Even 2009 Purchases Are Now Going Short Sale Like This 1-Bedroom at 321 S. Sangamon in the West Loop
If you thought short sales and REOs were reserved mainly for homeowners who bought at the peak of the housing bubble, think again.
This 1-bedroom in the Lofthaus at 321 S. Sangamon in the West Loop just came on the market.
It is a short sale and is now listed 44% under the September 2009 purchase price of $292,500.
The Great Recession, if you recall, began in the summer/fall of 2008- or basically a year before this unit was purchased.
The Lofthaus was built in 2004. The units have loft-like features like exposed concrete ceilings.
The listing says the kitchen has been upgraded with Ginger Mission cabinets, granite counter tops and stainless steel appliances.
It has in-unit washer/dryer, central air and parking is included.
The unit has a western view.
As prices continue to drop, are we going to start to see more of the 2009 and even 2010 purchases going short sale?
Lauren Schuh at Exit Strategy has the listing. See the pictures here.
Unit #402: 1 bedroom, 1 bath, no square footage listed
- Sold in March 2004 for $243,500 (parking included)
- Sold in September 2009 for $292,500 (parking included)
- Currently listed as a “short sale” for $164,900 (parking included)
- Assessments of $310 a month (includes heat, a/c, gas)
- Taxes of $3380
- Central Air
- Washer/Dryer in the unit
- Bedroom #1: 12×10
- Living room: 14×13
- Kitchen: 13×14
Someone was crazy to pay $290k for this at any time. The “best” part of this unit is the balcony and its view is of a parking lot…
140 sounds reasonable. Wait for it to go back to the bank
What you have here is a combination of 2 things. First, they overpaid in 2009. Second….this is priced on the low side for the building. They are attempting to auction it off – a strategy often employed by brokerages that do a ton of short sales. They really don’t care what price they get – of course the bank has to approve it. Interestingly, it hasn’t gone under contract yet.
This agent typically lists short sales 30%+ below market price. For instance:
http://www.redfin.com/IL/Chicago/1600-S-Prairie-Ave-60616/unit-909/home/18935085
That will sell for at least 175k
I have attempted to purchase some of her listings, and they have never been even close to the final selling price. 89k list vs 132k selling. 139k list vs 180k selling, etc etc etc.
Even though I’m sure many will say this listing is high even at 165k, I am pretty sure it won’t get approved anywhere near that price.
Move to oak brook and get so much more for ur money!!
Chuk,
You are absolutely correct. I have a similar experience and was trying to be very diplomatic in my comment.
“This agent typically lists short sales 30%+ below market price. For instance:
I have attempted to purchase some of her listings, and they have never been even close to the final selling price. ”
Okay hate her as a RE agent all you want, but at least she’s aesthetically pleasing, and that should could for a lot. RILF!
I agree with everyone else. The unit sold for well over what it should have in 2009 and it’s priced well under what it will sell for today. That said, I hate this floor plan. It looks like you’re living in a hallway.
Move to oak brook and get so much more for ur money!!
The CC version of cutting him off at the pass!
http://www.redfin.com/IL/Park-Ridge/1009-S-Delphia-Ave-60068/home/13638077
It’s only a hop, skip and a step outside of the city limits, and yet, SUCH A DEAL!!!
If you’ve ever wanted to live in Des Plaines, you just missed the DEAL Of a LiFeTiMe!!!
http://www.redfin.com/IL/Des-Plaines/Undisclosed-address-60016/home/13665180
deals like THIS only come about ONCE IN A LIFETIME!!
http://www.redfin.com/IL/Riverwoods/466-Somerset-Hills-Ct-60015/home/17130847
The house is so big and is such a great deal the realtor hired a HELICOPTER to take the picture! Wowzers!
hd, the first comment was funny…..now it is just as annoying as another Clio.
This is one ugly building!
