Karen Elia nailed it: no such thing as a hot neighborhood in the foreseeable future.

Find a neighborhood you love and a place you love. Forget about appreciation for the next 5 years, at least.

How much space do you need? What do you consider a reasonable price for that space? What factors are important to you in choosing a community?

You have to start with your lifestyle preferences. You don't just want to live anywhere because you are hoping the unit will go up in value. Once you know your minimum needs, then you look for commmunity options that include your needs. Market trend lines for different areas in the past two years can tell you a lot about how well an area has held up. It's technical info, but once you understand these things, you will have more confidence in what you are doing.

I would suggest looking in the Edgewater area. When folks cant find the property they like in the trendier, "hot" areas they spread north and west. I like the Edgewater area because its so close to the lake. and it has an eclectic feel. If you have any other questions, feel free to call me 847 710-0865. Gerry Marzillo

I agree with Jeff's assessment of Sheridan Park. If there is one neighborhood with much going for it (proximity to lake, transportation, independent coffee houses/shops/restaurants) it is Sheridan Park. Here is an example of a very good listing in the area... http://www.trulia.com/property/1079525184-4447-N-Magnolia-Av…

I like any Avondale and Albany Park also, but you have to also consider your own tolerance level for crime and noise. Use everyblock..com to get a sense for that.

My own view is to always follow the el train line, so I like Sheridan Park also. This is a part of Uptown on the west side of Broadway, in between Montrose to the south and Lawrence to the north. Two el stops, one on Broadway and one on Wilson. Close to the lake (1/2 mile) and about the same from the Metra train stop at Lawrence and Ravenswood. There has been some gang activity recently but all in all prices are good the citizens are becoming more organized. Check it out, I think this area has many things going for it and sales have fallen off (temporarily in my opinion). I should disclose I own property there.

I don't mean to sound pessimistic, but I don't know if the term "hot neighborhood" hasn't gone the way of the dinosaur. I believe that the new mortgage guidelines will prohibit any neighborhood from extreme levels of appreciation. Hot neighborhoods were created with the "cloud a mirror, get a mortgage" guidelines that led to an over funded, over heated marketplace. Those days are thankfully over, although as in physics, every action has an equal reaction, and so we are stagnating in a morass of over restricted lender requirements.

But I digress. . . Look at West Town, particularly those areas between Kinzie and Chicago Aves, west of Western (Smith Park a.k.a The Patch) and just west of Western Ave between Chicago and Division and North to Fullerton. Edgewater Glen, Magnolia Glen are also noteworthy if you want to be close to the lake. I still think Albany Park and especially Avondale is affordable.

Good luck in your search!