Get a Corner 3-Bedroom with Parking for $710,000 in the South Loop: 1250 S. Michigan
This corner 3-bedroom in 1250 S. Michigan in the South Loop came on the market in July 2022.
Built in 2005, 1250 S. Michigan has 228 units and attached garage parking.
The building has door staff, an outdoor pool, private park with landscaping, dog run and “newly renovated” gym.
This southwest corner unit has been “newly remodeled” and has floor to ceiling windows.
The unit has an open living/dining and kitchen with hardwood floor throughout.
The kitchen has been “just remodeled” and has white cabinets, new quartz countertops including a waterfall edge on the breakfast bar, and new stainless steel appliances.
The primary suite has 2 professionally organized walk-in-closets and a newly updated bath with dual vanity, granite counter tops, walk-in-shower and separate soaking tub.
The second bedroom has new carpet and the listing says the third bedroom could be a guest bedroom or an office.
There’s a newly updated second bathroom.
The unit has the features buyers look for including central air, washer/dryer in the unit and garage parking is available for $35,000.
It has a balcony.
This building is near Grant Park, the Museum Campus, and shops and restaurants of the South Loop.
Originally listed in July 2022 for $689,000, it has been reduced $14,000 to $675,000.
Is this a deal for a remodeled 3-bedroom?
Rubina Bokhari and Oksana Suden at Compass have the listing. See the pictures here (sorry, no floor plan).
Unit #2606: 3 bedrooms, 2 baths, 1774 square feet
- Sold in July 2005 for $609,500 (included the parking space)
- Originally listed in July 2022 for $689,000
- Reduced
- Currently listed at $675,000 (plus $35,000 for garage parking)
- Assessments of $963 a month (includes doorman, cable, heat, a/c, gas, exercise room, pool, exterior maintenance, lawn care, scavenger, snow removal, Internet)
- Taxes of $8779
- Central Air
- Washer/dryer in the unit
- Bedroom #1: 13×15
- Bedroom #2: 10×11
- Bedroom #3: 10×12
- Living/dining room combo: 14×29
- Kitchen: 10×11
- Balcony
Jul-05 (not the peak!) + CPI = $924k.
Really should have replaced the microwave, too. Looks very out of place.
The sales pitch is a hell of a word salad to say you dont get a lake view
Yeah, not close to 1775sf
2506 sold last year for $615 in a world of 3.5% rates – https://www.zillow.com/homedetails/1250-S-Michigan-Ave-APT-2506-Chicago-IL-60605/80813493_zpid/?
Crack pipe pricing
A top floor unit is also available:
https://www.redfin.com/IL/Chicago/1250-S-Michigan-Ave-60605/unit-2900/home/18913810
At $1.2m, with 2 parking spaces, feels like a better “value” than this one at $710k.
First sale was $1.2m in ’06, went to the bank in ’09, who sold it for $712 in ’10.
Ask started at $1.5 in March
Is this building cursed?
“2506 sold last year for $615 in a world of 3.5% rates –”
How much is the updated kitchen worth to you?
We will find out.
“How much is the updated kitchen worth to you?
We will find out.”
The answer to that question for anyone with a function brain, for that kitchen is not $60k and 2 points
But you be you…
“$60k and 2 points”
$675k, 20% down, at 5.375 = $4,950 for PITI
$615k, 20% down, at 3.5 = $3,975 for PITI
$1,000 a month more. It ain’t worth $1k/mo more.
“$1,000 a month more. It ain’t worth $1k/mo more.”
You also have $12k in add’l DP
Whats the discount for 2606’s microwave?
And if you’re going to replace some/all of the cabinets, why would you leave that hideous gap between the fridge and the return wall? And wtf is up with the gaps in the uppers? The one under the soffit looks to be an inch low, the one over the micro is flush and the one to the right is low again. The verticals are equally as bad. Now that the damage is done, a tube of white caulk would do wonders hiding the sins
I hope whomever installed it was drunk or blind.
pet peeve:
NOT “floor to ceiling windows”
rather low sill to ceiling windows or something…
Wow, those views…are not inspiring.
“The answer to that question for anyone with a function brain, for that kitchen is not $60k and 2 points”
Today’s buyer isn’t the one from last December. They are getting approved by the bank and going out now with what they’re able to buy. This is why sales fell off a cliff when the rates suddenly spiked. Buyers have not had time to adjust to the higher rates. But they will in the next several months as long as those rates stay over 5%. And so far, they’ve stayed over 5%.