Also, when I read “upgraded with Ginger Mission cabinets” I assumed they were going to be something different. Instead, they are the same exact Home Depot cabinets the developer put in my place, just a different color. Maybe the upgrade is that they were installed by a real life Ginger?
Hey, benjamon9: I wasn’t going to post anymore links to suburban properties but that you’ve insulted me I I may just post 12 or 15 or 150 more properties from here to Love’s Park. Don’t tempt me because Lord knows I will…..
“I agree with everyone else. The unit sold for well over what it should have in 2009 and it’s priced well under what it will sell for today. That said, I hate this floor plan. It looks like you’re living in a hallway.”
Can the person who posted this comment above as David please post as David #2? There are a couple of Davids so it’s getting confusing. They aren’t all the same person. Thanks.
No one has bothered to see how much this seller put down in late 2009, huh? (FYI- the Redfin PIN is not correct.)
I like you, unlike clio, so I thought my comment this morning was much nicer than the one I made last night to Clio. I wasn’t trying to insult, just make sure you were aware…. Also, I know you would (and could come up with 12, 15, 150)….but it’d be for nothing because they’d all probably be deleted too. Much better to spend the time making posts that will stick around, especially since you have a pretty good knack for getting me to laugh among others here. 🙂
“Hey, benjamon9: I wasn’t going to post anymore links to suburban properties but that you’ve insulted me I I may just post 12 or 15 or 150 more properties from here to Love’s Park. Don’t tempt me because Lord knows I will…..”
By the way- I managed to do three posts for today. Forgive me if they’re not super thrilling but since I just wanted to sleep I went with what was the easiest (meaning GZ properties.)
I’m seeing more come on the market all over the city now. So there should be a better selection of properties to chatter about shortly.
ok i am against buying 1br, but if the HOA is sound and the rent parity is darn close then why not jump on this even if bank will only approve 180k?
Groove: there are 1-bedrooms in the neighborhood listed as short sales for under $100k. (I think I saw one in 1500 W. Monroe.) Who knows what they will close for- but that seems to be a better investment than the price of this one.
given i will run with HD’s theme but i will try to get closer.
since this place is close to the 290, then if you like that why not buy this? the rental income will subsidize the work needed.
http://www.redfin.com/IL/Chicago/5010-N-Parkside-Ave-60630/home/13500892
“Groove: there are 1-bedrooms in the neighborhood listed as short sales for under $100k. (I think I saw one in 1500 W. Monroe.) Who knows what they will close for- but that seems to be a better investment than the price of this one”
im not a west loop follower, but this one seems nicer than the only other two i check out before i posted, one actually had higher ass fee.
but most west loop 1/1’s and 2/2’s all seem to be generic. i did work on a few lofts in the west loop they were the earlier lofts at the start of the west loop boom. they had way more sqftage.
my therory is all these condo/lofts here are generic and are easily upgradeable, so one should look for the most sqft they can get.
“it’d be for nothing because they’d all probably be deleted too”
Seriously. At least clio *usually* posts something that’s approximately the same price. Only one of HD’s even remotely fits the bill.
This is ridiculous. That unit should be at least $500k now. Details magazine says West Loop is one of the six hottest emerging hoods in world.
http://www.details.com/culture-trends/critical-eye/201202/new-chic-urban-neighborhoods-chicago
“then why not jump on this even if bank will only approve 180k?”
This is too high for the west loop. If you want to live in the west loop, there are much cheaper places that are comparable.
“Okay hate her as a RE agent all you want, but at least she’s aesthetically pleasing, and that should could for a lot. RILF!”
bob, the rule is that you can’t call her a rilf unless her image is on the listing sabrina posted! Otherwise its creepy, or at least I was told…
“This is too high for the west loop. If you want to live in the west loop, there are much cheaper places that are comparable.”
sorry my barometer for the west loop is not on point at all. so price and rent prices for me are all a guess for the this part of the city.
