ChitownLiving.com :: Chicago Real Estate + Life

We are Moving

2006-08-06T19:16:00.000-07:00

This blog is moving. The goal is to eventually consolidate my website and blog. All prior posts have been imported to the new site and can be found here...

www.ChitownLiving.com

Take a moment to visit.

New Construction Negotiation

2006-07-31T16:07:00.000-07:00

Having worked with many Chicago buyers in the purchase of new construction properties (from condo to single family), I decided to outline some thoughts.

We heard developers do not negotiate, do they? - This is one of the most commonly asked questions from my buyer clients. In short, the answer (or non-answer) is some do ... and some don't. A developer is just a person or group of individuals with a big mortgage and financial objectives just like a homeowner. You never know until you ask but some indicators are as follows:

Project Phase - Projects getting off the ground are often priced at pre-construction levels. A price increase pattern could be to have a pre-construction price (hole in ground), increase price when sales center is established, increase price when 25%/50%/75% sold, increase price when building is built and first unit is available. If any units are left then create the perception of value with a developer closeout. At any phase, determine whether the price being asked is truly an incentve or just hype.
Percent Sold/Market Time - In many cases, developments that are in the initial phases or are not selling well with high market time will be more open to negotiation on price and upgrades. Projects in close-out phase often will have close-out specials.
Project Size - Larger projects represented by huge developers are often less flexible. Smaller developers tend to be more flexible.
Developer Size - Again, smaller developers will often be more open to negotiation. They are often more accessible and human than large developers.
Marketability - Hot projects are just that, hot. They have great finishes, location, and are priced well resulting in less developer flexibility.

Ask your agent for advice on all of the above. They can assist in differentiating between hype and real value.

Even though the listing agent says the developer will not negotiate, can we still negotiate? - Yes, and taking some of the factors above into account, you should. In many cases the listing agent is a real estate agent for the developer and not employed by the developer directly. All offers must be presented, and the developer must make the decision ... not the agent.

If asking for upgrades, what should we ask for? - Fortunately, in the Chicago area, the trend has been to deliver units with high-end upgrades as a standard package. In many cases such things as crown molding, steam showers, 1 3/4 inch granite, Grohe fixtures, Toto toilets, Brazillian Cherry floors, etc. all come standard. In situations where this is not the case, the developer should provide a list of standard finishes and a list of potential upgrades to choose from. Working from the list is a safe bet as the developer often can get things done at lower cost. Use your buyer agent to work through the upgrade list and provide suggestions as to things that may be best for resale. If no upgrade list is provided, at a bare minumum ask for a list of standard finishes (and appliances) delivered with the unit. Again, use your agent to request upgrades. Bottom line in all cases is to be realistic as a buyer.

Can we visit sales centers on our own without an agent? - You can, but if you want representation, be sure to work with your buyer agent on this. In most cases, the agent needs to accompany on the first visit, or at a bare minimum, the sales center needs to be notified you are visiting and are represented. The full commission will be paid regardless of whether you have an agent. Remember, even tough the listing agent gets you coffee and makes you comfy, they represent the seller, not the buyer, so why enter into the situation unrepresented.

We have been asked to sign a contract different from the Chicago Association of Realtors contract, why? - New developments are typically under the control of the developer until a certain percent has been sold/closed. As a result, new construction is subject to a developer contract. As might be expected, the contract is written to protect the developer. The contract is typically subject to an attorney revie period.

What if things are not completed when we move in? - In new construction they never are. There are always odds and ends that need to be completed. Prior to move-in we will have a formal walkthrough and develop a punch list of items the developer needs to addess. I always recommend having a licensed inspector accompany during the walkthrough and assist in the punch list creation. If you want an inspection at every construction stage, many inspectors can conduct a pre-drywall and post-drywall inspection. Make sure the contact allows accesss for this. It is typical to have items on the punch list completed within an agreed upon time period from close.

Many more items to address, but hopefully my ramblings above will be of help. If interested in purchasing new construction and need some advice please don't hesitate to contact me so we can discuss the details.

Dual Agency, All Tied Up in Knots

2006-07-27T15:07:00.000-07:00

Dual agency is one of those terms that is thrown around quite often and can tie all involved up in knots unless fully understood. In many cases, the pitfalls of dual agency are never truly understood by clients and inexperienced agents alike, until fully immersed in a dual agency situation. The sterile definition of dual agency is as follows...

Dual agency occurs when an agent represents two
principals (both buyer and seller) in the same transaction.

But what does this really mean? At the outset of any client relationship, an agent takes a listing, or begins working with buyers, and forms a fiduciary relationship. In this relationship, the agent has the duties of reasonable skill and care, obedience, accounting, loyalty, and full disclosure. So how is this fiduciary relationship honored if the agent represents both parties in the transaction? The answer is that it can't be, and in fact, the relationship must be limited. This limited dual agency relationship can only be entered into if fully disclosed, agreed to, and I will include understood by both parties (buyer and seller) in writing.

The agent can:

Treat all clients honestly.
Provide information about the property to the buyer or tenant.
Disclose all latent defects in the property that are known to the agent.
Explain real estate terms.
Help the buyer or tenant to arrange for property inspections.
Explain closing cost procedures.
Help the buyer compare financing alternatives.
Provide information about comparable properties that have sold so both clients may make educated decisions on what price to accept or offer.

The agent can not disclose:

Confidential information that agent may know about the clients, without the client's permission.
The price the seller or landlord will take other than the listing price without permission of the seller or landlord.
The price the buyer or landlord is willing to pay without permission of the buyer or tenant.
A recommended or suggested price the buyer or tenant should offer.
A recommended or suggested price the seller or landlord should counter with or sccept.

* info above taken from the Coldwell Banker Residential Brokerage Consent to Dual Agency form.

So let's look at a couple scenarios.

Buyer Scenario: A buyer's agent has been working with clients for six months to find a unique West Loop loft. The agent takes a new listing that he/she feels is perfect and as it turns out it is perfect and the buyer clients want to write an offer. Both buyer and seller agree to a fully disclosed dual agency relationship. The buyers ask for comps to come up with a starting offer price and then ask the agent for their opinion on analyzing the comps to come up with a negotiation strategy. After all, they have spent the last six months driving aound Chicago looking for the perfect place. What can the agent do? Under this limited fiduciary relationship, the agent can pull comps for the clients but that is it. No assistance can be given (unless agreed to by the seller) with regard to interpreting the comps or coming up with a negotian strategy.

Seller Scenario: A listing agent brings newly acquired buyer clients over to one of their new Lincoln Park townhome listings. The buyer clients love it and want to write an offer. Both buyer and seller agree to a fully disclosed dual agency relationship. The listing agent knows that the sellers have purchased a new single family home in Evanston and are closing in a month. The sellers are motivated. Can this information be disclosed to the buyer? The answer is no unless disclosure is agreed to by the seller.

After an agent spends weeks, months, and sometimes years with both buyer and/or seller and building a strong client relationship, it is sometimes tough for clients to accept this new limited fiduciary relationship the agent is bound to. As an agent it is imperative that dual agency is disclosed, consented to in writing, and most importantly understood.

Hire an agent who knows the full meaning of not only dual agency, but agency in general.

Big Mary

2006-07-25T14:45:00.000-07:00

One of the reasons I love real estate is that it gives me the ability to get out and about and experience Chicago's fantastic community areas and neighborhoods. Today brought me to Hyde Park while collecting information for a new listing in a popular 56th Street high rise.

While there I had to pay a visit to the Statue of the Republic ("Big Mary") and snap a few photos. Located in Hayes-Richards Circle, the statue standing today is a replica of the original 111 foot statue constructed to greet visitors to the World's Columbian Exposition held in Jackson Park in 1893.

For a fantastic tale of the exposition, the individuals who brought it to life, and the killer that stalked it's grounds, be sure to read The Devil in the White City by Erik Larson. It will make your trip to visit "Big Mary" all that more memorable.

MEN "RECLAIMING" SPACE IN THE HOME

2006-07-24T15:53:00.000-07:00

MEN RECLAIMING SPACE IN THE HOME ... that's the title of an article in the latest buyer representative HotSheet (email newsletter) I get from Real Estate Buyer's Agent Council (REBAC). Having just taken the REBAC, Accredited Buyer Representative (ABR) course and receiving the ABR designation I now am fortunate to receive yet another newsletter filled with info. Here is an excerpt of the article ...