The Fed will continue to raise rates which should push mortgage rates higher by the end of the year. Buyers will then have 6 months of the “new reality” to adjust to.
Someone who is approved for $3900 won’t even look at this unit. They will have to look at a lower price point now. That’s the new reality. But, again, until the rates stay elevated for several months, there will be this in-between period of adjustment. Additionally, some buyers won’t “adjust.” They will move to the sidelines under the belief that rates will ultimately fall below 5% again by early next year and they’ll buy then.
They could be right. I don’t blame any buyer for waiting right now if they don’t HAVE to buy. Inventory is still low. Why not wait until the spring selling season?
Believe it or not, the vast majority of people don’t look at real estate every day. We are a monthly payment nation. They will buy based on that monthly nut. The rate or even the price of the property is irrelevant.
“$675k, 20% down, at 5.375 = $4,950 for PITI
$615k, 20% down, at 3.5 = $3,975 for PITI
$1,000 a month more. It ain’t worth $1k/mo more.”
It doesn’t have to be. It’s a different buyer at 5.3%.
“Today’s buyer isn’t the one from last December. They are getting approved by the bank and going out now with what they’re able to buy. This is why sales fell off a cliff when the rates suddenly spiked. Buyers have not had time to adjust to the higher rates. But they will in the next several months as long as those rates stay over 5%. And so far, they’ve stayed over 5%.”
This has nothing to do with the question you asked. As usual, you’re moving the goalposts
This hasn’t sold yet, it might be a bit premature to state who the buyer is.
“The Fed will continue to raise rates which should push mortgage rates higher by the end of the year. Buyers will then have 6 months of the “new reality” to adjust to.
Someone who is approved for $3900 won’t even look at this unit. They will have to look at a lower price point now. That’s the new reality. But, again, until the rates stay elevated for several months, there will be this in-between period of adjustment. Additionally, some buyers won’t “adjust.” They will move to the sidelines under the belief that rates will ultimately fall below 5% again by early next year and they’ll buy then.”
Not sure why you think only buyers need to adjust their expectations. In the hypothetical laid out above the “new” buyers are going to have to accept that their friends that purchased a year ago have either much nicer places or are paying significantly less. I don’t think that’s an easy pill for most to swallow.
“They could be right. I don’t blame any buyer for waiting right now if they don’t HAVE to buy. Inventory is still low. Why not wait until the spring selling season?”
Aren’t the rents too damn high? They could also wait for prices to reduce.
“Believe it or not, the vast majority of people don’t look at real estate every day. We are a monthly payment nation. They will buy based on that monthly nut. The rate or even the price of the property is irrelevant.”
They may not look at listings everyday, but they do look a RE everyday (unless they’re a hermit with no friends). The psychological effect of having “less” than one’s peers is not trivial.
“just to refresh your memory here was the convo:
“2506 sold last year for $615 in a world of 3.5% rates –”
How much is the updated kitchen worth to you?
We will find out.
You appear to be implying that it would be the same buyer and the updated kitchen was worth the bump in price w/higher rates.
When confronted with actual numbers that make your statement look foolish, you move the goalposts
Do you get tired of being completely wrong?
“We are a monthly payment nation.”
And an extra grand a month for that partial kitchen reno is too damn high.
Left out a step in the comparison–lets say the “better” kitchen in “worth” $50k (narrator: it sure as hell ain’t), at a 5.5 cap. That’s $230/month. Round up a bit from the 2506 monthly payment, and that’s $4,250.
at 5.375, and the other details on this unit, to hit $4,250 with 20% dp, means a PP of ~$569k.
“And an extra grand a month for that partial kitchen reno is too damn high.
Left out a step in the comparison–lets say the “better” kitchen in “worth” $50k (narrator: it sure as hell ain’t), at a 5.5 cap. That’s $230/month. Round up a bit from the 2506 monthly payment, and that’s $4,250.
at 5.375, and the other details on this unit, to hit $4,250 with 20% dp, means a PP of ~$569k.”
Quit confusing her with your numbers and calculations
If Sabrina thinks the kitchen is worth $12k + $1k per mo for 30 years, you can take that to the bank!
“You appear to be implying that it would be the same buyer and the updated kitchen was worth the bump in price w/higher rates.”
