Under Contract Within Days for Now Bank Owned Wrigelyville Rowhouse: 1016 W. Grace
We actually chattered about this 3-bedroom rowhouse at 1016 W. Grace in Lakeview in July 2010 when it was in short sale and was listed just $140,000 under the 2005 purchase price.
See our July 2010 chatter here.
Since then, it was withdrawn from the market and is now bank owned.
It came back on the market just 4 days ago at 49%, or $410,000, under the 2005 purchase price and is already under contract.
From the pictures it appears that the kitchen and bathrooms are intact.
The kitchen has white cabinets, stainless steel appliances and granite counter tops and backsplash.
All three bedrooms are on the third floor.
It is also one of the larger types of townhouses, with 3 baths and a 2 car garage.
In our prior chatter, no one had any guesses as to its ultimate sales price. Everyone simply complained about how much was paid for the property in 2005.
Did someone get a deal on it in 2011?
Jack McCabe at Coldwell Banker now has the listing. See the pictures here.
1016 W. Grace: 3 bedrooms, 3 baths, 2 car garage
- Sold in November 2005 for $839,000
- Originally listed in September 2007
- Was listed in January 2008 for $939,000
- Reduced
- Listed in October 2009 for $769,000
- Lis pendens filed in January 2010
- Reduced
- Was listed in July 2010 as a “short sale” for $699,000
- Bank owned
- Currently listed for $429,000
- Under Contract within days
- Fee simple
- Taxes of $10,669
- Central Air
- Bedroom #1: 17×14 (third floor)
- Bedroom #2: 12×11 (third floor)
- Bedroom #3: 11×10 (third floor)
Wow, assuming no major issues with the property, that’s a great deal – you can always get the taxes reassessed.
Great deal!
Unfortunately we’ll probably be seing it listed as a “win-win” flip deal for $599k after it receives a paint job.
Winner! Winner! Chicken Dinner!
On another note, how is the square footage for this property only –
1494 sg ft? It seems many single floot flats quote higher figures than that.
Wow. not a fan of wrigleyville, but this seems like a great deal.
“On another note, how is the square footage for this property only –
1494 sg ft? It seems many single floot flats quote higher figures than that.”
Footprint looks to be ~20×40, so that’s a reasonable count for 2 floors, deducting for stairs or walls. There is of course a 3d level, so it should be ~50% greater in actual SF. Bet the 1494 is from the assessor and excludes the (totally above grade) “basement”.
$2,731 a month is what the coldwell banker website claims is the PITI at 5% interest with 20% down.
$2,700 is month is a bit pricey for my tastes, especially to live a block from Wrigley; but to live in relatively spacious new construction in a high density area with lots of apartments, flats and few SFH,- this is probably one of the better – if not the best – ‘deal’ in the vicinity.
HMMMM,
i wonder if the was an insider type of thang the where the listing only hit the market as a “formality”,
i think even HD would pay 400k for this.
Fortunately for us, every day there seems to be better and better deals out there and they all sell relatively quick. Soon enough, soon enough I promise you, every property that sells will be a ‘deal’ comparable to this one, and most assuredly even better deals with arise.
A really nice place for the LISTED price as long as there are no frozen pipes!
Grove77 – like G says, this is merely a knifecatcher’s sign post on the precipitous decline in price. This property is a ‘deal’ for today and better deals with eventually appear. Right? Its like every day now we’re seeing more and more deals….and like they, if the camel puts his nose in the tent, it’s just a matter of time before the camel is in the tent; if properties here and there are ‘deals’ eventually they’ll all be deals.
come on HD this is way below rent parity, this is a deal
(if of course it sells at ask price and not way above, and of course if there’s no extreme structural problems like mold or frozen pipes)
hmm all I can think of for this location is…”hmmm urinal fresh…”
Yes, good deal! Congrats to the buyer! Not my location preference but nice for current price
“like G says, this is merely a knifecatcher’s sign post on the precipitous decline in price”
i know the hienz 57 tells us good things come to those who wait, but you aint winning the lottery unless you buy a ticket.
anyone think this is at rent parity, I am always curious about this high end rental market. How many people really exist in this market anyway (3K+ a month)
Very obvious (1 day market time) plant to investor who received listing prior to MLS.
Yet more shameful stuff from the industry whose shadiness know no bounds. And yes you can pick the bank or the REO agent for that last comment.