A century ago, male-centered rooms were common household
features among the well-to-do. Billiards rooms and so-called "snuggeries"
were a man's respite from domestic life. Since then, the male space has been
absorbed into the rest of the home. However, more American males seem to be
responding by making a concerted effort to reclaim their space. "Ninety-eight
percent of men want a space of their own, and the other 2% lie about it,"
says Sam Martin, author of the forthcoming book, Manspace: A Primal Guide to
Marking Your Territory. (Source: MSN Real Estate) Visit MSN for the full story.

I read the article and I love the concept. But in my house I have a manspace with rules. While I got (was allowed to get) a plasma TV and nice surround sound system, my wife gave me rules.

First, all the cables had to be hidden. Huh? This meant that I had to drill many holes in our cabinetry to hide the front left and right channel speakers. This also meant that I would have had to go into the ceiling, under the floor, or under the rug (god forbid) for rear left and right speakers, so alas, no rear speakers.

Second, the speakers can not be too visible. Huh again? I have two small bookshelf speakers for front left and right. Needless to say, the center channel would have been way too visible so no center channel. I do have a subwoofer though, however, when we have a movie playing with a great soundtrack my wife always thinks the house is falling down.

Third, no blinky lights visible. All stereo components must be hidden. Bummer, as half the fun showing off the system is to have a full cabinet of glowing stereo components. I had to hide all behind cabinets.

Fourth, never turn the volume up past 2, which is barely audible to the human ear ... except to my wife who thinks it is too loud, always too loud. Wierd.

Love to kid my wife about this stuff but seriously I do need a manroom to call my own. As king of my castle, I declair my next house will have a manroom ... now if only I had a say in the matter. I'll need to run it by the boss.

You've Got Mail

2006-07-20T16:02:00.000-07:00

I'm addicted to spam, and I'm not talking about the mystery meat that comes in a tin can. In the Chicago real estate market we are all being spammed. As a real estate agent, it used to be that just our clients complained of spam. Going onto one of our agent websites to do a simple property search was a guarantee of receiving countless emails without the opportunity to initially opt out. This trend has picked up dramatically within the last year and now includes real estate agents spamming other real estate agents.

Now real estate agents are spamming real estate agents as never before in order to increase a listing's exposure. I can trace the trend back to one innocent email sent from an agent in a small Chicago brokerage to market a very "unique" 1 bed/1 bath condo in a downtown highrise. The service they used was Email Flyers. For a one time fee you can create an online flyer and blast it out to an email distribution list ... say the entire Chicago Association of Realtors (CAR) email distribution list. I could envision the light bulbs going on in real estate agent's heads across the Chicago area. Other email marketing services such as eCampaignPro were soon to follow. Soon my inbox was filled daily with such info as new listings, price changes, open houses, broker open houses, [fill in the blank], etc. I thought we had the local MLSNI listing system to handle these events but I guess you can never communicate too much.

The problem I have is that I am addicted to these things. I open every one of them ... that's right, I open them but I don't read most. I often hit the delete key before I even get a chance to read the subject line. There is so much noise out there that the urgent and news worthy email notifications are in danger of being treated as non-events. Kind of like screaming fire one too many times in a crowded movie theatre. This is a real shame.

That's it. I am off the soapbox so spam away.

Chicago Events in August

2006-07-17T14:23:00.000-07:00

Take part in one or more of these great Chicago events in August.

Gold Coast River North Art Fair, Aug 4-6, 10:00AM-6:00PM
Retro on Roscoe, Aug 5, 12:00-10:00PM
Northalsted Market Days, Aug 5-6, 11:00AM-10:00PM
West Fest 2006, Aug 12-13, 12:00-10:00PM
Air and Water Show, Aug 19-20, 11:00AM-4:00PM
Ukranian Fest 2006, Aug 19-20, 12:00-10:00PM
Bucktown Arts Fest, 21st Annual, Aug 26-27, 11:00AM-7:00PM
Taste of Greece 2006, Aug 26-27, 12:00-11:00PM
Chicago Antique Market, Aug 27, 8:00AM-4:00PM
Chicago Jazz Festival, Aug 31-Sept 3, Begins at 11:00AM

For more events and complete event details visit the City of Chicago Special Events site.

What’s the Deal with Hotel/Condo’s Anyway?

2006-07-06T19:21:00.000-07:00

In Chicago hotel-condos seem to be popping up daily. A rendering of the new Solis Hotel Chicago Condominiums appears to the right.

Exactly what is a hotel-condo anyway? The new hybrid housing phenomenon is hitting Chicago hard! Currently with 10 projects going up containing around 2,274 units you will soon be seeing condo/hotels throughout the city. This concept is better known in places like Florida and New York but expanded when developers found obtaining loans for new hotel projects more difficult. So they began selling hotel condos as a means of building equity.

Basically, it’s the same game as owning a hi-rise condo. You have a deed to the property, you pay taxes and monthly assessments. However, when you are not in your residence you can place your home in a rental pool and generate income. At some hotels, limits are placed on the number of nights owners can use their condos and in others, condo owners can stay in their units an unlimited number of night’s per year.

As you can guess, 60% of the buyers of these new hotel condos are empty nesters from the surrounding suburbs using their condos as weekend homes. Another 20% are from out of state while the remaining 20% are business looking for corporate suites or companies that operate vacation clubs. The prices tend to be higher on a per-square foot basis but there is a lot of variety, ranging from a 350 square foot king room for $220,000 upwards to $9 million for the deluxe. Remember, these are already furnished hotel rooms-many come with plasma TV and MP3 hook up stations.

So, is this a good way to make money? Due to heavy regulations from the SEC, developers can’t provide formulas or even talk about a units investment potential. Based on the dynamic nature of the hotel industry it makes it almost impossible to guess monthly costs. In some hotels, owners will never see the income in the form of a check, rather in credits that go towards monthly assessments or using hotel amenities, like the spa, restaurant, etc..

Those who use their hotel condo as a vacation home might find that it’s a worthwhile investment when they factor in lifestyle benefits, tax benefits and the likely appreciation of the unit when it comes time to sell.

The question I get the most is- “What happens to my stuff when I want to rent out my condo” Well, the hotel has a staff that comes in and stores it all in lockers and will return all the belongings to their original positions, when you come back. But don’t forget, this is still a hotel so everything costs extra!!

Some Chicago Hotel Condos to check out:

Solis
Waterview Tower: Shangri-La Hotel
Raffaello
Trump International Hotel & Tower
Elysian
Amalfi Hotel Chicago
Hotel Blake

Hope this helps increase dinner conversation!!

Chicago Events in July

2006-07-06T12:49:00.000-07:00

Take part in one or more of these great Chicago events in July.

Wrigleyville Summerfest, July 8, 12:00-10:00PM

Lake View Music Festival, July 8-9, 12:00-10:00PM

Ben Fest, July 14-16, 2:00-11:00PM

Rock Around the Block, July 15-16, 12:00-10:00PM

Chinatown Summer Fair, July 16, 10:00AM-8:00PM

Dearborn Garden Walk, July 16, 12:00-5:00PM

Sheffield Garden Walk, July 22-23, 12:00-10:00PM

Summer on Southport, July 22-23, 10:00AM-10:00PM

Venetian Night, July 29, Begins 8:30PM

Taste of Lincoln Avenue, July 29-30, 12:00-10:00PM

For more events and complete event details visit the City of Chicago Special Events site.

Your Credit Score

2006-07-06T12:30:00.000-07:00

Ever wondered what is behind your credit score? Download this Credit Score Guide to unravel the mystery behind the score and explain it's importance during the home buying process. For other home buying tools and tips visit our Buyer Resource page.

Complimentary Chicago Buyer Toolkit

2006-06-17T21:17:00.000-07:00

Need assistance during the Chicagoland home buying process? Our team can help. Request our free Chicago Buyer Toolkit. Include your full mailing address.

Metro on Melrose - 4+1 East Lake View Conversion

2006-06-17T19:22:00.000-07:00

Love this "new" development by R.E.M. Homes. Located at 519 W. Melrose, Metro on Melrose is a conversion of a typical 4+1 so prevalent in Chicago's, East Lake View neighborhood. Full gut rehab conversion to include the facade. The development, targeted at first time buyers, features studios, 1 beds, and 1 bed + den configurations. Parking is essential in this area and they have it for sale from $27,000 to $33,000. So popular they only have 12 units left. R.E.M. Homes also just Completed Barry by the Lake located around the at 515 W. Barry.

