Own a Piece of Chicago

Chicago Real Estate Information

Time to Get Off the Fence!-(July 28,2008)

Much of the news lately has been focused on rising inflation in the country.  To control the rate of inflation, the Feds tend to increase interest rates.  The increase of interest rates makes borrowing more costly and slows spending.  Since February, interest rates for a 30-year mortgage have shown a steady increase.

Currently many home buyers are waiting for the “bottom” of the market to make their home purchase and get what they think is the best deal.  Unfortunately, if buyers wait to get the lowest price for a new home, their interest rates may be higher and the home may actually cost them more than if they would have purchased sooner.  Below is an example that demonstrates the risk of waiting for the “bottom” of the market while interest rates increase.

Example 1:

A home purchased today for $300,000 with a 30-yr fixed loan at 6.0% interest.

Example 2:

The same home purchased after a 5% reduction at $285,000 with a 30-yr fixed loan at 7% interest.

As you can see, by waiting for prices to reduce further, with the current increase of interest rates, you are risking paying more for your home.  In the example above your payments would increase $97.46 monthly and $1,169.52 annually if you wait for the so called “bottom” of the market.

If you are considering buying a home, it’s time to get off the fence and buy sooner, rather than later.  Call me today, 312.450.4644, to discuss your home search and set up property showings.  If you have questions about interest rates or to get pre-approved for a loan, call Baird & Warner’s, Senior Loan Consultant, Marty Hill at 773.697.5625.

**Purchase and finance a home through Baird & Warner (Ben Beaty & Marty Hill) by the end of 2008 and receive a $500 closing credit!

If you have any questions or would like to discuss this further, please do not hesitate to contact me.

Chicago Transfer Tax Increase-(March 5, 2008)

As of April 1, 2008, buyers of real estate in Chicago will be paying a 40% higher transfer tax. On February 6, Chicago Aldermen voted to increase the Chicago transfer tax for real estate from $7.50 to $10.50 per $1000 of the purchase price. The tax increase was passed to rescue the Chicago Transit Authority and fund employee pensions. Before the tax hike, a person buying a home in Chicago for $350,000 would have paid $2625.00. After April 1, the same buyer will pay $3675.00 for the real estate transfer tax.

UPDATE: The burden of the transfer tax increase was passed on to the seller. Buyer's will continue to pay $7.50 per $1000 of the purchase price to the City of Chicago.

Winter Home Buying Advantages-(November 15, 2007)

Traditionally the holiday/winter season has been a time when home sales decline. Days are getting shorter and the weather is getting colder. People don’t want to trudge around in the wind and cold. But as a buyer, this may be the best time to purchase a home! Less competition, low sales prices, and tax advantages are just a few of the reasons to buy a home now. Here are some great reasons to buy a home in the upcoming months.

1. Better Service. As your personal real estate expert, I can spend more time with you during the holidays than I can during the busier times of the year. I am available 7 days a week to assist you in finding your new home. Also, lenders, home inspectors, appraisers, title companies and others involved in the transaction will also have more time and be easily available during this time.

2. Less competition. There are fewer buyers during the holidays, which results in fewer bidding wars meaning a better chance of getting the home you want.

3. Motivated Sellers. Many sellers who failed to sell their home before the holidays will be very motivated now!

4. Tax Advantages. When you buy a home before the end of the year, you will be able to report items such as mortgage interest, points, closing costs, and property taxes on your return.

5. Lower Mortgage Terms. With fewer homes on the market, lenders may be willing to lower your interest rate they offer or forgo some of their fees to get your business.

6. Lower Sales Prices. If you wait until spring, you’ll likely pay much more for your home. Now is the time to buy!

Call me today to discuss your home search and schedule showings. Also, ask me about my buyer incentive bonuses. I look forward to helping you find your new home!

Sincerely,

Ben Beaty    312.450.4644
 

Why Use a Realtor?-(November 5, 2007)

1. Your REALTOR can help you determine your buying power

2. Your REALTOR has many resources to assist you in your home search.

3. Your REALTOR can assist you in the selection process by providing objective information about each property.

4. Your REALTOR can help you negotiate.

5. Your REALTOR provides due diligence during the evaluation of the property.

6. Your REALTOR can help you in understanding different financing options and in identifying qualified lenders.

7. Your REALTOR can guide you through the closing process and make sure everything flows together smoothly.

8. When selling your home, your REALTOR can give you up-to-date information on what is happening in the marketplace and the price, financing, terms and condition of competing properties.

