December 16, 2009 – Since it’s been a little over a month since you told you about Chicago real estate developer Belgravia Group offering what they are calling an installment plan on Chicago condos at 565 Quincy, we thought we’d remind you and give you some numbers to crunch.

With this installment plan, which is similar to a rent-to-own offer, a potential buyer is actually purchasing the condo instead of leasing it first with the option to buy later. This way, a good chunk, around 50% actually, of the monthly payments are applied to the purchase price. It can be a win-win arrangement for both developer and buyer. The developer gets to count the transaction as a sale instead of a lease and the buyer is making headway towards paying for his or her condo from the start. Take a look at the examples below to get an idea of what kind of list prices and payment plans Belgravia is taking about.

Junior one bedrooms are priced in the $210,000s to $260,000s with monthly installments from $1,700 to $2,015. One bedroom lofts are priced from the $260,000s to $290,000s with monthly installments between $2,020 and $2,220. For the one bedrooms plus den, you can expect to pay from the $250,000s to $360,000s and have monthly installments anywhere from $1,980 to $2,790. And the two bedroom condo lofts at 565 Quincy are priced from the $340,000s to $450,000s with monthly installments running from $2,620 to $3,470.

So if you’re shopping for Chicago lofts, you may want to check out 565 Quincy and see what they have to offer.

[tags]565 Quincy, Chicago Lofts, Chicago Real Estate[/tags]

December 15, 2009 – Closings on the Chicago condos at Silver Tower have been in progress since around the Fourth of July this past summer. The 40 story River North tower has 233 units and the last sales figures made public put those condos at around 67% sold, although not all of those have closed yet. Right now though, marketing agents at @Properties are advertising some price cuts of around 10% on a few of the remaining units.

Silver Tower is located on 303 West Ohio Street. MB Financial had been offering 4.375% fixed interest rates on 30 year condo loans with 5% down at this high-rise. Although that offer expired back in mid October you might still be able to get financing with them.

The condos at this Chicago real estate development come with floor-to-ceiling windows, oak hardwood flooring and a balcony or terrace. The kitchens have stainless steel kitchen Aid appliances, maple or cherry cabinets, granite counter tops and a double sink. Master baths at Silver Tower have marble flooring and vanity tops, large soaker tub and glass shower surround.

Building amenities include a fitness center in the Sky Lobby, landscaped garden and patio, 24 hour doorman, individual storage lockers, bike room and welcomes pets.

There are plenty of other Chicago Condos for sale in River North right now, so you may want to so some price checking before you make a short list of sales centers to visit.

[tags]Silver Tower, Chicago Condos, Chicago Real Estate[/tags]

December 14, 2009 – Ever since R+D659 lowered the prices on their remaining Chicago condos back in the fall in what the developer called a “massive price reduction,” supposedly more than one hundred units went under contract. It’s harder to pinpoint how many of those have closed, but it does look as though prices at this Chicago real estate development have been lowered again according to information on the project website.

The one bedroom condos that had been priced from $246,000 are now listed at $184,000. One bedroom plus den units that were being marketed from $402,000 are now advertised from $279,000. And the two bedroom condos that were priced at $438,000 have been dropped to $334,000. Free parking is also included in the purchase price.

There are more than 20 floor plans for the 236 condos at the 17 story R+D659, so you should be able to find something that suits your needs. The condos come with 9′ to 12′ ceilings with oversized windows. According to the developer, the tower was designed so that natural light can reach 75% of all interior space. The kitchens are European with stainless steel appliances and granite counter tops. Hardwood flooring, carpet in the bedrooms and natural stone in the baths are standard. The building also comes with a sun deck, party/entertainment room with catering kitchen, business center, lounge and swimming pool and grilling area plus a dog run.

And if you’re more interested in Downtown Chicago Condos rather than West Loop towers, be sure to check out the units available there as well.

[tags]R+D659, Chicago Condos, Chicago Real Estate[/tags]

December 12, 2009 – Since we’ve been taking a look at the Chicago real estate developments that have been trying to squeeze in closings before the end of the year, we thought we’d do a refresher on Astoria Tower. There is still a good selection of Chicago condos available for sale at this 30 story high-rise located on 8 East 9th Street. Floor plans for the 248 total condos range from studios to two bedroom units, and the condos measure up at around 527 to 1,406 square feet. Although construction isn’t completely finished yet, a portion of the units are ready for buyers to move in right now.

Prices on the remaining Astoria Tower condos are pretty competitive, too. For a studio you can expect to pay anywhere from about the $160,000 and up. One bedroom condos run from the $190,000s and up while the larger two bedroom units start in the $320,000s. If you work with the developer’s preferred lender, you may be able to get 95% financing as well.

Interior finishes for the Astoria Tower condos include oversized windows for plenty of natural light, 9′ ceilings, hardwood floors, carpeted bedrooms, stainless steel kitchen appliances and 42″ wood cabinets. Baths have tiled flooring, granite counter tops, soaker tubs and some come with glass shower surrounds. Other perks include wash/dryer hook-up, wiring for high speed Internet, phones and cable television.