Chicago Events in June

2006-06-05T14:10:00.000-07:00

Take part in one or more of these great Chicago events in June.

Belmont-Sheffield Music Fest, June 3-4, 12:00-10:00PM
Ribfest Chicago, June 10-11, 12:00-10:00PM
Old Town Art Fair, June 10-11, 10:00AM-6:00PM
Wells Street Art Festival, June 10-11, 10:00AM-10:00PM
Taste of Randolph Street, June 16-18, 5:00-10:00PM
Lincoln Park Summerfest, June 17-18, 12:00-10:00PM
Pride Fest, June 24, 11:00AM-9:00PM
Chicago Antique Market, June 25, 8:00AM-4:00PM
Taste of Chicago, June 30-July 9, Begins 11:00AM

For more events and complete event details visit the City of Chicago Special Events site.

7% Tax Measure Does Not Pass

2006-06-01T15:46:00.000-07:00

May 27, 2006

Dear friends, neighbors and community leaders:

The Triennial Reassessment has begun. This newsletter from TRAC will bring you up to date on what happened in Springfield. The 7% tax measure did not pass. Please read the account from Springfield because it will give you some insight on the politics that went on. We have some well-financed opposition for the renewal of the 7%. We must all come together over the coming months and make our voices heard. Our elected officials are waiting to see how much noise everyone is going to make before they do something.

TRAC will keep you posted on any new developments. TRAC urges you to make phone calls to the Mayor, Speaker Madigan and Governor Blagojevich. The phone numbers are in the newsletter. If you are having any meetings that you would like us to come out to - just give us a call!

You can reach us through our web site at www.trac-il.org. Pass the TRAC newsletter around to your friends. Make copies of it and hand it out at your meetings or over the backyard fence! TRAC will also be sending the newsletter out to our members that don't have access to the Internet. We need an army of angry citizens in order to affect change! Thank you for your continued support.

Sincerely,

Barb HeadPresident
Tax Reform Action Coalition

New Lincoln Park, Near North Side Condos

2006-05-22T15:05:00.000-07:00

Since this is south of North Avenue, why are they calling this Lincoln Park? Kind of like West Lake View.

SoNo, developed by Smithfield Properties and designed by Booth Hansen Associates features 28 floors of residences priced from the $275's to $$440's.

New West Loop Condos

2006-05-22T14:56:00.000-07:00

R+D659, developed by Meisrow Financial and designed by Brininstool + Lynch is one of the West Loop's newest condo offerings. Note to self, The name is R+D659. The contemporary 15 story structure will feature residences from the $200's to $500's.

Now if I could only remember the name, R+D659, that would be fantastic. Who came up with this? Every time I hear the name it reminds me of some science fiction movie like Ray Bradbury's Farenheit 451 (yes, i know it was a book first) or George Lucas' Star Wars. Not sure why but I expect R2D2 or Storm troopers to greet me in the sales center whenever I bring a client through. I love the West Loop so I'll get over it.

Condos, PUDS, and Co-ops

2006-05-16T14:57:00.000-07:00

Looks like a duck, acts like a duck, but it isn't a duck. Think you are buying a condo but it is really a co-op? Think you are buying a single family but it is really a PUD? Three types of common interest developments ...

Condos - You purchase the inner surface of the walls, ceilings and floors. The building structure and land are defined as a common elements and owned by the homeowner association (HOA) which is made up of the condo owners. Each unit is assigned a % ownership in the common elements.
Planned Unit Development (PUD) - A variation on a condo, you purchase the structure and the land beneath. The HOA owns the common areas and is responsible for maintenance etc.
Cooperatives (Co-op) - You purchase personal property in the form a stock certificate which entitles you to a proprietary lease of the apartment. The building is owned by a non-profit corporation.

To avoid surprises, know exactly what you are purchasing well ahead of time.

New Lincoln Park Lofts

2006-05-16T14:12:00.000-07:00

Love Lofts ... especially in areas where you don't expect to find new loft projects.

LG Development Group just announced TRU Lofts, a new project at 2525 N. Sheffield. The project features 28 unique floorplans. 1200 square foot simplexes are being offered from $319,000; first floor duplex ups from $419,990, and penthouse duplexes featuring rooftop decks from $439,990.

New Lincoln Park Condos on Columbus Hospital Site

2006-05-04T17:05:00.000-07:00

The three acre site of the former Columbus Hospital located at 2520 N. Lakeview could soon become the location for a 325-unit condo development. MB Real Estate appears to be on the verge of acquiring the site and sarting construction. The architect is expected to be Lucien Lagrange.

Apartment Vacancies Down, Rents Up

2006-04-19T16:37:00.000-07:00

In Chicago, the apartment vacancy rate has dropped from 12 percent two years ago to about 5 percent today. Meanwhile, rents have increased on pace with national trends. According to Appraisal Research Counselors, this spring’s leases nationwide are showing the biggest rent hikes in five years.

"The rental market has changed over the last year in Chicago to the benefit of landlords and investors, and to the detriment of renters," says Michael Zaransky, co-CEO of Prime Property Investors.

People on both sides of the rent/buy fence are feeling the squeeze from both sides. "The market is changing, and a lot of times that's the time to act," says Ron De Vries, vice president with Chicago-based Appraisal Research Counselors. "Maybe it's time to buy while interest rates are still low. Or maybe this would be a good time to rent before the increases come through."

Source: Chicago Tribune, Alexia Elejalde-Ruiz (04/17/2006)

New West Loop Mid-Rise

2006-04-11T13:25:00.000-07:00

A new mid-rise is planned for Randolph and Des Plaines in the West Loop. 14 stories of modern glass prices start in the low $200,000's. Sales center to open in May 2006.

New Lake View High-Rise

2006-04-11T13:24:00.000-07:00

It's offical, American Invsco has just gotten the permits to build there long awaited tower in the vacant land in front of 3660 Lake Shore Drive. 212 unit- 28 story tower and 16 townhomes will soon rise on the site. No prices have been released and sales are set to begin at the end of the year.

New Lincoln Park Mid-Rise

2006-04-11T13:21:00.000-07:00

Brand new mid-rise planned for Lincoln Park. Located just off Halsted and the Weed street area.1 Bedrooms starting at $274,900 and 2 bedrooms starting at $439,000. To be ready in mid 2008. More info soon....

Born to Ride

2006-04-06T18:10:00.000-07:00

Found a great site the other day that will interest bicycle riding enthusiasts. Follow the link below to for a map of all the bike riding trails in the city. The number of trails and bike routes in the city will amaze you.

Chicago Bike Map

An Inverted Yield Curve: What It Means to Mortgage Rates

2006-03-15T14:57:00.000-08:00

The U.S. economy, interest rates, and the housing market are frequent topics on the nightly news. Viewers are told about leading economic indicators, how the stock market has performed, and whether the Federal Reserve is planning on changing interest rates. What isn't explained is how these items are interrelated and how they may impact which home loan is best for you.

The Federal Reserve attempts to keep the U.S. economy healthy through its use of monetary policy. As fears of inflation increase, the Fed will raise certain short-term interest rates such as the federal funds rate, which is the interest rate banks pay each other for overnight loans. Such an increase causes a ripple effect, with banks raising their prime lending rate. This, in turn, causes an increase in Adjustable Rate Mortgage (ARM) rates and the indices they're tied to, such as the 12-Month Treasury Average (MTA), the 11th District Cost of Funds Index (COFI), and the 1-Month London Inter Bank Offering Rates (LIBOR).

Under normal circumstances, long-term interest rates would also increase even though they are determined by market trading of bonds and mortgage-backed securities rather than monetary policy. However, in certain instances, the market responds in an unexpected manner.

Long-term interest rates are driven by a desire to place money in a steady vehicle that will provide a decent rate of return. When the stock market is underperforming, many corporate and individual investors will sell stocks, and invest their money in bonds. Typically, the longer the holding period of a bond, the higher the yield it will offer. This makes sense because the longer an investor's money is tied up in that investment, the more they should receive for it. However, when there is an increased demand for bonds, the law of supply and demand comes into play. As the demand for bonds increases, the need to attract investors decreases, so the yield offered on those bonds declines.