Groove, did you see where some west coast Graf artist is going to be worth $200 million because Facebook paid him in shares instead of the few grand he was owed for painting their offices?
This place was built in 2004 and you still need to attach a dish on the balcony to get your satellite TV?
What kind of cheapskate developer doesn’t put a common dish on the roof of the building?
What else did they skip to save money?
Send it back to the bank!
“Groove, did you see where some west coast Graf artist is going to be worth $200 million because Facebook paid him in shares instead of the few grand he was owed for painting their offices?”
nope, link it up russ.
the best i got is i painted a business on Fullerton and kedzie, the bought lunch and paid for the krylon (we got to keep all left over cans)
the worst was a true value hardware on foster and kimball let us do the side to their parking lot but police stopped to hassle us and the owner said he never hired us and no idea we were doing this. got arrested because of that prick
“No one has bothered to see how much this seller put down in late 2009, huh? ”
You mean 1.8%?
or, under $5,300?
“No one has bothered to see how much this seller put down in late 2009, huh? (FYI- the Redfin PIN is not correct.)”
looks like the agent fat-fingered. the pin is almost correct, just ends in 1012 instead of 1032.
recorder has same $292500 sale, mortgage of $287201. That’s 1.8% down based on the sale price. A higher appraisal doesn’t seem likely (as others have said, the $292 seems high and supposedly appraisal monkeying around was extinct by then), but was anyone doing less than 3% down at that point?
It was FHA financed most likely. When you put 3.5% down and then factor in the financed upfront mortgage insurance premium, it looks like less than 3.5% down.
is this one of those infamous ‘roll the tax credit into closing costs’ deals?
The FHA upfront MI premium at the time of this purchase was 1.75%. So:
$292,500 * .965 = base loan amount of $282,262.50
UFMIP = 282262.50 * 1.75% = $4939.59
Total Mortgage Amount = $282,262.50 + $4939.59 or $287,202.09
In 2010, the UFMIP was increased to 2.25%, but then lowered in 2011 to 1% (but they almost doubled the monthly premium from .55bps to 1.05bps).
come on now russ, that can’t be it. your calcs are off by $1.09! 😉
so FHA 3.5% seems to be the answer.
“This is ridiculous. That unit should be at least $500k now. Details magazine says West Loop is one of the six hottest emerging hoods in world”
Russ I have to tell you that it is true. The West Loop is hiot right now. A new el stop is set to open in a few months. Hip and trendy places to eat and drink ebverwhere and excellent proximity to your downtown cubicle. The mag article is correct. There will be a modest uptick in pricing or at least greater stability due to additional demand in the area. Unit owners in our building have sold and rented in the last year with ease.
jp3, I actually agree with you that the West Loop will be just fine and has some upside potential. I do think the train station opening will go a long way in making it a better hood.
I actually thought the article was funny in that the West Loop is not really a “new” hood, but whatever.
The west loop will be fine until the cube dwellers become parents and move to Downers Grove.
“The west loop will be fine until the cube dwellers become parents and move to Downers Grove.”
Skinner now takes neighborhood and (I’m guessing) is decent, right?
The wife checks up on this stuff but from what I understand if you live in a specific area they accept your kid no matter what. Mine is likely to go there if we are still in the WL in a few years. Otherwise Francis Xavier Ward though I just learned that it is a tough school to get into…. is that true?
“Otherwise Francis Xavier Ward though I just learned that it is a tough school to get into…. is that true?”
Is there *any* private school in the city that just lets anyone with a check send their kids there?
Would certainly be easier if you’re an active member of St Pat’s or Holy Name.
I don’t know how anyone could like exposed concrete with track lighting. The buyer must not have shopped around for comps that have regular ceilings.
“The West Loop is hiot right now. A new el stop is set to open in a few months. Hip and trendy places to eat and drink ebverwhere and excellent proximity to your downtown cubicle. The mag article is correct. There will be a modest uptick in pricing or at least greater stability due to additional demand in the area. Unit owners in our building have sold and rented in the last year with ease.”