Building amenities include a 24 hour doorman, roof top sun deck, movie room, fitness center, business center, billiards room and golf simulator. The spa services offered include sauna, whirlpool, indoor pool and massage room.

Besides Astoria Tower, there are other
Chicago New Construction Condos for sale in the South Loop that may interest you.

[tags]Astoria Tower, Chicago Condos, Chicago Real Estate[/tags]

December 11, 2009 – Yesterday we gave you a run down on the temporary and permanent changes that FHA is making in its approval process. So today we thought we’d update you on the federal government’s plan to streamline the short sale process. For owners of Chicago condos this may not be good news because if your lender or mortgage holder agrees to a short sale it could keep you out of foreclosure and lessen the damage to your credit rating. And for anyone interested in purchasing distressed Chicago real estate it may make the process easier and faster.

Basically a short sale is when the bank agrees to accept less than what is owed on a condo or home. This is sometimes agreed upon before foreclosure and after its apparent that the borrower can’t keep up with monthly payments.

The new terms for the standardized short sale program that was outlined in a Daily Herald – Washington Post article is that homeowners will get a one time relocation incentive of $1,500 after a short sale is completed. Another perk according to the article is that mortgage servicers can get $1,000 per short sale and investors can get $1,000 as well. The only drawback in the new plan is that second lien holders will only be reimbursed a maximum of $3,000 per short sale profits.

Bank of America senior VP Dave Sunlin was quoted as saying that, “We’re very pleased. We welcome any effort to reach standardization for all parties.”

So if you’re a Chicago condo owner who is having financial difficulty and can’t get your mortgage refinanced, you may want to consider discussing a short sale with your lender. And for anyone who is shopping for Cheap Chicago Condos, you may want to keep up with any Chicago short sales offered in your area.

[tags]Chicago Short Sales, Chicago Condos, Chicago Real Estate[/tags]

December 10, 2009 – We now have more news about the temporary requirement changes that FHA is implementing and that may have significant effects on Chicago real estate and sales of Chicago condos. The new rules will make it more difficult for developers to get their projects approved, and that in turn will make it more difficult for some first time homebuyers to get an FHA backed mortgage. With financing already tight, the timing of these changes could have a noticeable impact on sales.

According to an article in the Sun Times, these changes will supposedly help condo buyers get qualified, but the article also states that many believe it will make it harder in the long run for developers and even condo associations. Some of the changes are temporary and some are permanent. We’ll list them below.

The temporary FHA changes include lowering the pre-sale requirement to 30% from the old 50% of units. Another is that the 50% owner occupancy rule will now not include vacant or tenant occupied condos in the total. There will also be a temporary hike in the amount of FHA backed loans allowed in one building. Previously only 30% was allowed and now it will be raised to 50% with some buildings even qualifying for 100%.

Some of the permanent changes to FHA rules include only 10% of the condos may be owned by one person or investor and only up to 15% of the condos can be a month or more behind in association fees. Also, condo associations have to have a minimum of 10% of their budgets put back in a reserve fund. And lastly, according to the article, loans may be approved when condo associations have a right to reject a potential buyer as long as no discrimination is involved.

David Hanna, previous president of the Chicagoland Association of Realtors was quoted in the article as saying that, “What the government gives with one hand, it takes away with the other.”

But Joanne Kuczma of the FHA mortgage insurance department was also quoted as saying that, “We believe that we have a balanced policy that is flexible … yet will help us manage and mitigate the risk.”

Statistics indicate that with FHA backing about 25% of all new loans, around 18% of those are behind in payments or already in the foreclosure stage. Raising the 3.5% down payment to 5% may weed out some potential buyers, but hopefully FHA mortgages will still provide a viable source of financing for sales of Chicago Condos.

[tags]FHA Mortgages, Chicago Condos, Chicago Real Estate[/tags]

December 9, 2009 – According to reports from the developer, Ten East Delaware is still on track to start closings on the new luxury Chicago condos there before the end of this month. The 35 story, 121 unit Lucien Lagrange high-rise is still under construction, but the website for this Chicago real estate project has promised fall 2009 deliveries for some time. It’s a bit past fall, but we may see some action pretty soon.

The main selling point that has been hyped for Ten East Delaware is the al la carte hotel services offered. These will be provided by the Talbott Hotel next door and only on an asked-for basis, which is intended to keep assessments down on these units. Services that will be offered to residents include catering (even pool side when the weather warms up again), housekeeping room service and porter service.

Condo finishes include kitchens with Sub-Zero stainless steel appliances, Grohe faucets, natural stone counter tops, marble baths with Toto sinks, hardwood flooring and custom cabinetry.

The Ten Club is a private amenity floor with a swimming pool, sun deck, landscaped gardens, fitness center and party/event room.

