Crib Chatter

This 2-bedroom duplex loft in the Soda Pop Factory Loft at 1001 W. Altgeld in Lincoln Park came on the market in April 2013.

It has already been under contract once.

At 1700 square feet, it has a private entrance which makes it feel more like a townhouse than a condo.

It has 16 foot ceilings and a private rooftop deck along with exposed brick.

The kitchen has white cabinets and stainless steel appliances.

It has central air, washer/dryer in the unit and garage parking is included.

The loft is also just steps to the Fullerton El stop.

We’ve been chattering about how hot the market is and why there isn’t more inventory.

This loft, despite the “hot” market is still listed $60,500 under the 2007 price.

Are we going to be stuck with an inventory “problem” for years?

Mario Greco at Prudential Rubloff has the listing. See the pictures here.

Unit #5: 2 bedrooms, 2.5 baths, 1700 square feet, duplex

• Sold in August 1989 for $235,000
• Sold in April 1997 for $242,000
• Sold in July 2003 for $412,000
• Sold in March 2007 for $485,000
• Originally listed in April 2013 for $424,500
• Under contract
• Re-listed at $424,500
• Assessments of $369 a month (includes cable)
• Taxes of $5869
• Central Air
• Washer/Dryer in the unit
• Garage parking included
• Bedroom #1: 16×13 (second floor)
• Bedroom #2: 12×10 (second floor)
• Deck: 20×17

We last chattered about this 2-bedroom penthouse in 3400 N. Lake Shore Drive in Lakeview in December 2012.

See our prior chatter here.

At 2100 square feet, many of you will remember it from the very dark grey/black walls.

It was the home of a well known Chicago interior designer and the unit had been featured in coffee table books and magazines.

It had wide plank dark wood floors and vintage trim and moldings.

The kitchen had Boffi cabinets with professional appliances.

It also had a 1000 square foot “fabulous private rooftop deck.”

The listing said there was a separate office with built-ins but it was not listed as a room on the listing.

It had central air, washer/dryer in the unit and 2-car parking.

Originally listed at $1.275 million, it recently sold for $930,000, which is well under the 2001 purchase price.

Did someone get a deal because a lis pendens foreclosure had been filed back in 2010?

Emily Sachs Wong at Koenig & Strey Real Living had the listing. You can still see the pictures here.

Unit #9C: 2 bedrooms, 2 baths, office, 2100 square feet, 2 car parking

• Sold in September 1997 for $320,000
• Sold in July 1999 for $474,500
• Sold in December 2001 for $1.065 million
• Lis pendens foreclosure filed in August 2010
• Was listed in December 2012 for $1.275 million
• Sold in May 2013 for $930,000
• Assessments of $1312 a month (includes heat, a/c, doorman, cable)
• Taxes of $10,673
• Central Air
• Washer/Dryer in the unit
• 1000 square foot private terrace with city views
• Bedroom #1: 15×14
• Bedroom #2: 16×14
• Office??? (no listing of room size)

The Chicago Tribune reported over Memorial Day weekend that new condo projects are selling at a fast clip, including Trump Tower which started closings 4 years ago, just as the housing bust was picking up steam.

About 92 percent of the condominiums in the 4-year-old building are sold, and not at fire-sale prices. In fact, the building outsold all other downtown projects during the first quarter, with 24 closings at an average sales price of $623 per square foot.

Trump isn’t the only new downtown condo development that’s faring extremely well as the housing market begins to truly make its way back.

Before Belgravia Group even completed demolition or started construction this month on CA3, a third phase of its successful midscale condo project in the West Loop neighborhood, 39 of the 40 units went under contract.

Deliveries won’t start for a year.

New construction in other neighborhoods also is getting snapped up. Meanwhile, some condo developers who began renting out blocks of units they couldn’t sell during the market’s darker days are now canceling those leases as they come up for renewal and again marketing the units for purchase.

“I don’t see this as a blip,” Gail Lissner, a vice president at Appraisal Research Counselors, said of the market’s promise. “I see it as a new pattern.”

Now that the getting is good, how long before thoughts start turning away from the smaller, mid-sized buildings to the high rise?

“Once things started to turn for the good, (sales) have started to happen really fast,” said Alan Lev, Belgravia’s president and CEO.

“I’m a little surprised at the speed of the turnaround in the market. Certainly, there are fewer buyers in the marketplace than there were four years ago, but the buyers that are out there are extremely qualified.”