Everything is a copy in name of SoHo, but the area around Morgan and Fulton will be a hip area for years to come. There will be some black swan type RE deals there in the next 20 years that will seriously lift values there and put it on the map.
“The west loop will be fine until the cube dwellers become parents and move to Downers Grove.”
This is the basic concern of all of the United States, in the future who will be the take-out buyers of existing homeowners? based on demographics in the US, it’s not going to be pretty, the Details magazine crowd will get more ghetto/hip-hop and poorer with every each following generation that evolves.
“Is there *any* private school in the city that just lets anyone with a check send their kids there?”
If you can pay full tuition, ask for no aid, and you help the diversity stats, it’s a piece of cake.
“The west loop will be fine until the cube dwellers become parents and move to Downers Grove.”
i think we are and the third go around for the west loop flushing/rotating these types, the rest are stuck or want to be there.
“If you can pay full tuition, ask for no aid, and you help the diversity stats, it’s a piece of cake”
That is definitely NOT “anyone with a check”.
“This is the basic concern of all of the United States, in the future who will be the take-out buyers of existing homeowners? based on demographics in the US, it’s not going to be pretty, the Details magazine crowd will get more ghetto/hip-hop and poorer with every each following generation that evolves.”
There is a big fall off with the baby boom, but, after that happens it’s stable. Also, immigartion helps this issue. Unlike Europe, the U.s. population is still growing mostly because of imigarations.
I’ve been in the West Loop for 6 years now and it becomes a better place for parents with kids every year. The biggest problem now are all the housing units that are unfit for families. Those are getting killed, while the new development at Madison and Aberdeen that was 100% 3BR condos sold out completely during the bust and the second phase (also 100% 3BR condos) is under construction now.
At some point I will stop renting and buy, but so far any time a good 3BR place has come on the market it sells before I get a chance to put in an offer.
chuk, you suggest this condo won’t trade at $165k because “This agent typically lists short sales 30%+ below market price.” But when Groove suggested that one ought to then bid 180k (9% over ask), you reply that that would be too high: “This [$180k] is too high for the west loop. If you want to live in the west loop, there are much cheaper places that are comparable.”
So at what price do you think this condo will trade (between 165 – 180k?), and, where would you appraise it?
(btw: please let us know where that 1600 S Prairie condo you cited eventually trades too. gracias.)
“Also, immigartion helps this issue. Unlike Europe, the U.s. population is still growing mostly because of imigarations.”
I dunno, it’s more than just about numbers. It’s about culture, etc. just because there was gentrification in places in Chicago, it doesn’t mean that the immigrants can keep it going over time. Some parts of Milwaukee Ave. (like around Diversey) are looking like a South American country, so to assume that the immigrants will continue an upscale gentrification condo boom (like what’s taken place in the West Loop) isn’t a given by any means.
At cost of breaking your heart Hhoffer/Dan, something like 1 in every 10 Indians is a millionaire so not sure what your culture comment is supposed to mean.
“But when Groove suggested that one ought to then bid 180k (9% over ask), you reply that that would be too high”
I didn’t mean that he would be overbidding on this unit. I just don’t feel that these units should command the premium that they do over other buildings in the area.
“So at what price do you think this condo will trade (between 165 – 180k?), and, where would you appraise it?”
I think this will sell over 180k. But PERSONALLY, I wouldn’t pay that. If I was going to live in the west loop, there are other places that sell for much less, and are similar in quality/location, etc.
“(btw: please let us know where that 1600 S Prairie condo you cited eventually trades too. gracias.)”