When the Federal Reserve pursues an aggressive policy and raises short-term interest rates repeatedly over an extended period, and the bond and mortgage-backed securities markets are booming so their yields are lower, an unusual situation arises. Short-term interest rates are high while long-term interest rates remain lower. This leads to a shift in the usual yield-versus-term paradigm, known as an inverted yield curve.

So what does this mean to a consumer who is trying to determine what type of mortgage would be best under these economic conditions? It means that the cost of an Adjustable Rate Mortgage is not significantly lower than that of a 15- or 30-year fixed mortgage. Rather than taking out (or keeping) an ARM, which is variable and will increase if short-term interest rates keep rising, it may be better to pursue a 15-year or 30-year fixed rate mortgage.

Because economic conditions are constantly changing, it's important to consult with a mortgage professional who is knowledgeable about the markets and how they impact the different loan programs available. This will ensure that homeowners obtain the best mortgage available despite market fluctuations.

Article provided by Steve Schneider of PHH Home Loans. To contact Steve call 312-371-3518.

Chicago Housing, Overvalued or Undervalued?

2006-03-15T14:23:00.000-08:00

According to a study conducted by Global Insight/National City Corp, housing overvaluation has marched steadily upward since the first quarter of 2002, to just over 20% ..... while area single-family housing was slightly undervalued.

Despite this, Chicago housing still remained a more reasonably priced deal than more than 100 other metro areas, the Global Insight/National City report found. Of 299 metro areas analyzed, 71 showed "extreme" overvaluations of more than 30%.

The complete article titled Chicago area housing is 20% overvalued: study, can be found in Crains.

Sept - Nov 2005 Housing Prices

2006-03-10T15:37:00.000-08:00

Check the Trib for the year over year Chicago median housing prices and appreciation and in some cases depreciation rates.

Not sure why the title says September through November 2005 but the columns are labeled March-May. Chalk it up to an editing error.

Cabrini Redevelopment Project

2006-03-10T15:09:00.000-08:00

Article by Jeanette Almada
Special to the Tribune
Published March 5, 2006

The first residential units to go up on the site of the Cabrini Green public housing complex will get financial assistance from the city.

The $500-million, 790-unit project on the Near North Side, to be called Parkside of Old Town, has been a long time coming.

The first phase is scheduled to begin by mid-summer. It will consist of more than 300 units--106 apartments and 280 condominiums in three mid-rise buildings and 73 townhouse units in nine three-story buildings. Each row of townhouses will have five to 13 units.

Read the complete article, TIF to help fund Cabrini redevelopment project, on the Chicago Tribune website.

Two New Lake View Conversions

2006-02-21T13:57:00.000-08:00

Two new Lake View vintage apartment conversions will add yet more condos into the Lake View condo conversion market. Both are targeted at the first time home buyer wanting to stay in Lake View or near Lincoln Park.

Delivery of the units will occur through the remainder of 2006. One is located on the 1000 block of W. Dakin and the other is located near Belmont and Paulina in Roscoe Village. These are too new for complete details so contact me for floor plans and additional details as they become available.

For more information contact Jeff Kerr by phone at 773-326-0048, email, or visit www.Kerr-Properties.com.

Chicago Roof Rights and Roof-Top Decks

2006-02-21T13:45:00.000-08:00

Have you ever represented a client that was purchasing a unit that comes with, or will come with, a roof-top deck? Well, if so, there are a couple of things you might want to clarify. It has been our experience that both clients and realtors are satisfied with the sellers statement that the unit comes with a roof-top deck or exclusive roof rights. However, a proper and legal roof-top deck should have been constructed in accordance with a City of Chicago building permit. A building permit gives you, your insurance company, your neighbors and the City assurance that specific minimum standards are met in constructing, altering, or repairing your home by complying with the Chicago Building Code. A permit is needed for new construction, major repairs, renovations, and demolitions, and for the installation of new boilers, furnaces, plumbing fixtures, garages, additions, porches, and decks. If the seller is unable to verify or produce such a permit, it may very well be likely that such roof-top deck is illegal. Also, if the seller in new construction says that the unit has exclusive roof-top rights, remember this does not mean that the Purchaser is free to construct a roof- top deck without the proper permits. If a Seller claims that a roof-top deck could be built, it is wise to ask for a copy of the building permit allowing this construction. If the seller is unable to provide such permit, the buyer is legally obligated to procure such permit before he/she constructs a roof-top deck.

A great place to start to research the guidelines for a roof-top deck is the City of Chicago’s Department of Construction and Permits. Generally, your client should contact an architect to construct roof-top deck plans. Such plans need to be submitted to the DCAP for approval. This process can range from 1 to 3 months, but this is an estimate. Feel free to contact our office should you have any further questions or concerns.

Chicago’s Department of Construction and Permits Website

Article provided by Attorneys, Paul Garver & Thomas Hawbecker of Hawbecker & Garver, LLC. To contact them call 630-789-6833 or visit

For more information contact Jeff Kerr by phone at 773-326-0048, email, or visit www.Kerr-Properties.com.

New Lincoln Park Conversion

2006-02-04T17:22:00.000-08:00

This one is too new for details. An apartment building on the 2700 block of Mildred in Lincoln Park will go condo. Work to begin in April of 2006. Check back for updates or send me an email requesting additional info when available.

For more information contact Jeff Kerr by phone at 773-326-0048, email, or visit www.Kerr-Properties.com.

Like New Ukranian Village 2 bed/2 bath Condo

2006-01-23T17:38:00.000-08:00

Address: 2256 W. Erie #2, Chicago, IL 60612
Offered At: $329,900
Monthly Assessments: $175
2004 Taxes: $3100
Photos & Virtual Tour: Ukranian Village Condo

Description:
Like new condo in Ukranian Village. Features 9' ceilings. Highly upgraded kitchen & baths; granite & marble counter tops, undermount sinks, stainless steel appliances, large master bath w/separate shower & oversized jacuzzi, living rm fireplace, & in-unit laundry.

See Photos and Virtual Tour:
Ukranian Village Condo

For more information contact Jeff Kerr by phone at 773-326-0048, email, or visit www.Kerr-Properties.com.

New Museum Park Developments - One Museum Park, 1600 Museum Park

2006-01-23T17:14:00.000-08:00

Two new developments in Museum Park to begin sales shortly. Check out the Museum Park website for additional info.

One Museum Park - This luxury 53 story highrise features residences where no view is compromised. In fact the marketing materials state that "Every vista, from every home, is a spectacular one--and each is guaranteed to be unobstructed forever." Prices range from $440,000 to $1,995,000.

1600 Museum Park - This 30 story glass highrise is one of the most architecturally significant along the lakefront. The building features floor to ceiling windows in bold color and a tepering facade. Prices range from $291,000 to $699,500.

For floorplans and pricing contact Jeff Kerr by phone at 773-326-0048, email, or visit www.Kerr-Properties.com.

For All Your Chicago Real Estate Needs

2006-01-18T17:07:00.000-08:00

For all your real estate needs contact ...

Jeff Kerr
773-326-0048
Email Jeff

Appraisals Uncovered

2006-01-06T16:03:00.000-08:00

The appraisal process often baffles consumers. They may feel their home is worth a higher dollar amount, and the appraised value doesn't always make sense to them. It is important to know that appraisal guidelines are dictated by the lenders, and in some states, it is a requirement to also disclose what the appraisal will be used for because there are different rules to follow depending on the purpose.

In effect, lender guidelines force appraisers to put a fair market value on homes based on comparable sales in the same area, and the home must be bracketed in size and value. For example, there is no set dollar figure associated with a great view, pool, spa, bathroom upgrades, etc. If a homeowner installs a custom pool that cost them $30,000, but the local marketplace supports the value of a pool at $15,000, then that item will be bracketed as [$15,000] on the appraisal.

Upgrades can usually be expressed at full value in newer homes, because the only way to get those upgrades was to put more money into the cost of building the home. On the other hand, the upgrading or remodeling of an older home is rarely reflected in full in the final appraisal. This is because the home had value in its original condition, and again, the value of the upgrades must be supported by comparable examples within the same marketplace.