“There’s a tremendous amount of buyer confidence,” said Chezi Rafaeli, the Coldwell Banker Residential Brokerage agent who has the listing for the still-unsold $32 million penthouse condo at Trump.

Seeking to seize on that confidence, Belgravia continues to scout for additional good sites for midsize projects, and Lev finds himself frequently running into competitors.

The market still isn’t ready for the return of high-rises with hundreds of condo units, experts say, because of the presales that would be needed to secure financing and the several years it would take to deliver a building.

Developers and bankers remain wary.

“The longer the time frame on any project, the more likely you are to hit a bump in the road,” Lev said.

But, historically, many of the new “condo” buildings were first built as apartment buildings. How hard would it be to convert, say, The Streeter, or the new apartment building on Wells that just sold for record prices into $800,000 2-bedroom condos? The finishes are already “luxury”. They have stainless steel and granite. Maybe you have to swap out the refrigerator for an upgraded model and put up a backsplash.

Will the first step in this the “new” condo era be simply to convert one of the already built rental buildings?

Will it happen in 2013?

A ‘new pattern’ in downtown condo market [Chicago Tribune, Mary Ellen Podmolik, May 24, 2013]

This 2-bedroom loft in the Bronzeville Lofts at 50 E. 26th in Bronzeville just came on the market.

It is bank owned and listed at just $105,500.

We last chattered about one of these authentic lofts in August 2012. See that chatter here.

This one has 1660 square feet on two levels with a balcony with skyline views.

It has 20 foot ceilings in the main living area.

From the listing pictures it appears that the 2 bathrooms are intact.

The kitchen has maple cabinets and black appliances.

It has central air, in-unit washer/dryer and parking.

Who says you can’t own near downtown on the cheap?

Michael Scola at Re/Max Partners has the listing. See the pictures here.

Unit #402: 2 bedrooms, 2 baths, 1660 square feet, 1 car parking

• Sold in July 2005 for $279,000
• Sold in February 2006 for $311,000
• Lis pendens filed in August 2010
• Bank owned in March 2013
• Currently listed for $105,500
• Assessments of $520 a month (includes cable) (last year there were comments about a special assessment in the building)
• Taxes of $3978
• Central Air
• Washer/Dryer in the unit
• Bedroom #1: 20×17 (second level)
• Bedroom #2: 14×11 (main level)

There are so many properties coming back on the market that we’ve chattered about in prior years on Crib Chatter (but which never sold) that I could do nearly every post about them.

This 4-bedroom duplex up at 2948 N. Pine Grove in Lakeview is one of them.

We last chattered about it in January 2011. See that chatter here.

Back then, it had been on and off the market from August 2009 until 2011 and had reduced to $399,900. It was available to either buy or rent (for $2750 a month).

It never sold and has now come back on the market.

If you recall, the building was built in 1922.

The unit has 3 bedrooms on the second floor and a formal dining room and the fourth bedroom on the first.

There is a unique 2-story living room with spiral staircase that leads to an open family room.

The kitchen has maple cabinets, granite counter tops and stainless steel appliances.

There are two refinished Kohler baths.

There is an in-unit washer/dryer but there is no deeded parking and no central air (window units only.)

It has come on the market for $50,000 more than its last list price in 2011, or $449,000.

Why isn’t everyone who couldn’t sell 2 years ago trying to sell now?

Cheryl Reid at Prudential Rubloff now has the listing. See the pictures here.

Unit #2: 4 bedrooms, 2 baths, no square footage listed

• Sold in May 1992 for $207,500
• Sold in June 2000 for $318,000
• Sold in July 2006 for $469,500
• Originally listed in August 2009
• Was listed in June 2010 for $475,000
• Reduced several times
• Was listed in January 2011 for $399,900
• Or you could have rented it for $2750 a month
• Withdrawn
• Currently re-listed for $449,000
• Assessments now $518 a month (they were $519 a month in 2011) (Last time they includes heat and cable, this time it just says water)
• Taxes now $8422 (they were $8104 in 2011)
• No central air- window units only
• Washer/Dryer in the unit
• No deeded parking- rental in the neighborhood
• Bedroom #1: 15×10 (second floor)
• Bedroom #2: 14×12 (second floor)
• Bedroom #3: 12×8 (second floor)
• Bedroom #4: 12×10 (main floor)
• Family room: 15×12 (second floor)

This 3-bedroom triplex penthouse loft in the Gallery Lofts at 3323 N. Paulina in Lakeview just came on the market.

It has many features that loft lovers crave including a timber beamed ceiling.

