Joe, Home Buyer in 60612

Looking for an agent who specializes in short sales/foreclosures in the Bucktown, Wicker Park area of Chi. I would greatly appreciate any suggestion.

Asked by Joe, 60612 Thu Oct 29, 2009

I am pre-approved and starting to look at housing in the Chicago area. I have several questions about finding short sales/foreclosures as well as different loans I may need for those types of properties (either not finished or in need of some work).

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Barb Van Ste…, , 60625
Tue Nov 3, 2009
Joe, Foreclosures are properties that have been vacated, possibly the waterlines weren't drained property or the house wasn't wintereized right away. Kitchens can be removed, toilet fixtures and I have even seen radiators removed. This type of property would require and FHA 203(k) financing program because conventional financing will not get you through underwriting as the home has to be functioning. That means that the furnace, hot water tank, water lines, electrical all are in working order. The mininum amount of monies required to get these properties up and running would be in the area of 10% and upwards. It all depends upon when the property was seized and was the property properly contained and secured. If not, there are alot of hidden secrets in the walls that generally won't be figured out until all the systems are active. These types of properties are sold at bargain prices but require work.

Short Sales on the other hand, are generally in operating condition because the homeowner usually (most of the time, I should say) is in the home just prior to the closing. Your cost for repair work is more visible when it is a short sale.

If you are looking for a two unit building, and it is a short sale or foreclosure, the bank will want to make sure that you qualify to carry the mortgage and costs to cure while getting the property repaire/replaced.

If the property is a condominium, I would place caution to the wind and look at who is managing the building, have their been any special assessments, what does the engineer report say about the building, request and review the board minute meetings for any anticipated improvements, as well as looking at how many units are rented and how fast did that entire building closeout when it first went on the market. Those are critical questions that need serious answers because it will cost you alot of money down the road in resale and special assessments.

If the property is a two flat and you want to convert to a single family property, know that you will need architectural drawings even if you go under the City of Chicago's HOmeowner Assistant Program with the Building Department. It is different when you are considering a single family home and doing interior modifications, moving of walls, etc. That would qualify under their program.

When looking you need to consider structural, possible code violations, water pressure/volume, mechanical. Then consider your carrying costs to cure while the property is being work on to get it into shape to occupy as well as the cost factor to repair/replace. Once you have arrived at those figures, you will have a better idea of your investment your time frame.

When a property is a short sale, the lender usually wants to close in under 30 days and that is pretty hard to do with an FHA 203(k) loan. Foreclosures, the bank may understand and give you a 45 day to 60 day closing time frame. I have seen extentions given on both type of properties for financing. It all depends upon what you are look for.

I hope this helps. Remember Joe, it only looks tough and is hard to obtain when one doesn't do their homework.

Reach out if you need some help and congrats on making a smart move in your life.
0 votes
Scott Newman, Agent, Chicago, IL
Fri Oct 30, 2009
Hi Joe,

We would be more than happy to help you in your search. We specialize in foreclosures and short sale transactions. We are also affiliated with a wonderful lender who specializes in these types of loans. Please feel free to visit our website for your foreclosure search (http://www.newmanrealtyillinois.com), or call with any other questions.

Also, here is a little bit about us: Newman Realty is a close-knit team of experienced, dedicated, professionals ready to assist with all your buying, selling, and leasing needs! We utilize the latest technology, education, and proven methods to provide unparalleled service and results to our clients. Scott Newman is the Broker/Owner. He is a licensed Realtor® with over 6+ year real estate experience. He was rated a 2008 Chicago Top Producer and "One of the Most Plugged-In Realtors" by Chicago Realtor Magazine. Scott began in the business just under five years ago with Coldwell Banker's prestigious Northwest office out of Arlington Heights working under some of the best know agents in the business. After learning the business, and experiencing a lot of early success, he decided to make a go of it on his own and got involved with Essential Realty a very small development brokerage that was looking for an agent to handle their residential brokerage needs. Scott knows and specialize in all types of residential and REO real estate throughout Chicagoland. Today, he is the Broker/Owner of Newman Realty and specializes in residential, foreclosures, and leasing in the city of Chicago.
0 votes
Matt Laricy, Agent, Chicago, IL
Thu Oct 29, 2009
Joe,
First off I want to tell you that short sales are horrible. I dont know one agent that has had a smooth short sale. They are usually a lengthy process that are nothing but headaches. If anyone or agent tells you differently they are down and outright lying to your face. The only exception is if the short sale is already approved because the last buyer waited 4 months and its now ready to go. I would probably stay away from unapproved short sales all together.
You are going to get a lot of responses to this question. Just about every agent that is active in selling is going to have experience with these types of sales. I would call up a few of these agents and see which one you feel comfortable with. I wish you the best of luck in your search.