These comparisons must be drawn from current market activity within the last six months, and some lenders will want to look at both closed and pending sales, to see if there is any room for negotiation. This is a safeguard to prevent appraisers from attaching too high a value to the home in question. This guideline further states that appraisers can only base their opinion on the value of homes that have actually closed escrow. Any supporting comparison from pending sales will reinforce the reference to the closed sale given. However, when property values are increasing drastically within a marketplace, the appraiser is generally permitted to make a concession and put more weight on the evidence provided by comparisons to pending sales and listings, allowing for a "real time" appraisal.

Although there is no formal standard to speak of, most lenders give the appraiser a 5% margin of error. If the file is reviewed and the appraiser is off by 8%, there is a good chance the value will be cut by the full 8%. It is in the best interest of both the appraiser and the homeowner not to try to push the value up higher than the market will support, otherwise the property evaluation would then be exposed to a severe appraisal review.

Article provided by Steve Schneider of PHH Home Loans. To contact Steve call 312-371-3518.

For more information contact Jeff Kerr by phone at 773-326-0048, email, or visit www.Kerr-Properties.com.

New Lake View Lofts - Corner Ashland and Belmont

2005-12-07T17:19:00.000-08:00

New 16 unit loft building accounced today at the corner of Ashland and Belmont to be completed in 2006. Price ranges from low $200's for 1 bedroom to mid $300's for two bedrooms.

For more information contact Jeff Kerr by phone at 773-326-0048, email, or visit www.Kerr-Properties.com.

Fed Mortgage Moves

2005-12-07T16:58:00.000-08:00

For those that watch the mortgage market, last week the Fed raised the conforming loan limit to $417,000. This is a 16% jump from the current $359,650 limit. Loans above this ceiling are classified as jumbo and result in higher interest rates. Conforming loans qualify for purchase by Fannie Mae and Freddie Mac.

For more information contact Jeff Kerr by phone at 773-326-0048, email, or visit www.Kerr-Properties.com.

2005 Remodeling Cost vs. Value Report

2005-12-02T14:27:00.000-08:00

As you begin to hunt for your new home you may look at homes requiring some improvement. Answering question such as how much will it cost to remodel a kitchen or bathroom may influence your purchase decision.

Select the link below to read an article provided by the National Association of Realtors that breaks down common home improvement projects, provides their cost and estimated return.

2005 Cost vs. Value Report

For more information contact Jeff Kerr by phone at 773-326-0048, email, or visit www.Kerr-Properties.com.

Credit Scoring: Some Common Scenarios

2005-11-28T16:07:00.000-08:00

Typically, a person with a bad credit score is in this position because they lack structure in their life. There are, of course, cases where unplanned health or employment complications are to blame, but for the most part, these are individuals who lack the discipline to pay their bills on time or curb their spending. This is your opportunity to be the "knight in shining armor" that provides them with a simple roadmap to get back on track.

Let's take a look at some examples that can help to quickly improve less-than-perfect credit scores for the potential homebuyer:

Let's say we have a borrower who needs to do a stated income loan to buy the home they want, but they have a credit score of 664. They have a concentration of credit card debt on one card; let's say $17,000 on a card with a $20,000 limit. At the same time, they have four or five additional credit cards, all with a zero balance. I would advise the borrower to distribute the debt over the cards that are available to work with. This changes the ratio of debt to available credit, and can cause their credit score to pierce through that magical threshold on our chart (from Part I of this series), and put them in the 680-699 category of having good credit.

Another thing to take into consideration in a case like this is what percentage each of the five factors measure in the resulting credit score. Let's say we have a borrower with a credit high (the maximum debt allowance on all cards, combined) of $20,000. They have one card that is used for business purposes that is pushing the limit. I would advise the client to get two new cards, each with a $5,000 limit, and once again, spread the debt out over the cards leaving a 30% margin of available credit on all the cards. This will affect the factor of credit history, but this specific factor only affects the overall score by 15%. The big difference, once again, is the resulting impact on the credit balance factor, which has a 30% influence on the overall score and can cause the overall calculation to pierce through the next level on our chart.

Conversely, the borrower should be advised not to close any existing credit card accounts, even if they are at a zero balance. Some people think they are doing themselves a favor by having fewer cards, and they lose out on the credit history factor. Even if the borrower does not have a good rate on an old credit card, they are rewarded for having the long-term credit history, and from time to time they should make a small purchase to keep the account in an active status.

These are just a few examples of what borrowers can do to improve their credit score when they consider buying a home. If they are disappointed by the fact that they cannot get the A-Paper loan up front, I would continue to monitor rates and their specific loan scenario on an ongoing basis and advise them when they will have a chance to turn this situation around. The new mortgage debt will temporarily drop the score, but once the first payment registers as “paid,” the score will begin to go up again and eventually present the opportunity to refinance at a lower rate.

Article provided by Mary McElree of PHH Home Loans. To contact Mary call 312-635-3003.

For more information contact Jeff Kerr by phone at 773-326-0048, email, or visit www.Kerr-Properties.com.

High End Home Sales Slow ... Say it Ain't So

2005-11-21T17:55:00.000-08:00

Thought sales of high-end home sales were always slow? Who am I to say. Article provided by Crain's Chicago Business. Read the full article, Chill hits housing provided by Crains.

For more information contact Jeff Kerr by phone at 773-326-0048, email, or visit www.Kerr-Properties.com.

Five Factors of Credit Score

2005-11-21T16:46:00.000-08:00

There are five factors that comprise the credit score. They are listed below in order of importance, just as an underwriter would look at the score:

Payment History: 35% impact. Paying debt on time and in full has a positive impact. Late payments, judgments and charge-offs have a negative impact. Missing a high payment has a more severe impact than missing a low payment. Delinquencies that have occurred in the last two years carry more weight than older items.

Outstanding Credit Balances: 30% impact. The ratio marking the difference between the outstanding balance and the available credit is important here. Ideally, the client should keep their balances below 10% of available credit limits.

Credit History: 15% impact. This marks the length of time since a particular credit line was established. A seasoned borrower is stronger in this area.

Type of Credit: 10% impact. A mix of auto loans, credit cards, and mortgages is more positive than a concentration of debt from credit cards only.

Inquiries: 10% impact. This quantifies the number of inquiries that have been made on a consumer's credit history within a six-month period. Each hard inquiry can cost from 2 to 50 points on a credit score, but the maximum number of inquiries that will reduce the score is 10. In other words, 11 or more inquiries in a six-month period will have no further impact on the borrower's credit score.

Article provided by Steve Schneider of PHH Home Loans. To contact Steve call 312-371-3518.

For more information contact Jeff Kerr by phone at 773-326-0048, email, or visit www.Kerr-Properties.com.

Charming Logan Square 2 bed/1 bath Condo

2005-11-21T10:33:00.000-08:00

Address: 2439 N. Kedzie #3, Chicago, IL 60647
Offered At: $254,900
Monthly Assessments: $184
2004 Taxes: $2083.45
Photos & Virtual Tour: Logan Square Condo

Description:
Charming residence in hot Logan Square location, 1/2 block from the monument. Top floor with large (16x10) private back deck. Features diagonal hardwood floors, front bay window ovrlooking tree lined blvd, central air, in-unit washer & drier. Very close to blue line, expressway, and bus line. Low assessments. Pet friendly.

See Photos and Virtual Tour:
Logan Square Condo

For more information contact Jeff Kerr by phone at 773-326-0048, email, or visit www.Kerr-Properties.com.

Cook County Property Tax Hike ... Hint, Hint

2005-11-16T15:50:00.000-08:00

Current Cook County board president to seek fourth term and hints at need to raise county property taxes.

View the complete article at Chicago Businss: Stroger to run again, hints at county property tax hike

For more information contact Jeff Kerr by phone at 773-326-0048, email, or visit www.Kerr-Properties.com.

Chicago Housing Bubble

2005-11-16T14:56:00.000-08:00

The National Association of REALTORS(R) reports that a housing bubble is unlikely in the Chicago market. A few key highlights of the report include:

Chicago's current price appreciation of 8% and 3-year price appreciation of 29% is significanlty below that of the top 20 metro areas and the national average.
Home price growth in the 90's was relatively weak as compared to the nation, so some of the recent growth is attributed to a "catch-up" effect.
Chicago housing is relatively affordable as compared to most other top 20 metros.
The local job market has turned the corner as there have neen 28,000 payroll additions through July 2005.

Reference the complete report: Home Price Analysis for Chicago-Naperville-Joliet

For more information contact Jeff Kerr by phone at 773-326-0048, email, or visit www.Kerr-Properties.com.