HD,
i am not saying this is a deal of the century or that it wiil/or wont decline.
but if a person dead set on wrigley (dear gosh why?) and was looking at the 3br places at what point do you not think this is not a top option even if the buyer would like to move in 7 years. shoot even in 5 years the gal/guy could rent to cover costs.
sometimes its not about knife catching in an accounting/book standpoint its about living life and doing it with out financial discomfort. 2700 is more than i would ever pay but for the area this units size, parking, and newness isnt it on par?
Anyone think this low price was deliberate to cause a quick 24 hour bidding war? It will be interesting to see what this property closes for.
Given that Clio combs the MLS every day for deals, it is highly possible this is his new place.
AMAZING DEAL @ $429k! Just the parking alone is worth $30-50k!!!!
I’m a life long renter. I was skeptical enough to save myself a lot of money by renting over the last 5 years. Believe me, it wasn’t easy when subordinates were flipping houses for profits.
Sadly, it looks like I’m now missing out on the upswing. There have been some great deals sprinkled in along with less attractive, less willing sellers. How do we get our hands on deals like this? Do we have to have a network of real estate agents or do we have to have connections at the banks???
I think Clio’s said he has to sell his albatross first before he can buy elsewhere.
Insider deal, listing was a formality.
“Given that Clio combs the MLS every day for deals, it is highly possible this is his new place”
This area is not even on my radar – the place is really nice but the area is a bit scary and questionable (in my opinion). The place featured yesterday on Dayton would definitely be a better deal (in my opinion). Of course, I am also the idiot that bought a ridiculously expensive 1850 sq ft place with a view of run down motel rooms – so maybe my opinions should be taken with a grain of salt!!!
“Fortunately for us, every day there seems to be better and better deals out there and they all sell relatively quick. Soon enough, soon enough I promise you, every property that sells will be a ‘deal’ comparable to this one, and most assuredly even better deals with arise.”
Wrong. These deals will only exists for insiders or investors who buy multiple properties with cash and give the banks no hassles. REO agents just go back to investors who have already brought properties from them for cash. They make money by volume and don’t want to deal with average Joes who want to live there and have questions for them, etc…
a local is correct in my opinion. Even a regular buyer with a cash offer at or above the ask wasn’t likely going to be able to win this one, unless perhaps you’re friends with the listing agent. All just my opinion of course…
This was a good deal as I know that the builder did not take the shortcuts that many did in the last ten years. Congrats to the buyer/flipper who won this race.
How can it be under contract this quickly? Banks take months for this process to happen.
Wow, all the put-downs of Wrigleyville here…what are youse guys, a buncha Sox fans who are jealous that they don’t have cool places like this within walking distance of Da Cell?
Locationlocationlocation guys! Bet this place was scarfed up in a hurry by a family who lubs da Cubs and can hardly wait till Opening Day.
I’m only partly kiddin’ here.
There is a slight error in the description. It says under contract in days. This one actually went under contract in about 3 hours.
“How can it be under contract this quickly? Banks take months for this process to happen.”
Foreclosed properties owned by the bank usually work as “normal” listings. There is no “waiting” for bank approval- because the bank has already given it by the list price. Bank owned properties usually sell pretty easily. It is short sales that can take months and months (sometimes) as you’re waiting for bank “approval.” It’s amazing how much quicker the process is once the bank actually owns the property.
I had a client call me about this property at 8:30AM when it went on the market, we toured the home at 10:30AM, and it was off the market by the time we had completed the tour and were ready to submit an offer. I suspect (speculation) someone who had written a contract on it during it’s previous life as a short sale jumped on this one quickly.
If it looks like a duck, walks like a duck, quacks like duck…
It was an insider deal.
I once saw a posting for a job with the city of chicago posted at 9:00 am and I called at 10:00 am and they told me the job had already been filled. I said, but you just posted this an hour ago? And the woman on the other line just laughed.
Between nonsense like this and the 5.25% income tax hike, the way to live is to give yours. Just watch out for the feds.
Between nonsense like this and the 5.25% income tax hike, the way to live is to GET yours.
+1,000,000 homedelete. That’s Chicago…
On that tax hike – what are we really paying for? — pension benefits for public employees. If people really understood how much public workers are paid, when you factor in the huge guaranteed pensions, then I think there would be an outcry. But people just don’t understand the economics and the public employee unions are exceptionally strong political forces as well…
I think people feel helpless. There are really two small constituencies that vote for cullerton/madigan and they run the state. those people have jobs for life. as long as they’re in power, they’ll run the state. there’s literally nothing you or I can do to stop the madigan/cullteron machine.