Why would it be the same buyer? Rates have completely changed and the market has completely changed. But the new kitchen IS worth something to the buyers right now. This is why they opted to put it in. I keep seeing it over and over with these 20 year old units. You need to update to get the Millennial buyers who have been living in “new” apartments.
“They may not look at listings everyday, but they do look a RE everyday (unless they’re a hermit with no friends). The psychological effect of having “less” than one’s peers is not trivial.”
Nah. Again, do you actually know ANY Millennials or GenZers JohnnyU? I feel like you just have no clue about the young buyers out there today.
All of your “friends” don’t make your income. It’s usually all over the place, depending on profession. So, yeah, some can afford to buy the starter home in Berwyn but others can go a little more expensive in Oak Park. Are the Berwyn buyers “competing” with their Oak Park friends? I’ve never seen that before. Younger people are just excited to be buying anything at all and usually support each other.
I think you’re thinking about move-up buyers perhaps? Those in middle age who work as, say, lawyers and doctors, who have to “compete” with peers in some weird messed up way?
That’s a small pool of buyers. Miniscule really.
“Why would it be the same buyer? Rates have completely changed and the market has completely changed. But the new kitchen IS worth something to the buyers right now. This is why they opted to put it in. I keep seeing it over and over with these 20 year old units. You need to update to get the Millennial buyers who have been living in “new” apartments.”
Again you dont understand simple math or basic english.
No one stated that it doesnt have/add value, the point is at the current ask, the Kitchen upgrade isn’t worth the additional ask. If you want to argue that it is fine, state your case.
Why you want to make up arguments that no ones stated or go down unrelated tangents is beyond me
Also:
“You need to update to get the Millennial buyers who have been living in “new” apartments.”
So in a non 3% rate environment what are Millennials going to do? You’ve stated that buyers are going to have to downgrade due to reduced HMAM and I’ll ad that real wages are negative, so how are they going to afford “New”
You need to stop arguing in circles
“Nah. Again, do you actually know ANY Millennials or GenZers JohnnyU? I feel like you just have no clue about the young buyers out there today.”
Ok Boomer
“All of your “friends” don’t make your income. It’s usually all over the place, depending on profession. So, yeah, some can afford to buy the starter home in Berwyn but others can go a little more expensive in Oak Park. Are the Berwyn buyers “competing” with their Oak Park friends? I’ve never seen that before. Younger people are just excited to be buying anything at all and usually support each other.”
Again you make up arguments not stated. I didn’t say all. Though I would guess that the majority of ones friends are in the same economic class. That presupposes that one has friends – doubtful in your case
Just so were clear, the most narcissistic generation (surpassing aging boomers like yourself) is not competing? JFC have some young person show you Reddit or Tic-Toc and look at the “flexing”. Their mantra is fake it till you make it. Again to short circuit your pea brain, im not saying all
“I think you’re thinking about move-up buyers perhaps? Those in middle age who work as, say, lawyers and doctors, who have to “compete” with peers in some weird messed up way?”
No, I didnt say move-up buyers.
You must move in really odd circles, where not a soul is concerned with maximizing what they get when purchasing a home
“Though I would guess that the majority of ones friends are in the same economic class. That presupposes that one has friends – doubtful in your case”
What’s the “same economic class”?
Again, do you know ANY young people? For my kids, their friends from college are teachers, work in marketing, one is in sales, one works in the government, another is in law school. They are all over the place and make varying amounts of money. Is this the “same economic class”? They all don’t make the same amount of money. In fact, it varies greatly. Yet, they went to the same college.
So, yeah, there really isn’t any “competition” between them. Older people had “competition” with their work peers. This is documented in The Millionaire Next Door, the bestselling book. It was always the Baby Boomer lawyers and doctors who had to live a certain “lifestyle” but not because their friends were living that lifestyle but because their lawyer/doctor peers at work were living it.
People make decisions on housing based on the monthly payment. That’s about it. They want to get into certain neighborhoods at the certain price point. If they can’t buy a 4-bedroom, they buy a 3-bedroom. Some may have to change neighborhoods. It’s all part of the buying process.
“So in a non 3% rate environment what are Millennials going to do? You’ve stated that buyers are going to have to downgrade due to reduced HMAM and I’ll ad that real wages are negative, so how are they going to afford “New””
Eventually the Millennials and GenZ will want to buy. Especially as rents continue to hit new record highs. It’s actually a hedge against inflation. But they will just want to buy because that’s what every generation wants to do. Some will buy SFH but others will buy condos. But they will want what they already have: an updated design and features.
