvenate city centers in places like Detroit and Cleveland, which were particularly hard hit by the recession and subsequent drop in property values. In addition to the affordable house prices, officials in those cities have also begun offering financial incentives to lure young people back to the cities in order to bring new life back to the struggling neighborhoods.
But the only incentive driving many of the career-minded people moving downtown is the skyrocketing gas prices and prospect of paying $5 per gallon in the near future. If the commuting costs are factored in, as well as fact that home prices continue to fall, making the decision to move out of the suburbs and closer to jobs and other attractions downtown becomes easier.
Buyers looking for condos in places like Chicago will find that the available condos and other homes downtown vary in price and amenities. While amenities are abundant in many of the available residences, especially the luxury condos, just being within walking distance of work is a worthy perk for many home shoppers thinking of moving downtown. Imagine all the time saved getting to and from work.
The idea of being close enough to a wide variety of museums, restaurants, shopping and nightlife opportunities offered in vibrant city neighborhoods also inspires people to move. Add in the cost savings and the decision gets easier. If you want to try downtown living before making a commitment to buy, rental condos are also available.
With the Super Bowl putting an end to football for another year, American sports fans can look forward to the long baseball season, and hopefully much better weather, as spring training begins in mid-February.
Spring training marks the beginning of a whole new season, when all 30 baseball teams are theoretically equal and have the same chance to at least be in the playoffs next October. After a long winter, the real estate market shows the same promise for people looking for condos and other homes.
Similar to the 162-game season, there are a lot of condos for sale, and starting out on your condo search is like the beginning of the baseball season, when all your options are open. Especially with the historically low interest rates and large number of condos on the market, you can get some great deals in all styles, price ranges, neighborhoods and towns. Spring training also serves to showcase some up-and-coming stars, many of whom may have been overlooked.
Of course, the first step for serious buyers is to get their financing in order to determine just what your affordable price range is. You might be surprised about what you can afford these days, considering how many deals and price reductions are seen, even for luxury condos.
Whether you want a lakefront condo, or perhaps one near Wrigley Field, Soldier Field or U.S. Cellular Field, or even overlooking a small neighborhood park, our condo specialists, many of whom have earned the designation of Accredited Buyers' Representative, can help you find that dream home. Looking can be as exciting as following your favorite baseball team, from spring training to the playoffs, and once you find your new home, you will feel like you won the World Series.
OwnACondo.com, a condo only brokerage that originated in Chicago metro, is now expanding across the United States in a rather rapid fashion. By the end of 2011, the company expects to have at least 25 condo cities up and running and another 25 in 2012. The company currently is licensed to do business in the state of Florida and Illinois, with California, Michigan, Indiana and Georgia following right behind.
OwnACondo.com not only focuses on condos, but they will only work with the buyer side of the transaction, leaving the conflict of interest out of it. With 100% focus on the buyer, the company is in a position to service the buyer like no one else in the real estate industry. The buyer of the condominium needs help with condo association law, condo financing, the condo market, condo real estate auctions, condo foreclosures, etc.
OwnACondo.com has been in business since 2000, servicing condo conversions in the Chicago market. Today, OwnACondo.com trains its condo Realtor experts to focus on the best buying opportunities in the market place for their clients. They inform the general public what condo not to buy.
You can reach OwnACondo.com by calling 866.696.2266 or visit them online at OwnACondo.com.
When purchasing a property, it is always important for the buyer to make sure that the seller signs and fills out the Residential Real Property Disclosure Report. This is a disclosure that is meant for the seller to reveal any material defects in the residence that the seller is aware of. Even if the property is being sold “As is” the seller is still required to disclose any known problems and/or defects with the property.
Some of the defects may include (but are not limited to) flooding or leaking, foundation cracks, plumbing defects, unsafe drinking water, and/ or defects in the heating or air systems. Also, any known chemical hazards, lead based paint hazards and/or asbestos. Defects can also include boundary or lot line disputes.
The Residential Real Property Disclosure Act supports the Residential Real Property Disclosure Report and also goes further in detail. The Act defines the terms used in the Report. For instance, Residential Real Property refers to any property with no less than one and no more than four residential dwelling units, units in cooperatives, or condo units. The buyer can read the act for better clarification of the report.