Steal!
“I had a client call me about this property at 8:30AM when it went on the market, we toured the home at 10:30AM, and it was off the market by the time we had completed the tour and were ready to submit an offer. I suspect (speculation) someone who had written a contract on it during it’s previous life as a short sale jumped on this one quickly.”
Yeah- there are buyers who watch certain properties (and then there are the “inside” buyers.) Both move very quickly. If you’re going to be in this “game” you have to be prepared to play.
But what I’ve noticed is that all the super cheap foreclosed properties in the more fringe areas that used to sell within hours a year or two ago- are now taking days/weeks/months to sell. The buyers are figuring out it’s not much of a “deal” if prices aren’t coming back OR prices continue to fall after they think they got in at rock bottom.
But we haven’t yet seen a ton of the cheap foreclosures in LP and Lakeview and some other GZ neighborhoods so the first ones out of the bag are selling very quickly. My guess is that in a year or two when these “deals” are common (like they are now in the fringe areas) it will take a lot longer to sell these properties.
“My guess is that in a year or two when these “deals” are common (like they are now in the fringe areas) it will take a lot longer to sell these properties.”
I have to respectfully disagree for a few reasons:
1. The backlog of “sidelined” buyers – many are “chomping at the bit” to buy. There are PLENTY of buyers out there – a backlog (just think of a 2 year inventory of buyers).
2. The economy is doing much better. Companies are going to start re-hiring in the next few years, people are going to feel more secure in their jobs and are going to “start living” again.
3. Banks will ease their rules of lending – this is where they make their money. Right now, they are playing by the govt. rules because of the bailouts – but they will soon realize that they just are not that profitable without lending out more money – this will be coming.
4. Don’t fool yourselves into thinking that the “flood of foreclosures” are going to bring all house prices down – this is NOT going to happen. First of all, the majority of foreclosures are in fringe areas that nobody really wants to live in. Second of all, the foreclosures in the nicer areas are not going to meet many people’s criteria (in terms of space, location, etc.). Thirdly, many foreclosures are going to be in TERRIBLE condition and the overwhelming majority of homebuyers are not equipped to start/do renovations to make the property liveable. Think about it – buyers are SO RIDICULOUSLY picky with normal units – do you really think that they are going to tolerate a typical foreclosed propert?!!! Fourthly, maybe there will be 1-2 good properties in good shape in good areas that come on the market at a good price – these will be bought by insiders or people with cash.
+1 clio
-1 clio:
1. Tax credit brought out significant number of sidelined buyers.
2. Economy is stabilizing, not doing better.
3. Banks will not ease lending and in some cases are legally prohibited from doing so i.e. NINJA loans are banned
4. First of all, plenty of people live in foreclosure areas, not nobody. Secondly, this foreclosure meets plenty of people’s criteria. Thirdly, this foreclosure is NOT in terrible condition.
But you are right, many of them are picked up by insiders or those with cash.
It’s pretty ridiculous that the bank allows this unit to go under contract in less than 3 hours. I’m sure there would have been plenty of bids, no reason to make a rush decision.
Regardless, a little research shows the original unit was purchased for $839,000 with the down payment of $19,000…roughly 2%. Refinanced in 2007 for roughly the amount.
This is just a sign of things to come for any home financed with less than 10% down, regardless of neighborhood, between 2004-2008.
Did I mention this was real estate agent purchased, real estate agent owned, real estate agent foreclosed?
And the bottom line is that this real estate agent “ranks in the top 1% of all real estate agents in the country.”
What does this mean for the bottom 99%
+ 1 Clio:
HD – point for point disagreement:
1. The impact of the tax credit has little bearing on the majority of the housing stock. Remember this is a “first time buyer” tax credit. How many first time buyers are buying anything over 300k? Very few. now ask yourself how much real estate is worth over 300k – a huge number.
2. The economy is DOING BETTER – not stabilizing. Ask Barack…
3. Banks WILL start easing the lending process when the lobbyists are able to convince the government to back off or the country will face a HUGE financial crisis – and the government WILL listen – the lobbyists are already doing this – just watch..