New River North Lofts - Huron Street Lofts

2005-11-15T14:54:00.000-08:00

Located at 225 W. Huron in Chicago's hip River North North neighborhood, sales of the Huron Street Lofts are underway. The conversion of this vintage timber beam building originally built in 1896 is more than likely one of the last of its kind in the River North area.

The 100 unit building features one bedroom, one bathroom residences ranging in size from 685 to 975 square feet. Exposed brick, floor to ceiling windows, and 11 to 13 foot ceilings are featured. Early prices range from $192,000 to $301,500 ($285 to $310 per square foot). Delivery is expected in January of 2006.

For more information contact Jeff Kerr by phone at 773-326-0048, email, or visit www.Kerr-Properties.com.

Crazy Loans

2005-11-03T15:28:00.000-08:00

Are we in a real estate bubble? Are we in a boom? When will the bubble burst? These are questions I am asked daily by clients and customers.

Select the link below to read an article provided by Money Magazine, written by Cybele Weisser that clearly explains some of the mortgage industries more innovative products designed to keep the "boom" alive. Each product has an intended customer so make sure you know all the ins and outs before making a decision on the loan for you.

Article: Crazy Loans: Is This How the Boom Ends?
Publication: Money Magazine
Issue: October 2005
Author: Cybele Weisser

For more information contact Jeff Kerr by phone at 773-326-0048, email, or visit www.Kerr-Properties.com.

New Streeterville Development - 535 St. Clair St.

2005-10-31T08:34:00.000-08:00

Another 328 residential condo units are planned for Chicago's Streeterville neighborhood. The 38 story, building developed by Suherland Pearsall Development will be located on the northeast corner of Grand and St. Claire. An existing building on the southeast corner of St. Claire St. and Ohio will be converted to house 12 of the residences. The parking garage that currently exists on the site will be demolished to make room for the building.

Units will range in size from 600 square foot studios to 1,800 square foot 3 bedrooms. Prices will range from mid $200,000 to over $1,000,000. There will be 7,700 square feet of retail space. Pre-sales of the building are linked to the sister project at 550 St. Claire St., and will begin once 85% to 90% of 550 are sold.

For more information contact Jeff Kerr by phone at 773-326-0048, email, or visit www.Kerr-Properties.com.

Uptown Condos for Sale

2005-10-24T17:11:00.000-07:00

The following two new listings are located in Chicago's Uptown community area. They are located just off Lake Shore Drive next to the park.

4900 N. Marine Dr. #505 - Highly upgraded 2 bed, 2 bath condo priced at $239,900. New appliances, floors, electric, the works. Check out more details and virtual tour.

4880 N. Marine Dr. #515 - Great investment opportunity. Corner unit 1 bed, 1 bath condo priced at $139,900. Check out more details and virtual tour.

For more information contact Jeff Kerr by phone at 773-326-0048, email, or visit http://www.kerr-properties.com/.

New Developments - Roscoe Village, Gold Coast, South Loop

2005-10-10T15:47:00.000-07:00

The following new developments are now in the pre-marketing phase:

Roscoe Village:
Roscoe Manor, Located at 1457 W. Roscoe, 2 bedrooms from $275,900

Gold Coast:
The Flats on LaSalle, Located at 1140 N. LaSalle, Studios and 1 bedroom flats from $95,400

South Loop:
1720 S. Michigan, Located at 1720 S. Michigan, Pricing available upon request
In the style of CMK Development's 630 N. Franklin and 1620 S. Michigan rises another contemporary structure which features thirty-two stories of "innovation and intelligence, standing in the face of the status quo and leaving other residences with a sense of the ordinary." This is all marketing but I be previewing the development in the next few weeks.

Contact me for info on other early stage developments. For more information contact Jeff Kerr by phone at 773-326-0048, email, or visit www.Kerr-Properties.com.

Eyes and Ears

2005-09-26T16:46:00.000-07:00

Looking for a new development or conversion in the early stages? From Hyde Park to Rogers Park, one of my specialties is locating properties for clients early in their marketing lifecycle. In fact, this blog is where I document many of my findings among other things.

Need someone to be your eyes and ears on the ever changing market? If so, I would be glad to assist.

Contact me for info on other early stage developments. For more information contact Jeff Kerr by phone at 773-326-0048, email, or visit www.Kerr-Properties.com.

New Lake View Conversion - Roscoe Manor

2005-09-26T16:40:00.000-07:00

Located at 1247 W. Roscoe, this conversion is in the very early stages. Delivery in 3 months. Details to follow.

Contact me for info on other early stage developments. For more information contact Jeff Kerr by phone at 773-326-0048, email, or visit www.Kerr-Properties.com.

New Lake View Conversion - 3737 to 3749 N. Fremont

2005-09-26T16:35:00.000-07:00

This project is in the very early stages. This vintage Lake View conversion located at 3737 to 3749 N. Fremont will deliver in 2006. The units will be 2 bedroom, 2 bathroom with pricing in the $300's. Rumor has it that parking will be included in the purchase price. Contact me for further details.

Contact me for info on other early stage developments. For more information contact Jeff Kerr by phone at 773-326-0048, email, or visit www.Kerr-Properties.com.

New Printers Row/Loop Development - Vetro

2005-09-26T16:04:00.000-07:00

Vetro, a new high-rise development at 601 S. Wells, in the Printers Row/Loop neighborhood will soon begin marketing. Additional details to follow.

Contact me for info on other early stage developments. For more information contact Jeff Kerr by phone at 773-326-0048, email, or visit www.Kerr-Properties.com.

Buyers ... Are You Represented?

2005-09-23T16:31:00.000-07:00

The advent of the buyer agent is a fairly new concept in the real estate community. In many areas, the seller agent acting aa a dual agent is still very common. Check out this article titled Buyer Agency for an explanation of the real estate transaction agency relationship. I have represented buyer clients in their purchases throughout the Chicago area.

Contact me for a full explanation of the benefits of working with a buyer agent. For more information contact Jeff Kerr by phone at 773-326-0048, email, or visit www.Kerr-Properties.com.

I Have a Client Looking For ...

2005-09-23T15:46:00.000-07:00

Developers or agents representing developers, I have a client looking for a 1 bedroom, 1 bathroom condo in the Lincoln Park or Lake View areas. They would like to purchase a unit (new construction or conversion) in 2005 and take delivery in 2006. If you have a development not yet listed or marketed please let me know.

For more information contact Jeff Kerr by phone at 773-326-0048, email, or visit www.Kerr-Properties.com.

New West Town Gut Rehab - 1500 to 1504 W. Ohio

2005-09-23T14:44:00.000-07:00

Located at 1500 to 1504 W. Ohio, these fifteen extra-wide units feature 1, 2, and 3 bedroom floorplans. Units will have 1 to 2.5 bathrooms. Prices will range from $229,900 to $579,900. Delivery is anticipated in 2006. Parking is included in the price.

For more information contact Jeff Kerr by phone at 773-326-0048, email, or visit www.Kerr-Properties.com.

New Edgewater Vintage Rehab - Winthrop Park

2005-09-23T09:50:00.000-07:00

Check out the new vintage rehab in Edgewater located at 5224 - 5228 N. Winthrop. Each unit includes a secure gated parking spot. There are four units that provide 3 bedrooms and 2 bathrooms starting from $339,900. Six units offer 1 bedroom plus den, 1 bathroom layouts starting at $239,900. Delivery is expected from November 2005 to early 2006.

For more information contact Jeff Kerr by phone at 773-326-0048, email, or visit www.Kerr-Properties.com.

New Lincoln Park Conversion - Sedgwick Gardens

2005-09-22T16:09:00.000-07:00

Get in early on this new conversion to deliver in 2006. Located at 2212 - 2216 N. Sedgwick, this vintage full gut rehab conversion will feature six 1 bedroom, 1 bathroom units priced between $299,900 and $309,900 and four 2 bedroom, 2 bathroom units priced between $389,900 and $479,900. This is a potential opportunity for first time home buyers wishing to stay in a prime part of Lincoln Park.

For more information contact Jeff Kerr by phone at 773-326-0048, email, or visit www.Kerr-Properties.com.

Are You Searching ALL the Chicago MLSNI Listings?