Well, I am submitting a backup offer in at 170k in case the current contract falls through. The unit next door to it is under contract at $189k list and the last 1/1.1 that sold in the building sold for 190k. So, 170k is maybe still too low, and I am 100% sure that 125k is WAAAAAY too low.
http://www.redfin.com/IL/Chicago/1600-S-Prairie-Ave-60616/unit-910/home/25208855
She also had this listing on the market at 89k and under contract on day 1:
http://www.redfin.com/IL/Chicago/1720-S-Michigan-Ave-60616/unit-307/home/39707583
It fell out of contract and is now back on the market at 132k.
Many of her listings go on the market and under contract simultaneously. 1600 S Prairie was under contract on day 1. So, I guess she may have buyers lined up for many of these properties ahead of time, and the listings are just a formality.
“At cost of breaking your heart Hhoffer/Dan, something like 1 in every 10 Indians is a millionaire so not sure what your culture comment is supposed to mean.”
I’m not sure what you mean, that every condo dweller that has kids and moves to Downers Grove will sell their West Loop condos to Indians? They tend to have more kids themselves than the dog-loving human contracepting hipsters do!
And another one:
Listed at 160k. This one will probably close around 200k.
http://www.redfin.com/IL/Chicago/1400-S-Michigan-Ave-60605/unit-1112/home/18707387
I could list many more, but I’m sure everyone is bored by now.
Herr Hofer fka Dan: Imo so long as new population arrives in Chicagoland (recent college graduates & immigrants) and a % of existing buildings continue to reach end of economic life, demand will increase while supply is constrained. Residential real estate is a daisy chain requiring buyers at every level. Hence a rising tide floats all boats. Your culture comment sounds like the new you – trying to cloak a bitter racist take on the world. Parts of Milwaukee Avenue have looked like South America, Central America, Western & Eastern Europe for as long as Milwaukee Avenue has existed. Are your ancestors native Indians or Mayflower arriviste’s? Our country historically benefits from every wave of immigration – motivated self starters do well here no matter where their grandparents were born nor where they worship. If you are uncomfortable here why not immigrate to a place where your dreams of Aryan supremacy are shared.
“Our country historically benefits from every wave of immigration – motivated self starters do well here no matter where their grandparents were born nor where they worship.”
Pure and utter PC-based nonsense. Are you actually saying it doesn’t matter if someone is global expat Chinese/Japanese or Jewish diaspora versus native African or South American, and that over time the results will the same for these two groupings? LOL!!!!!!! You live in a bubble, not the real world.
I’m done on this thread with the baiters….unless someone else decides to insult me personally or say something so utterly false that it needs correction.
Thanks Chuk. Your chatter’s relevant, appreciated, and certainly not boring.
There was a thread not long ago on a WL condo in which G posted interesting data (on 2/2s, which is not the situ here):
http://cribchatter.com/?p=11978#comment-198106
The Chatter then sounded bullish, whereas G’s data suggested otherwise. The chatter again sounds bullish @ 165k, but without comps (which you seem to have the pulse on) it’s impossible to gauge fair market value. Imho 180k sounds like a good price for the seller. Hopefully Sabrina will revisit this prop after it closes.
“The west loop will be fine until the cube dwellers become parents and move to Downers Grove.”
The West Loop has known of its “problem” for the last 10 years. They did a spectacular job of attracting the newly married 20-somethings into the 2/2 condos. But what happens when you need more space after the kids come?
They answered that by building a bunch of townhomes- but not enough to satisfy everyone in the neighborhood. And the price points, for some of the bigger townhomes, are out of reach for most first time homebuyers (i.e. in the $600,000s.)
So those with families are forced to leave the neighborhood. The South Loop has some of this same problem as well. They really didn’t build a “neighborhood”, so to speak.
“(btw: please let us know where that 1600 S Prairie condo you cited eventually trades too. gracias.)”
Well, it was listed at $125k and under contract then, now back to active and approved short sale at $215k
http://www.redfin.com/IL/Chicago/1600-S-Prairie-Ave-60616/unit-909/home/18935085
Not sure why she doesn’t just list them for $1. It’s basically the same thing.