4. I never said that foreclosures only happen in bad areas – I said that there were very few foreclosures in good areas (in Oak Brook, I think there are 1 or 2 foreclosed houses and maybe 1 or 2 short sales – none of which are in the Hinsdale Central School District). If one pops up in the HC school district, it is sold in minutes, hours or even before listing. No way any outsider is going to get a good deal on a hot property – don’t even waste your time. I have – and have lost HUNDREDS of times (even with a full price, over price cash offer on the day properties have been listed).
OK – that was a lie – I haven’t lost “hundreds of times” – but I can easily count 23 over asking cash offers in the past 2 years that have been rejected.
+1 on the over cash asking offers. I’ve done the same and lost every time. Makes me think that they’re pre-sold and the listings are formalities. I’ve stopped wasting my time actually.
And homedelete, I’m sorry, but you’re dead wrong that the economy is just stabilizing and not recovering. That’s just factually inaccurate.
Don’t worry, Joe, you’ll see soon enough that wasting your time beats wasting your money.
“And homedelete, I’m sorry, but you’re dead wrong that the economy is just stabilizing and not recovering That’s just factually inaccurate.”
Anything to support this “fact?”
Recovering = returning to prior levels
Stabilizing = establishing the new normal
OK so how was I confused for Clio.. One was a US real estate superbear(me) and the other has the rose color glasses?
“The backlog of “sidelined” buyers – many are “chomping at the bit” to buy. There are PLENTY of buyers out there – a backlog (just think of a 2 year inventory of buyers).”%
Why didn’t they all buy with record low interest rates? Are they simply going to wait until until they are 1%, 2%, 3% or more higher? And THEN they’ll buy?
Plenty of properties on the market last fall (less now- as some have been withdrawn for the winter.) Many of them 20% or more off the prior purchase price. Why aren’t they buying????
Oh…that’s right…they’re all….waiting.
“Oh…that’s right…they’re all….waiting.”
Uhhh – that’s the definition of “sidelined buyer”. Basically, all they need is a sign to buy and, believe me , they WILL.
Clio – I don’t think you’re going to see the exuberance for buying homes like there was a few years ago. Too many facts that cannot be ignored.
Banks are only lending to those who have excellent credit and a large down payment on average priced homes. Having been burned big time in the housing market, what makes you think they’re going to readily step back in? And why do you think that the GSE loans are the only loans that have any kind of volume?
Housing is not an investment for the average Jane or Joe. It is a place to live. This simple fundamental got shot to hell in the bubble. The people who are sidelined? Are average Janes and Joes. It’s great that all of the people you know who make middle class incomes are wanting to buy homes. But will the bank finance them? And if the bank’s not going to finance them, what incentive do they have to find a broker who knows how to game the system?
Will homes be sold? Sure. But not in the numbers you’re predicting. If home ownership was for everyone, then why are there so many loans in arrears, default, and foreclosure? The NINJA loans made it so easy to buy a home, and made it even easier to lose it. Heck, getting a home was as simple as getting a credit card. Just sign your name on the dotted line. What’s a little more debt?
And herein lies the rub. This simple concept of DEBT. So many people have large debts that they can’t get rid of. People went nuts when they found out they could spend gobs of money that wasn’t their own to buy shit that they really didn’t need. But hey, consumerism drives the economy! All of these people who want to buy homes may not get the loans because their debt ratios are too damn high.
Ask HD how many bankruptcies his firm has processed as compared to 10 years ago, at the start of the bubble. I’m sure the amount is quite telling.
But, you being Clio, I’m sure you’ll keep on keeping on in overly optimistic land.
anonemoose,
I agree with EVERYTHING you are saying – except what most people out there don’t realize is that banks and business make their money by lending/extending credit and charging interest (same with credit card companies). Banks are chomping at the bit to give out loans to consumers – because THAT IS HOW THEY MAKE THEIR MONEY!!! The reason they can’t is that the govt has stepped in and put all of these restrictions/regulations that were supposed to help stop fraud but instead have hurt the honest consumer.
Once the government backs off, corporate america will make the necessary adjustments to get us back to where we were before. It won’t happen overnight – but it WILL happen in the next 3-7 years. Watch closely and you will start to see the signs.
“….get us back to where we were before”
Where was that, lending money to people that can’t pay it back and fraudulently packaging it to investors as AAA debt.
As for gov’t restrictions. ROFLMAO… suspending mark to market accounting to DELAY a market correction and so that banks can prolong taking losses that inevitably they must take.