This report is to be filled out by someone who lives in the property and that would have proper knowledge of the property's condition. The report is not used in all cases. For instance, if the property is part of a decedent's estate, and you are the executor of the will and have only been to the property a handful of times, then you may not know or understand what the condition of the property may be. In this case, a residential real property report does not need to be filled out.
It is the responsibility of the listing agent to make sure that the seller fills out the Residential Real Property Disclosure Report. The agent is not to fill it out and then have the client just sign. When the seller completes the report and signs it, it creates a legal obligation on the seller. If the seller is uncomfortable filling out the report, he/she may contact an attorney.This report is not to be underestimated. The completion and honesty in this report could make or break a deal. As a seller, it is to your best interest to fill the report to the best of your knowledge. As a purchaser, it is important to review this form and make sure there are no serious defects in the property that would potentially be dangerous and expensive to fix.
The Contract is signed, you have your dream home in the bag and you can finally sit back and relax right? Unfortunately this is not the case. When you sign a contract to purchase a property, there are some important steps you need to know about, that come after signing the contract. You want to make sure that in the time between signing the contract and closing on the home, you have had an attorney review, obtained a loan commitment, handed in earnest money, had the property inspected and you have all your financed in order before the closing.
The first step you always want to take is making sure that you have an attorney review after the contract is signed. Most standard Real Estate contracts include an attorney review period of 5 days. It is during this time that your attorney will either accept the contract as is, or will make some modifications that will ultimately benefit and/or protect you. During this period of time, it is still considered and offer until the attorney review period has ended. If your attorney makes some modifications that the seller does not accept, then the seller has the right to back out of the deal. Every homebuyer should make sure an attorney approves the contract. This will save you time and money in the end.
The next thing you want to make sure you do after you sign the contract is secure your financing. You want to make sure that you qualify for the purchase. It is one thing to be pre-approved, but you need to make sure that you get the loan commitment from the lender. This letter should lock in your rate for a period of time and secure your loan and its terms. Again, most real estate contracts include a financing contingency in the contract that states that the person has to be qualified to purchase. On the flip side, if the buyer does not get approved within a specified period of time, then they have a right to opt out of the contract.
One of the most important steps you need to take before you close is to get a home inspection. The last thing you want is to purchase the home of your dreams just to find out that your purchase was a money pit. The inspector will explain everything that is wrong with the home and everything that needs fixing. This contingency could sway the contract one way or the other. Sometimes the seller will offer cash to the buyer to fix the issues, but sometimes the issues are so large that they buyer has to back out of the deal.
Once the contingencies are met and before the due date, you want to make sure to get a certified check or money order and send in the earnest money to the seller.
Make sure to always follow up with the lender, attorney and sellers’ real estate agent or your own real estate agent, to make sure that things are on track for the close. After you close and the keys are handed over, you can finally sit back and relax and enjoy your dream home.
A sale is not a sale until it is closed, and in order for the closing to go smoothly, all parties need to be aware as to what the closing procedures are and what is to be expected of the clients before and at the closing. It is important that all parties are prepared for what to bring and how the closing will go. There are certain responsibilities of the buyer and other responsibilities of the seller.
Before the closing the Buyer needs to make share that he/she gets the correct numbers from the attorney on what amount of money should be brought to closing. The buyer needs to know this amount because a certified check needs to be provided at the time of closing. The buyer should get the amount first, then get a certified check. It is always a good idea to bring a checkbook in case there are any variations. It is important for the buyer to bring his/her drivers’ license to the closing for verification purposes as well. Always make sure that you confirm the time and date of the closing.
At the closing, the lender will typically deliver a package of documents to the title company. This package includes the note and mortgage and also disclosures and agreements. The buyer’s attorney needs to walk the buyer through all of the documents and explain what they mean.
Another part of the closing procedure is that the seller needs to come to the closing with a package of documents. This package will include the deed to the property. The buyer’s attorney will review the documents to make sure that the buyer is purchasing and the seller is conveying the property correctly, that there are no liens on the property and that the title is clear. This usually entails a review of the documents and a survey provided by the buyer.