9. Your REALTOR markets your property to other real estate agents and the public.

10. Your REALTOR will know when, where and how to advertise your property.

11. Your REALTOR can help you objectively evaluate every buyer's proposal without compromising your marketing position.

12. Your REALTOR can help close the sale of your home.

(Source: www.Realtor.com)

Don’t Lose Equity to Foreclosure -(October 23, 2007)

In today’s market, more and more people know someone who is struggling with their  mortgage payment as a result of a sharp increase in their interest rate or other loan factors.  

If you know someone who is facing a possible foreclosure, I have information that can help. And the sooner we act to help someone in this position, the better the outcome. Because once a house starts to go into foreclosure, it can be difficult to stop and the ramifications can be long lasting:

• the owners may face substantial late fees
• the owners may loose all of their equity
• the owners may suffer with a mark on their credit that will take years to erase

But, this does not have to happen. There are a number of effective strategies to help the homeowner forestall a foreclosure. Renegotiating the loan is one possibility. Two other options are a short sale (sell for less than the loan amount with bank approval), or a quick sale (sell for more than the loan amount but at a lower, more attractive market price). 

As a full service real estate agent, I am committed to help clients with all their housing needs. Whether it is to help preclude a foreclosure, pull equity out of their home for investment properties, or assist them in either finding a new home or selling their current one, I have the knowledge and the expertise to make the process go smoothly.  

Foreclosure is a nationwide problem, but it’s also in our own backyard. If I can help you or anyone you know hold on to their home (or minimize their losses), please call or email me. I appreciate the opportunity to be your trusted real estate resource.

Warm regards,

Ben Beaty

FREE Money from the City of Chicago-(September 25, 2007)

Did you know the City of Chicago offers FREE money to qualified first-time home buyers?  They do!  You can receive a gift of up to 4% of the purchase price of your home at closing.  This 4% can be used towards your down payment or your closing costs.  4% can be enough to cover all of your closing costs and you could even receive a check for the excess to take with you.  Most home buyers are unaware of this program and many Realtors don't know either.  Click HERE to find out if you qualify for the City Mortgage Program.

You don't have to be a first-time home buyer to qualify for free money from the City of Chicago either. Chicago police officers, firefighters and paramedics can receive up to $7500 from the City for down payments or closing costs!  Click HERE if you are a Chicago police officer, firefighter or paramedic.

Chicago Public School Teachers can also receive free money!  CPS teachers can receive up to $7500 in home buyer assistance.  Click HERE if you are a Chicago Public School Teacher.

If you have any questions about the City of Chicago assistance programs, please call me (312.450.4644) and I will put you in touch with a mortgage broker who knows the ins and outs of the programs.  With all of this free money available, there is no reason not to buy a new home!

It's a Buyer's Market!-(September 4, 2007)

What is a Buyer's Market?

• Interest Rates are low

• Market time has increased for listings (making sellers more flexible in negotiations)

• There is an abundance of property currently listed making competition not much of an issue (very few multiple offers)

• Buying power has increased for those looking to purchase real estate

• Purchasing real estate for non-inflated prices=outstanding investment

• Property will still show a 5 to 12% ROI (return of investment) annually

• Get in low and go out high, that's the type of market we're looking at today!

Let's find a home (an investment) that suits you best!

JUST LISTED-(August 24, 2007)

243 S. Maple Ave.  Unit F     Oak Park, IL  60302

3 Bedroom/2.5 Bathroom Townhome

$379,800

Seller offering $2500 towards closing costs!

Call 312.450.4644 For More Info, or

http://findchicagoproperty.com/243maple.php

Site Introduction-(August 20, 2007)

Hello!  I have created this section/blog of findchicagoproperty.com to inform consumers about various real estate topics.  I'll be submitting posts at least once a week, that can cover the following topics: Chicago real estate market, National real estate market, my personal experiences, home buyer and home selling information, mortgage information and anything else that comes up along the way that I'd like to share.  I encourage people to contact me if they have any questions or would like me cover a particular topic.  Send me an email to ben@continuumbrokers.com and let me know what's on your mind.

My business motto and title of this section is Own a Piece of Chicago.  Chicago is a beautiful city made up of numerous diverse neighborhoods.  It is amazing how a  neighborhood can change so dramatically from one block to the next.  Numerous landmarks, museums, parks, festivals and activities make Chicago a great place to live.  We all can't own these great features of Chicago, but we can buy a home here.  Real estate is probably the best investment anyone can make, and I encourage everyone to Own a Piece of Chicago.