“Where was that, lending money to people that can’t pay it back and fraudulently packaging it to investors as AAA debt”
and yet people were happy – remember life is really short – it is much better to go through it happily and content (even if it is a fool’s happiness) than mad, angry, and miserable. In the end, nobody has anything….. might as well make people happy while you are alive.
“Banks are chomping at the bit to give out loans to consumers – because THAT IS HOW THEY MAKE THEIR MONEY!!!”
Actually, most of it is from fees (fees to use the ATM, fees to transfer money, the $10 or $20 they charge you to have a checking account every month.) Now that the financial reform bill removed the debit card fees, the banks are adding them in other areas to make up for the loss of income (which would have ran in the billions for Bank of America and those other big boys.)
Clio: “and yet people were happy – remember life is really short – it is much better to go through it happily and content (even if it is a fool’s happiness) than mad, angry, and miserable. In the end, nobody has anything….. might as well make people happy while you are alive.”
I completely agree. None of really “own” our bodies… we are merely “renting” them for an unknown length of term.
Curious: being in a rented unit (by choice), we have a constant low-grade fear that our unit will be sold in foreclosure. We might actually buy the unit were that to happen. But more importantly, we do not want to be surprised by a new owner. Is there a place we can check regularly to see if our unit is being sold by a bank? (Thanks!)
You will receive foreclosure documents in the mail addressed to ‘unknown owners and occupants’
ze: “OK so how was I confused for Clio.. One was a US real estate superbear(me) and the other has the rose color glasses?”
Because you both seem like fictional characters to more than a few people here–you for being the ex-NY’r, short-timer Chicagoan who moved to Brazil and became an absentee cattle rancher–clio for, well, being clio.
ze: “fraudulently packaging it to investors as AAA debt”
Using a ratings model that anyone who cared to look at closely could have seen was out of date and overpowered by the change in lending practices isn’t fraud. It wasn’t that S&P/Moody’s/Fitch were deceptive in any way, just stupid–probably even more stupid than their customers. And, if CDS had been treated as actual, regulated insurance, (1) there wouldn’t have been nearly so much crap churned out, and (2) when the crap sank (or rose–whichever you prefer), there would have been sufficient $$ to make (almost) everyone whole on the debt side. Also, not fraud, but a really stupid business practice (this one more with the benefit of hindsight).
Sab: “Actually, most of [bank’s profit] is from fees ”
Slipping into the sort of exaggeration that many here trade in ….
Sabrina – banks make the most money on loans, (and investments) have you seen an amoritization chart before? for example this year I paid about 5k in principal, and paid about 15k in interest… and the funny part is that they paid me $.12 in interest
“Because you both seem like fictional characters to more than a few people here–you for being the ex-NY’r, short-timer Chicagoan who moved to Brazil and became an absentee cattle rancher–clio for, well, being clio.”
Wow – I am a ficitional character?- is that good or bad?!!
“Wow – I am a ficitional character?- is that good or bad?!!”
Reading comp, buddy. I know a few people who might be able to offer private tutoring, if you’re interested.
sonies,
the “free” they make is in Fee’s. any corp could tell you that the banks are fee’ing them to death. the rate is usually set/regulated/competitive in the market they get you on the back end with fee’s.
fee’s are the easiest thing to bargin down, and if its easy then its a non-essential if non-existing cost of business.
they do make money on loans but the bread and butter are fee’s and trades
It’s very difficult to parse out the different revenue and cost elements of DDAs. And there’s always the trick when you have lots of revenue sources to say that taking away that one source will eliminate or greatly decrease profits. That said, the debit card interchange fee regulations are a BIG deal.
I think people are fooling themselves if they think the bottom is in.
I agree that deals like this Wrigleyville deal are insider deals. 3 hours list time? Please. The bank could have gotten more by not just selling to one of their buddies.
I work for a bank and have access to our REO properties and every month I forward this list to a couple of guys who represent Goldman and are buying properties wholesale for cash. They then speak with our RE people as many of these properties are not listed. We also give them lists of properties that are potential foreclosures. It is definitely an insider’s game.
I am looking at the list as well for a cheap property for myself but as others have mentioned most are in not desirable areas (austin, englewood, garfield park, etc).
I do not even mess with short sales anymore given the flood of foreclosures coming. There is more shadow inventory than shadow demand currently.
The economy is at best stabilizing.
Sold for 429k on 2/11
Thanks for the update.
So no bidding war or anything on this one.
That was a great deal!