At the actual closing, the closing agent conducts the settlement meeting and reviews to make sure that all the documents are signed and recorded and that the closing fees and escrow payments are paid and properly distributed. Typically in a closing, the buyer pays for fees charged for obtaining a mortgage, inspection fees, homeowners’ insurance, transfer taxes, title insurance and escrow fees. The seller typically pays the loan payoff fees, the real estate commissions, title insurance, termite repairs for the property and all or part of the transfer taxes and escrow fees.
All buyers and sellers should be aware of the closing procedures so that the transaction closes and both parties walk away with a win-win situation.
Radon is an indoor air pollutant which is a colorless, odorless radio-active gas that comes from naturally occurring uranium in soil. Radon is mostly found in soil that has been unturned for quite some time. This gas is important to know about because it is the leading cause of cancer in non-smokers and the second leading cause of lung cancer overall.
All sellers and buyers need to sign the radon form as a protection for themselves. If radon is known to be a hazard in the home, then this needs to be disclosed on the addendum. The buyer needs to confirm that they have received information on the radon levels and that they understand and agree to the terms. This disclosure is not to be taken lightly as it is a very serious matter. If radon is found in the home, then the seller is responsible to send out a mitigator to assist in reducing the levels so that it is safe for the homeowners/tenants to live in the premises.
Radon can enter through a home because of temperature differences between the outside air and the home. When air is vented from buildings, radon and other soil gases are drawn in from the surrounding soil through pockets between the soil and the house.
The Illinois Emergency Management Agency (IMEA) highly recommends all homebuyers have an indoor radon test performed prior to taking occupancy. If elevated radon levels are found in the home then the Illinois Emergency Management Agency strongly recommends the problem be mitigated. Elevated radon concentrations can be reduced by a professional licensed radon mitigator. The US Environmental Protection Agency recommends that indoor radon levels be below 4.0 picocuries (unit of measure) per liter of air.
If you need to obtain a kit, they are available at your county health department, home improvement store or local extension office. You can also call the Illinois Emergency Management Agency for a list of labs that sell the radon kits. IEMA also has a list of professionals who can come out and test for all homeowners.
Agents and clients need to make sure that this disclosure is signed and that the situation at hand is taken care of. It is important for clients and agents to understand this disclosure and take necessary measures to protect the clients. Regardless of whether or not the seller knows of any elevated levels of radon, the seller/owner needs to provide the buyer/tenant with information about radon. The radon pamphlet can be found online.
Whether you are a purchaser or a renter, if you are interested in a residential real property that was built before 1978 you will need to complete a lead based paint disclosure. If you are a seller, your real estate agent will provide you with one to fill out so that you can provide it to the buyer/renter. Properties built before 1978 may be exposed to lead from lead-based paint.
Buyers have up to 10 days to check for lead in the residential dwelling. They can order a paint inspection which will tell if the home has lead based paint and also where it is located. A risk assessment will tell you if there are any lead hazards in your home. It also tells you what you need to do in order to address any of the hazards.
Lead an get into people’s bodies by swallowing or breathing in lead dust, or by eating paint chips containing lead. Lead poisoning is especially dangerous to young children and/ or pregnant women. If the pregnant woman has a high level of lead in her system prior to pregnancy, this could expose the fetus to lead through the placenta during fetal development. Lead poisoning can cause permanent neurological damage, including learning disabilities, reduced intelligence quotient, behavioral problems and impaired memory in children. In adults, it can cause fertility problems, high blood pressure, digestive problems, muscle and joint pain, nerve disorders and memory and concentration problems.
If it is known that there are lead based paint hazards, then this must be disclosed by law on the lead based paint disclosure. As a seller, it is your responsibility to not only complete the lead based paint disclosure and provide it to the buyer/renter but to also supply the purchaser/renter with a lead based paint pamphlet which covers lead based paint in more detail.