There is a 3-story atrium with a spiral staircase that connects the floors.

The kitchen, with maple cabinets and stainless steel appliances, is in the original elevator shaft.

It has west facing windows.

On the third floor there is a small “sitting room” which leads to a private 871 square foot rooftop deck with views of downtown.

It has central air, washer/dryer in the unit and 1-car garage parking.

The loft has come on the market $25,000 less than the 2006 purchase price at $750,000.

Is this loft a good alternative to a townhouse or single family home in this area?

Who’s the target market?

Todd Szwajkowski at Dream Town has the listing. See the pictures here.

Unit #5H: 3 bedrooms, 2.5 baths, 2754 square feet, 1 car parking

• Sold in May 2000 for $519,500
• Sold in April 2004 for $635,000
• Sold in October 2006 for $775,000
• Currently listed for $750,000
• Assessments of $406 a month
• Taxes of $3910
• Central Air
• Washer/Dryer in the unit
• Deck: 871 square feet
• Bedroom #1: 24×23 (second floor)
• Bedroom #2: 17×14 (main floor)
• Bedroom #3: 18×15 (second floor)
• Sitting room: 12×11 (third floor)

The latest monthly sales numbers are out from the Illinois Association of Realtors. They confirm what we’ve been talking about for months: the market is hot.

Statewide, April sales were the best since April 2007 – which was near the height of the boom.

The city of Chicago saw a 28.4 percent year-over-year home sales increase in April 2013 with 2,331 sales, up from 1,816 in April 2012. 

The median price of a home in the city of Chicago in April 2013 was $222,000 up 22.0 percent compared to April 2012 when it was $182,000. Chicago condo prices also saw strong gains for the month, posting a 21.1 percent jump to $272,500.

Here are the sales statistics for April since 2007:

• 2007: 2419 sales
• 2008: 1886 sales
• 2009: 1407 sales
• 2010: 1984 sales
• 2011: 1466 sales
• 2012: 1750 sales (I have 1750 from last year’s data- not 1816 as IAR says it was)
• 2013: 2331 sales

Here are the median prices:

• 2007: $289,800
• 2008: $300,000
• 2009: $218,000
• 2010: $225,000
• 2011: $169,000
• 2012: $184,400 (IAR says it was $182,000 but I have $184,400 from last year’s data)
• 2013: $222,000

“Housing numbers continue to indicate a steady market recovery in Chicago,” said REALTOR® Zeke Morris, president of the Chicago Association of REALTORS® and Operating Principal and Managing Broker, Keller Williams Realty, CCG. “We are pleased to see condo sales, in particular, regain their strength. The biggest challenge currently is a steep decline in inventory, which may pose difficulty for buyers looking for a wide selection in certain areas. On the other hand, it is a great time for people who are considering selling to talk with a REALTOR®.”

“The spring numbers are very encouraging, especially as we see substantial tightening of the numbers of homes on the market,” said Michael D. Oldenettel, CRS, GRI, president of the Illinois Association of REALTORS® and Managing Broker/Owner with RE/MAX Results Plus in Jacksonville, Ill. “While prices are inching up slightly due to strong demand, the interest rates continue to be a powerful lure for those who want to own a home and the spring housing market looks to be a strong one.”

The level of inventory statewide in April dropped 20.6% to 62,503 units. The average number of days on the market statewide also fell 19.8% to 89 days from 111 days in April 2012.

It was the best April since the boom years.

Will this level of activity be sustained through the summer months?

April home sales up 25.3 percent from a year ago; Statewide median price at $145,900 [Illinois Association of Realtors, Press Release, May 22, 2013]

Some of you will remember this 2-bedroom townhouse at 2820 N. Greenview in West Lakeview.

See our March 2012 chatter here.

It had originally sold in 2010 but then came back on the market in 2012 as “completely remodeled.”

It was removed from the market last May but has come back on to test it again.

It’s listed at the same price as last year, at $430,000.

If you recall, the kitchen has been updated. It now has dark cabinets, a tile backsplash, new sink, granite counter tops and stainless steel appliances.

The old listing had maple cabinets, corian counter tops and white appliances.

See the 2010 listing pictures here.

The two bedrooms are on the second floor along with a roof deck.

There is also a lower level family room.

The townhouse has 1-car parking.

The remodel didn’t seem to matter last year- but that was then and this is now.

Will this sell within the week?

Brian Ruff at D’Aprile Properties has the listing. See the pictures here.