They aren’t going to buy something they expect to live in for years with a 15 or 20 year old kitchen when their apartment kitchen is 3 years old and has the latest finishes and features.
“What’s the “same economic class”?”
Figure it out
“Again, do you know ANY young people? For my kids, their friends from college are teachers, work in marketing, one is in sales, one works in the government, another is in law school. They are all over the place and make varying amounts of money. Is this the “same economic class”? They all don’t make the same amount of money. In fact, it varies greatly. Yet, they went to the same college.”
Are any of these kids in the market for a 3Br $675k condo? So while a nice anecdote, is meaningless in this discussion.
If your friend pool doesnt expand post college, I dont know what to say
“So, yeah, there really isn’t any “competition” between them. Older people had “competition” with their work peers. This is documented in The Millionaire Next Door, the bestselling book. It was always the Baby Boomer lawyers and doctors who had to live a certain “lifestyle” but not because their friends were living that lifestyle but because their lawyer/doctor peers at work were living it.”
Like I said – Boomers and Millennials are the most narcistic folks on the planet. This is a generation that made the Kardashians UHNW. But yeah totally not Fake it till you make it…
“People make decisions on housing based on the monthly payment. That’s about it. They want to get into certain neighborhoods at the certain price point. If they can’t buy a 4-bedroom, they buy a 3-bedroom. Some may have to change neighborhoods. It’s all part of the buying process.”
So, what you are saying is they are competing for properties?
BTW – thats not making a decision on HMAM. The decision is location, sf/br & HMAM.
“Eventually the Millennials and GenZ will want to buy. Especially as rents continue to hit new record highs. It’s actually a hedge against inflation. But they will just want to buy because that’s what every generation wants to do. Some will buy SFH but others will buy condos. But they will want what they already have: an updated design and features.
They aren’t going to buy something they expect to live in for years with a 15 or 20 year old kitchen when their apartment kitchen is 3 years old and has the latest finishes and features.”
Great they’ll all magically get a renovated kitchen that doesnt affect their HMAM. Maybe Biden will give them $20k to renovate their outdated kitchens
Brilliant
You really need to lay off the sauce before noon
“Eventually the Millennials … will want to buy”
Wait–I thought they were driving the market–especially for SFH, since they’re skipping past the “condo phase” so prevalent among 30-something Gen X’ers.
“They aren’t going to buy something they expect to live in for years with a 15 or 20 year old kitchen”
Well shit. They’re fucked then, unless they are UMC+, or relying on the Bank of Mom&Dad.
“Wait–I thought they were driving the market–especially for SFH, since they’re skipping past the “condo phase” so prevalent among 30-something Gen X’ers.”
The youngest ones anon(tfo). You know, the ones that are 35 and under and only now getting married.
Sigh.
Some will buy SFH. Some will buy condos. They all won’t have kids. And they’re building bigger condos again. A new project was just announced for Andersonville where the condos will be 3 to 5 bedrooms. They are specifically targeting the SFH buyer but they will be priced less than many Andersonville SFHs.
“Wait–I thought they were driving the market–especially for SFH, since they’re skipping past the “condo phase” so prevalent among 30-something Gen X’ers.”
Are you really expecting any consistency in a Sabrina statement?
” Well shit. They’re fucked then, unless they are UMC+, or relying on the Bank of Mom&Dad.”
With Sabrina being a Boomer, it makes sense that her kids deserve an updated kitchen for free. And by golly if they dont get one, she’s going to speak to the manager and demand one!
“With Sabrina being a Boomer, it makes sense that her kids deserve an updated kitchen for free.”
Boomer? Nah. Silent generation. We’re the ones with all the power and money.
“The youngest ones”
I thought they didn’t have any money, and are trading down neighborhoods and house size to find a HMAM they can afford.
They’d move to (eg) Maywood to afford a house with a new kitchen, instead of buying in (eg) Oak Park and dealing for a few years?
That’s a total flip of the traditional script–worst house on the best block. They’ll buy the best house on the worst block, so long as the kitchen and baths are on-trend?
“Boomer? Nah. Silent generation. We’re the ones with all the power and money.”
Arent you a little old to be having college aged kids?
Can see why your bitter, still having to work at 75 has to be depressing