If your residential dwelling was built after 1978 you are not required to fill out a lead based paint disclosure. The reason for this is because the paint that is now used does not contain lead. As a seller you are required, however, to provide the buyer/tenant with the lead based paint pamphlet to inform them.
Lead based paint is a serious matter which is why the federal government banned it in homes and apartments throughout the entire country. It is important to take special precautions when dealing with lead based paint.
Purchasing a home always involves reading through the contract and signing on the dotted lines. Most people that purchase a home, surprisingly do not read through the whole contract. They just seem to trust the fine print and the person guiding them through it. Most contracts are pretty standard and most people have a general idea what it contained. When reading through a contract, it is a good idea to know not only what the contingencies are, but also what they mean.
In every contract, there should be an attorney review. Typically the period is 3-5 days on a standard contract. This period is intended to give the buyer an opportunity to secure an attorney and have the attorney look over the contract. The attorney has the right to accept the contract as is or write in some modifications to the contract. The contract is still considered an offer at this point so if they modifications are not accepted then the offer becomes null and void. It is always a good idea to have an attorney review the contract before moving forward on a large purchase such as a home. This review period is put in place to protect the buyer and also to allow the buyer to rescind on the offer if need be.
Another contingency that can be found on a contract is the financing contingency. The amount of days the buyer has to secure a loan can vary per contract. The buyer has the responsibility to try to not only get pre-approved but also obtain a loan commitment letter as well. This loan commitment letter locks in a rate for a guaranteed period of time and also proves the buyer can qualify for the purchase of the home. If the buyer is unable to obtain financing for the home than the contract becomes null and void and all earnest money (if any) is returned. This contingency is put in place to protect the buyer and the seller.
The inspection contingency is not found on all contracts but it is a good thing to have on a contract. Inspections can make or break a deal. If the inspection does not go well then the buyer and seller have a few options. They can come to an agreement to either fix the problems or take more money off the offer so that they buyer can fix the items on their own or If the buyer does not want to fix the issues or the problems are too serious, than again the buyer has a right to rescind the offer.
There are a few other optional contingencies on a contract, such as a house to sell contingency. This is put in place if a buyer has to sell their home before the purchase of the new home. If someone else is interested in the property and they put an offer on the place without the house to sell contingency, then the buyer with the contingency typically has 72 hours to purchase the home.
All members of CAR and MORE Associations need to abide by the MRED rules and regulations. MRED will fine any agent that does not abide by the MRED rules and regulations.
Any change in listed price or other change in the original exclusive brokerage agreement shall be made only when authorized in writing by the seller. The change shall be placed on the MLS Service within 72 hours after the authorized change is received from the listing broker.
For all CAR members, listings of property may be removed from the service by the listing broker before the expiration date of the exclusive brokerage agreement provided the seller and the listing brokers authorized the cancellation in writing. For all MORE members, the broker and seller need to authorize a cancelation before it is canceled in MLS.
If notice or renewal or extension is dated after the expiration date of the original listing, then an updated exclusive brokerage agreement must be secured for the listing to be placed into the Service. Any extension or renewal of a listing agreement needs to be signed by the seller. According to the MRED rules and regulations, an email from the seller indicating what the new expiration date is will suffice.
Once a contract is accepted by the buyer and the seller, you need to change the status to PEND in the MLS. You have 72 hours from when the contract was accepted by the buyer to change status of listing without receiving a fine. This also includes short sale contracts that have been signed by the seller and buyer, however not yet signed by the bank.
If it is your listing and it closes, always make sure to close the listing out within 72 hours of the closing and give proper credit to the buying agent by filling out the buyer agent information on the MLS. The status should be changed to say CLOSED.
If you sell a listing that is not yours, then make sure that within 72 hours of the closing, that credit is given to you on the buy side and your name is listed as the buy agent.
All listings except vacant land, new construction, confidential commercial listings and deeded parking slips must have a primary photo in the system within seven days of their entry into the system. If no photo is submitted, the listing will be placed in the HOLD status.
This is a recap of the Multiple Listing service’s rules and regulations. OwnACondo.com has a responsibility to make sure that all the agents are abiding by the MRED rules and regulations.