Unit #E: 2 bedrooms, 2.5 baths, 2000 square feet, 1 car parking

• Sold in June 2000 for $345,000
• Sold in June 2010 for $420,000
• Originally listed in January 2012 for $440,000
• Reduced
• Was listed in March 2012 at $430,000
• Withdrawn in May 2012
• Currently listed at $430,000
• Assessments now $150 a month (they were $200 a month in March 2012)
• Taxes now $6657 (they were $6513 in March 2012)
• Central Air
• Bedroom #1: 14×12 (second floor)
• Bedroom #2: 12×10 (second floor)
• Family room: 23×14

We last chattered about this 3-bedroom loft at 152 W. Huron in River North in March 2013.

See our prior chatter here.

It had previously been on and off the market since 2010 – but was definitely also listed in 2012 with no sale. 

But the magic of 2013 prevailed as the loft came back on the market listed higher than a year ago and it sold within 2 months.

Listed this time around at $1.879 million, it just sold for $1.86 million.

If you recall this 3-bedroom brick and timber loft had 4000 square feet on one floor which is larger than many single family homes.

It had 13 foot high ceilings and a custom modern build-out.

The listing calls the kitchen “gourmet” with stainless steel appliances.

All three bedrooms were en suite.

There was a private elevator and 1-car garage parking.

We’re seeing a lot of properties that had been listed in previous years, with no sale, come back on the market to try again.

Is this the year when everything sells, no matter what the location, price etc?

Jennifer Ames at Coldwell Banker had the listing. You can still see the pictures here.

Unit #300: 3 bedrooms, 3.5 baths, 4000 square feet, 1 car parking

• Sold in May 2003 for $833,000
• Was listed in 2010-2011 as well. Was at least $2.1 million at one point.
• Was listed in April 2012 for $1.8 million
• Withdrawn
• Was listed in March 2013 for $1.879 million
• Sold in May 2013 for $1.86 million
• Assessments of $1,137 a month
• Taxes of $9260
• Central Air
• Washer/Dryer in the unit
• Bedroom #1: 17×16
• Bedroom #2: 17×13
• Bedroom #3: 12×16

What’s the problem with Chicago’s housing market?

According to Crain’s, it is the underwater homeowner.

More than 506,000 Chicago-area homes—or one-third of the market—were underwater as of the fourth quarter, according to California research firm CoreLogic Inc. That’s up 7.6 percent from the previous year.

Underwater properties are bogging down a residential market that’s clawing back from its post-crash ditch. By opting to stay put, these homeowners are removing a substantial portion of potential saleable properties from the market, limiting choices for those who are ready to buy.

Mr. Tregoning, 35, co-owner of a Chicago real estate brokerage, is one of a host of Chicago homeowners whose properties are “underwater,” meaning the debt on the house exceeds its current value. Mr. Tregoning figures his home would fetch just $350,000 or so in the current market—far less than the $380,000 in loans on the house near the axis of the Kennedy and Edens expressways, let alone the $420,000 he paid for it in 2006.

Selling now would require writing a check to the bank to make up the difference between the sales price and the debt. That’s a no-go, despite the family’s desire for more space and different school options. “We’d have to come to the table with probably 40 to 50 grand,” Mr. Tregoning says.

Inventories have crashed through the floor in the 9-county Chicagoland area.

Through March 2013, only 35,400 homes were listed, down 43% from a year ago. The peak number of listings was in July 2008 (pre-Lehman for anyone wondering), when it hit 103,949.

The lack of inventory is causing distortions in the market place, as we’ve chattered about before, such as multiple bids, paying over listing price, waiving inspections, and, in this case below, buying sight unseen.

For buyers, meanwhile, the process of finding and closing on a home has become a scrum—and it’s likely to stay that way for a while. This spring, showings are drawing crowds and bidding wars, and fast sales are common, buyers and brokers say.

“It’s frustrating just because whenever we’ve looked before, there’s been a pretty nice selection,” says Maribeth Brewer, 54, visual merchandising manager at the Field Museum.

Ms. Brewer and her husband have a contract to buy a two-flat near Diversey Avenue and Pulaski Road for $325,000, $6,000 above the list price. They did so sight unseen, burned by the loss of three other properties to competitors this spring.

When will this market “normalize”?

Will it take higher interest rates, higher selling prices, or both?

Or are multiple offers now the new norm?

How ‘underwater’ homeowners are stalling Chicago’s recovery [Crain’s Chicago Business, Micah Maidenberg, May 20, 2013]