2005-09-21T17:51:00.000-07:00

Many websites tout a complete Multiple Listing Service of Northern Illinois (MLSNI) search but in reality they leave out many brokerage listings. The MLS is the central database that all brokerages use to present their listings. Per the rules of the MLSNI, to search the entire MLS you must first register by prvoviding an email address and password. Beware of sites that advertise a complete search without having you register. More than likely you are not getting the complete picture.

For a complete search visit My Chicago Home Search. The site asks you to register per the rules of the MLSNI. Here you will find ALL brokerage commercial, rental, and for sale listings including virtual tours, multiple photos, neighborhood information, and more.

For more information contact Jeff Kerr by phone at 773-326-0048, by email at jeff@kerr-properties.com, or visit www.Kerr-Properties.com.

Monitor Chicago Construction Progress

2005-09-19T18:03:00.000-07:00

So you purchased a new construction condo in Chicago and want to monitor the progress of the building without getting off the couch. Check out http://www.emporis.com/en/wm/ci/bu/cs/?id=101030. While unit and pre-construction information is not provided you will be able to see pics of the building as construction progresses.

For more information contact Jeff Kerr by phone at 773-326-0048, by email at jeff@kerr-properties.com, or visit www.Kerr-Properties.com.

New Printers Row Development - Printers Square

2005-09-19T17:47:00.000-07:00

Located at 700 S. Federal, this luxury JDL conversion boasts price points starting in the low $100,00s. Stay tuned for details.

For more information contact Jeff Kerr by phone at 773-326-0048, by email at jeff@kerr-properties.com, or visit www.Kerr-Properties.com.

New South Loop Development - The Legacy at Millenium Park

2005-09-19T17:41:00.000-07:00

Early marketing boasts great location, views, and amenities. Developed by the developer of the Heritage. Stay tuned for more details.

For more information contact Jeff Kerr by phone at 773-326-0048, by email at jeff@kerr-properties.com, or visit www.Kerr-Properties.com.

New Streeterville Development - 600 N. Fairbanks

2005-09-19T17:17:00.000-07:00

More detail on the new Helmut Jahn architected building in Streeterville. All units feature twelve foot ceilings, balconies, and floor to ceiling windows.

Unit Details:

1 Bedrooms, 821 - 926 Square Feet, $320,000 - $460,000
2 Bedrooms, 1185 - 1258 Square Feet, $462,000 - $656,000
3 Bedrooms, 1746 Square Feet, $707,000 - $962,000
2 Bedroom Penthouses, 1540 Square Feet, $883,000 - $1,002,000
3 Bedroom Penthouses, 2993 - 3177 Square Feet, $1,720,000 - $2,065,000

Building Amenities:

Party Room
Conference Facility
Fitness Center Including Lap Pool
Sun Deck
Rooftop Garden
Dog Run
Top Notch Appliance Package: Sub-Zero, Wolf, Miele
Indor Garage

For more information contact Jeff Kerr by phone at 773-326-0048, by email at jeff@kerr-properties.com, or visit www.Kerr-Properties.com.

Price Reduction - Roscoe Village Single Family Home

2005-09-19T09:35:00.000-07:00

Stunning home in the heart of Roscoe Village, 3242 N. Leavitt, now priced at $819,500. Beautiful 4 bedroom, 3.5 bath boasts great amenities from crown moldings to wood floors. Master has private balcony, fireplace, vaulted ceilings & luxury bath. Finished basement expands living space. The secluded porch directly off the family room is a great place to enjoy quiet evenings. 2.5-car garage. See the virtual tour at http://tours3.vht.com/CBI/t1031729.

For more information contact Jeff Kerr by phone at 773-326-0048, by email at jeff@kerr-properties.com, or visit www.Kerr-Properties.com.

New South Loop Development - 1400 Museum Park

2005-09-19T08:49:00.000-07:00

Developers, The Enterprise Group and Central Station LLC to build 32 story building with 260 condos in the Central Station Neighborhood just south of Grant Park. The building will rise at 100 E. 14th street.

The building will have 9,600 square feet of retail space on the ground floor. The building will boast full ammenities including parking for 301 cars on the first six floors, a dog run on the sixth floor, and an exercise room and community room on the thirty second floor.

Each residentiual floor will have two 3 bed, 2 bath units; two 1 bed, 1 bath units, and six 2 bed, 2 bath units. Sizes will range from 800 to 1600 square feet and prices will range from $300,000 to $600,000.

Pre-construction sales are in progress. For more information contact Jeff Kerr by phone at 773-326-0048, by email at jeff@kerr-properties.com, or visit www.Kerr-Properties.com.

New River North Development - Silver Tower

2005-08-28T06:26:00.000-07:00

New luxury residences now being marketed at 303 W. Ohio. The Silver Tower will feature 1 and 2 bedroom residences (with and without dens) starting from the $200s. VIP marketing events are now being scheduled.

For more information contact Jeff Kerr by phone at 773-326-0048, by email at jeff@kerr-properties.com, or visit http://www.Kerr-Properties.com.

Chicago Events in September

2005-08-23T16:59:00.000-07:00

Enjoy a great Chicago event in September. Visit the City of Chicago website for event times and locations.

Jazz Music Fest Sept 1-4
Around the Coyote Sept 9-11
Celebration 2005 Sept 10
Guiness Oyster Fest Sept 10
Celtic Fest Sept 17-18
North Center Octoberfest Sept 23-25
Chicago Marathon Oct 9

For more information contact Jeff kerr (http://www.Kerr-Properties.com) at 773-326-0048 or by email at jeff@kerr-properties.com.

Best Priced Roscoe Village Brick Single Family Home

2005-08-15T16:17:00.000-07:00

Stunning brick single family home in the heart of Roscoe Village now listed at $829,999. Beautiful 4 bdrm, 3 1/2 ba located at 3242 N. Leavitt boasts great amens. From crown moldings to hdwd flrs. This home is a must see. Mbr has private balcony, fp,vaulted ceil,& lux ba w/jacuzzi.fin bsmt expands living space. The secluded porch directly off the family room is a great place to enjoy quiet evenings. 2.5 car garage.

For more info visit: http://www.kerr-properties.com/Chicago_listings/hw5fjjxeglfo.shtml.

To go directly to the virtual tour visit: http://tours3.vht.com/CBI/T1031729.

For more information contact Jeff Kerr by phone at 773-326-0048, by email at jeff@kerr-properties.com, or visit http://www.Kerr-Properties.com.

The Fordham Spire

2005-07-27T20:12:00.000-07:00

A whopping 115 stories, boldest architectural statement since the Sears Tower, with units to sell for at least $800 per square foot. Check out more info at http://www.chicagobusiness.com/cgi-bin/news.pl?id=17257.

For more information contact Jeff Kerr by phone at 773-326-0048, by email at jeff@kerr-properties.com, or visit http://www.Kerr-Properties.com.

New Bowmanville Development - The Berwyn in Bowmanville

2005-07-16T18:29:00.000-07:00

If you are looking for a high-quality new development in the quaint Bowmanville neighborhood on Chicago's north side, look no further than The Berwyn located at 5300 N. Damen. The development features 3 bedroom 2 or 3 bathroom units ranging in price from $410,000 to $435,000. Garage spaces and outdoor terraces included with some units. Contact me for details and floorplans.

For more information contact Jeff Kerr by phone at 773-326-0048, by email at jeff@kerr-properties.com, or visit http://www.kerr-properties.com/.

1031 Tax-Deferred Exchange

2005-07-16T18:13:00.000-07:00

Concept: Properties are not sold and bought but exchanged via a neutral third party. As a result taxes can be deferred.

Rules: A federal law permits you to defer the payment of capital gains taxes when you sell (exchange) property and buy (replace) it with other "like kind" property or properties of equal or greater value. Very specific rules apply.

Benefit: Deferring taxes creates extra cash for you ... additional cash on hand creaes wealth.

For a FREE 1031 Exchange report contact Jeff Kerr (http://www.Kerr-Properties.com) at 773-326-0048 or by email at jeff@kerr-properties.com.

New River North Development - The Superior at LaSalle

2005-07-16T17:58:00.000-07:00

More River North development. The Superior, developed by JFJ Development and located at 742 N. LaSalle has started presales activity. One and two bedroom units are available and range in price from $350,900 to penthouse units at $1,203,000. Contact me for details and floorplans.