Matt Laricy
Americorp Real Estate
Brokers Associate, e-PRO
mlaricy@americorpre.com
708-250-2696
0 votes
Karen Breen…, Agent, Chicago, IL
Thu Oct 29, 2009
Hi Joe,

Both my husband/partner, Louis and I are CDPE (Certified Distressed Property Experts) and we are currently have two transactions (one buyer/ one listing) that are foreclosed properties. We are aware of the benefits and pitfalls in distressed property purchases, and would welcome the opportunity to speak with you about your future purchase. There are definite differences in the pros and cons of short sales vs bank owned properties.

With over 50 years of north side Chicago brokerage experience (that makes us sound very old!) we have worked in the West Town (Bucktown, Wicker Park, East Village and Ukrainian Village) neighborhoods since the late 80's so we have seen the transition of these neighborhoods. We feel we are uniquely qualified to counsel you in the selection and purchase of a distressed property.

We also can share our knowledge and perspective on mortgage loans, lenders and the new regulations (ever changing) concerning the acquisition of distressed properties. We have years of experience with conventional, FHA, VA and IDHA loans, and can guide you through to the best, competitive and trusted sources for these products. We also have experience with state funded tax credit programs.

Please contact me at your earliest convenience to discuss a meeting time.

Kind regards,

Karen Breen Elia
ChicagoCityHomes
RE/MAX Exclusive Properties
866-404-3585
kbreen@ChicagoCityHomes.com
0 votes
Sandra Matson, Agent, Chicago, IL
Thu Oct 29, 2009
Joe,

While it is true the banks have control over short sales and foreclosures there is basic information and procedure that must be followed for your offer to be considered. Not all agents are aware of this procedure or wish to deal with short sales or foreclosures.

I would be happy to discuss the process as well as financing. Please feel free to contact me.

Sandra Matson, CRS, GRI, ABR, ADPR (Accredited Distressed Property Representative)
Baird & Warner

Sandra@ChicagoMetroLiving.com
Direct: 312.981.2315
0 votes
Wenceslao Fe…, , 33130
Thu Oct 29, 2009
Hello, Joe. Visit http://www.CDPE.com to interview a qualified Certified Distressed Property Expert in your area.

There are well over 12,000 CDPEs nationwide, more than almost all designations on the market. This group has the right expertise to help you through.

All the best.
0 votes
Ken Dooley, Agent, Chicago, IL
Thu Oct 29, 2009
Joe,

I live in Wicker Park and would be happy to answer any questions you have. Feel free to email me and I can let you know the details.

Good Luck,

Ken Dooley, Conlon: A Real Estate Company
KDooley@ConlonRealEstate.com
(312) 305 4919 cell
Web Reference:  http://www.KenDooley.com
0 votes
Philip Sencer, Agent, Chicago, IL
Thu Oct 29, 2009
You will receive dozens of responses from agents. We all do short sales/foreclosures since those account for over half of the transactions in most parts of the city/burbs. Bucktown/Wicker are 2 of the neighborhoods that have not been as brutally affected by them, but they still exist.
The truth about these transactions is that NO ONE has any real control over the process. The lender is in control and they do not share much of any usefull information to the buyer's agent. They hardly communicate with the seller's agent.
As far as loans go, it's a very difficult market. You need more money than 3 years ago for down payment, but the specifics of the property are extremely important to whether or not you can get ANY loan on it. I can explain more if your interested.
I have been in business over 20 years and my office is in River West. Check my web site if you might be interested.

philip
0 votes
Ken Dooley, Agent, Chicago, IL
Thu Oct 29, 2009
Joe,

I live in Wicker Park and would be happy to answer any questions you have. Feel free to email me and I can let you know the details.

Good Luck,

Ken Dooley, Conlon: A Real Estate Company
KDooley@ConlonRealEstate.com
(312) 305 4919 cell
Web Reference:  http://www.KenDooley.com
0 votes
Stan Batters…, , Phoenix, AZ
Thu Oct 29, 2009
If you want I can send you the name of a Buyers Representitive in your area.
This way they will represent you and not the seller.
Just email me your name and email so I can pass your info onto them.
sbattersby@cox.net
0 votes
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