Prices on the remaining condos at Ten East Delaware have held their ground, running anywhere from the mid $550,000s on up to around $2.7 million for a penthouse unit. As far as Gold Coast Chicago Condos are concerned, this development is pretty much in line with pricing and amenities.

[tags]Ten East Delaware, Chicago Condos, Chicago Real Estate[/tags]

December 8, 2009 – We already told you about the talks last week between the AFL-CIO representatives and Garrett Kelleher of Shelbourne Development about the future of the Chicago Spire. According to a new article in the Wall Street Journal, Tom Villanova who is president of the Chicago and Cook County Building and Construction Trades Council states that a loan deal could be announced sometime in the “coming days.”

How long that may be is anyone’s guess, but Shelbourne spokeswoman Kim Metcalfe was quoted in the article as saying that, “We are obviously in an extremely good position with more than 30% of the units sold and $194 million of Mr. Kelleher’s personal money in the building.” Ms. Metcalfe also said that the construction costs for the 150 story Spire would be significantly less than the widely estimated $2 billion. She believes that if a deal is reached in the nest few days that electrical and water work will start up again in January on the high-rise.

Mr. Villanova again stressed that the potential $170 million loan to pay off the Anglo Irish Bank and all of the liens against the Spire is about creating work for union members. There are 24 construction and trade unions with around 100,000 members. The AFL-CIO pension fund loan would put them in the driver’s seat on this Chicago real estate project and create work exclusively for union members.

Mr. Villanova told the WSJ that, “It’s about jobs for my members.” The Spire project could generate as much as 7.5 million hours of labor over four or five years. The article states that equals about 900 full time construction and trade jobs for the next several years. It may be a big investment in money, but it could also mean a big return for workers.

We may very well have an answer about the future of the Spire sooner rather than later. But until then, if you are shopping for Chicago condos, there are plenty of Chicago Luxury Condos already built and waiting for a buyer.

[tags]Chicago Spire, Chicago Condos, Chicago Real Estate[/tags]

December 7, 2009 – It was only a few posts ago that we told you about the drop in average rents for Chicago apartments. This was attributed to the growing number of Chicago real estate projects that have switched to rental and the increasing number of Chicago apartment towers that are either already completed or will be in the next year. Add in the Chicago condos that are up for rent and you have a supply and demand issue.

But now Crain’s is reporting that suburban Chicago apartment rents have gone up slightly in the third quarter of this year. Don DeVries, VO of Appraisal Research Counselors, was quoted in the article as saying that suburban rents, “appear to be stabilizing.” He also stated that, “If we could just get some employment growth, we could be in a much better position for the spring rental market.”

Appraisal Research Counselors reported that suburban apartment occupancy increased to 92% in the third quarter of this year. That number is up from the 91.7% of the second quarter. Even with the increase though, it is lower than the 92.8% occupancy rate of the third quarter of last year (2008).

Suburban rents also went up slightly, with averages being $1.07 per square foot. That is a penny more than the $1.06 of the first quarter of this year. Not much of a gain there.

With the surplus in both Chicago apartments and Chicago Condos, renters and buyers should stay in the driver’s seat in Chicago real estate for a while yet.

[tags]Chicago Apartments, Chicago Condos, Chicago Real Estate[/tags]

December 5, 2009 – Continuing our partial overview of Chicago real estate developments that are FHA approved right now includes a couple of Museum Park towers. 1400 Museum Park, located on 100 East 14th Street, still has some two bedroom condos that are currently being marketed between the $460,000s and the $490,000s. If you want a bigger condo at this tower, there are three bedroom units that are running anywhere from the high $590,000s to high $790,000s.

At 1600 Museum Park on 1629 South Prairie Avenue you can get a one bedroom Chicago condo for anywhere from the low $310,000s to mid $750,000s. If you are interested in a two bedroom unit here you can expect to pay anywhere from the mid $360,000s to mid $750,000s. And a three bedroom condo will set you back anywhere from the low $610,000s to mid $660,000s.

The prices at the Marquee Michigan Avenue on 1464 South Michigan Avenue may be some of the lower ones in this group of FHA approved condo buildings. The one bedroom units there run from the low $210,000s to upper $270,000s. Two bedroom condos at the Marquee are listed right now from the high $280,000s to high $390,000s. And three bedroom units are running from the $430,000s to high $970,000s.

And Lennar Homes really pushed the advertising about their FHA approval of Library Tower, located on 520 South State Street. The developer ran all kinds of promotions and incentives over the past summer, including free parking and price cuts. Right now though the one bedroom condos there run anywhere from the $270,000s to 280,000s and the two bedroom units are around the $320,000s to $730,000s.

There are of course many more Chicago New Construction Condos that are FHA approved and more are being added to the list all the time. Check back here regularly for updates.

[tags]Library Tower, Chicago Condos, Chicago Real Estate[/tags]