For more information contact Jeff Kerr (http://www.Kerr-Properties.com) at 773-326-0048 or by email at jeff@kerr-properties.com.

Chicago Events in August

2005-07-12T07:54:00.000-07:00

Enjoy a great Chicago event in July. Visit the City of Chicago website for event times and locations.

Gold Coast Art Fair Aug 5-7
Northalsted Market Days Aug 6-7
Retro on Roscoe Aug 13-14
Air and Water Show Aug 20-21
Michigan Avenue Arts and Crafts Aug 26-27
Latin Music Fest Aug 27-28
Bucktown Arts Fest Aug 27-28

For more information contact Jeff kerr (http://www.Kerr-Properties.com) at 773-326-0048 or by email at jeff@kerr-properties.com.

More Streeterville Madness

2005-07-11T16:27:00.000-07:00

So not only will about 3500 new condo units spread across 13 new buildings come on the market in Streeterville within the next two years but it looks like the planned buildings are creating a buzz in the architectural community. According to an article in the Trib, the new buildings will be ultra-modern and feature glass and metal over bricks and concrete. It seems that "bland" buildings are dead. Many of the units feature floor to ceiling glass windows which is supposed to create a more livable environment woth more light and better views.

It is reported that one force influencing contemporary design comes from the mayor himself. While it is reported that he didn't like contemporaty architecture before, he is now a fan. Maybe because he now resides in one if the cities newest luxury contemporary buildings with a vew of the bean.

Why Streeterville? It seems as if this is the only place with vacant sites near the lake and river. Not to mention that Streeterville is in the center of everything with great city views. Early reports are that the pre-sale market is very strong. Keep an eye open to see if this trend continues.

For more information contact Jeff kerr (http://www.Kerr-Properties.com) at 773-326-0048 or by email at jeff@kerr-properties.com.

Chicago Events In July

2005-07-07T15:18:00.000-07:00

Enjoy a great Chicago event in July. Visit the City of Chicago website for event times and locations.

Lake View Arts and Music Fest July 2-3
Clark Street Fair July 9-10
Outdoor Film Fest July 12-Aug 23
Old St. Patricks Block Party July 15-16
Dearborn Garden Walk July 17
Sheffield Garden Walk July 23-24
Venetian Night July 30
Taste of Lincoln Avenue July 30-31

For more information contact Jeff kerr (http://www.Kerr-Properties.com) at 773-326-0048 or by email at jeff@kerr-properties.com.

Parking Lot on North side of River North Lofts to be Developed

2005-06-20T17:52:00.000-07:00

While searching for a loft for a client, I spoke to a homeowner selling his condo in the River North , 300 W. Grand, lofts. Rumor has it a new development will rise in the parking lot north of the building. Over the past several months several units have been put up for sale on the north side of the building. Could this be why? What will happen to the great urban views the units currently have? Check back for more info.

Contact me if looking to purchase a loft. For more information contact Jeff kerr (http://www.Kerr-Properties.com) at 773-326-0048 or by email at jeff@kerr-properties.com.

New Opera Lofts Conversion in Bronzeville

2005-06-20T17:25:00.000-07:00

Located at 2559 S. Dearborn, the warehouse that the Lyric Opera of Chicago used as a set design shop will be converted into 93 condos. The building was purchased for $2 million and another $13 million will be poured into the conversion project. The building was rezoned from commercial to residential use last month. Prices will range from $165,000 to $395,000 for a penthouse unit.

Condos will have the folllowing profiles:

1 bed/1 bath - 830 to 900 square feet
2 bed/2 bath - 1,050 to 1,200 square feet
3 bed/2 bath - 1,280 to 1,500 square feet

For more information contact Jeff kerr (http://www.Kerr-Properties.com) at 773-326-0048 or by email at jeff@kerr-properties.com.

What's in a Zip Code?

2005-06-16T18:59:00.000-07:00

A zip code can tell a lot about how much a home has (amd may) appreciate. The top 5 Chicago area zip codes for home price appreciation are as follows:

Zip Code, Appreciation, Median Price, Community Areas
60302, 88.2%, $412,000, Northern Oak Park
60639, 86.0%, $248,000, Belmont Cragin, Hermosa, Humboldt Park
60618, 84.4%, $377,000, Avondale, Irving Park, North Center
60634, 84.3%, $280,000, Dunning, Portage Park, Jefferson Park
60659, 84.0%, $342,000, North Park, West Ridge

For more information contact Jeff kerr (http://www.Kerr-Properties.com) at 773-326-0048 or by email at jeff@kerr-properties.com.

Interest Only Loans Good or Bad?

2005-06-13T16:52:00.000-07:00

As a real estate professional I am often asked whether interest only loans are a good or bad thing. There is no black and white answer here as the product was not designed for everyone. They are good for certain buyers/situations and wrong for others.

An interest only loan is simply a financial product (like a mutual find, annuity, insurance policy, etc.) invented by financial professionals to meet a specific type of client financial need. Apply the product to an improper situation and disaster can occur.

Let's break down the basics of the loan:

The initial interest rate is often very low which can be very attractive.
The buyer (borrower) usually only pays the interest portion of the monthly mortgage payment for a set number of years (3, 5, 10). Remember that during the initial years the principal portion of the loan are much smaller then the interest portion.
When the set period expires the buyer starts paying principal and interest at an accelerated rate. Monthly payments will jump significantly.

Do the above basics seem like they meet your situation? Have you consulted a loan consultant to run some scenarios for you?

For more information contact Jeff kerr (http://www.Kerr-Properties.com) at 773-326-0048 or by email at jeff@kerr-properties.com.

The Cabrini Green Scoop

2005-06-13T16:31:00.000-07:00

Demolition of the remaining towers will continue after a three-year stoppage. An estimated 1700 residential units could be added to the area.

For more information contact Jeff kerr (http://www.Kerr-Properties.com) at 773-326-0048 or by email at jeff@kerr-properties.com.

Condo Glut Looming in Streeterville?

2005-06-10T18:03:00.000-07:00

Chicago's Streeterville neighborhood (technically defined as Grand on the North, Chicago River on the South, St. Clair on the West, the Lake on the East) is expected to add 3,000 or more condominiums. All projects will not begin development this year as developers need to pre-sell enough units to secure a construction loan. Key developments on the drawing board include:

401 units @ 600 N. Lake Shore Drive (Belgravia Group Ltd./Santz Development Co.)
133 units @ Avenue East (Residential Homes of America)
350 units @ Lake Shore Drive/Grand Avenue (Residential Homes of America)
210 units @ 600 N. Fairbanks Court (Brixton Group Ltd.)
165 units @ 150 E. Ontario (Monaco Development LLC)
1000 units @ Cityfront Center (Centrum Properties Inc.)
270 units @ Park View (MCL Cos.)
505 units @ 474 N. Lake Shore Drive (A division of Equity Marketing Services Inc.)
112 units @ 550 N. St. Clair St. (Sutherland Pearsall Development Corp)

What is driving the boom according to some area experts ... the influx of retail into the area. A megaplex cinema opened several years ago and a Dominick's Finer Foods will open this year. Gourmet grocer Fox and Obel (www.foxandobel.com) has been there for several years. Area experts are scratching their head and asking when is enough development enough? Guess we will need to wait and see the impact on new unit and resale market prices.

For more information contact Jeff kerr at 773-326-0048 or by email at jeff@kerr-properties.com.

Crains Chicago Business
April 11, 2005

New River North Condos Near Brown Line

2005-06-10T16:31:00.000-07:00

Oakbrook based developer, Woodlawn Development LLC will build a 235 unit condo building with 12,000 square feet of retail space in Chicago's River North area. The project will be located at 303 W. Ohio between Franklin and Orleans. The $70 million mixed-use development will feature 60% 1 bedroom units and 40% 1 bedroom units with dens. The units will range between 750 to 1,250 square feet and be priced from $250,000 to $500,000. Each unit will feature 10-foot floor to ceiling windows and outside access via terrace or balcony.

For more information contact Jeff Kerr at 773-326-0048 or via email at jeff@kerr-properties.com.

Chicago Tribune
Real Estate
June 5, 2005

Welcome to Chicago Real Estate Blog

2005-06-08T17:00:00.000-07:00

Welcome to the Kerr Properties Chicago Real Estate Blog. This is a new section and will feature new developments and residential real estate happenings throughout Chicago. Check back for updates.