Crib Chatter

We’ve never had a post on Crib Chatter where we’ve actually debated when the “bottom” will get here.

So we must be closer to it than any other time in the last 3 years since it’s now being discussed.

I’ve seen some housing analysts predicting a bottoming in prices, nationally, by the summer. But that was before the dismal October Case Shiller data was released which shows the likelihood of a double dip.

With lending still tight is it even possible to talk about a bottom?

What about the impact of foreclosures? Nearly 40% of current sales in Chicago are a distressed sale (either short sale or foreclosure.)

Does the bottom mean capitulation?

How much lower will prices have to go before we reach “the bottom?”

For those of you on the sidelines waiting for “the bottom”- how will you know it when we hit it? Rental parity? Cheaper than renting?

There are several wildcards in the quest for a bottom including:

1. Unemployment remains above 9% in the Chicagoland area
2. Mortgage rates are slowly rising
3. Possible tinkering by Washington with Fannie/Freddie/FHA

Will 2011 be the year when the market finally stabilizes?

In July 2010 we chattered about this 2-bedroom top floor unit in The Cambridge, at 3145 N. Cambridge in East Lakeview.

See our July 2010 chatter here.

It has been on and off the market since April 2009.

Since our last chatter, it has been reduced another $20,000 and is now listed for $41,000 under the 2007 purchase price.

It has 9-foot ceilings, a decorative fireplace and crown moldings.

The kitchen has been updated with 42 inch maple cabinets, granite counter tops and stainless steel appliances.

There is an in-unit washer/dryer but no central air and no parking.

What will it take to sell this property?

Jeff Lowe at Prudential Rubloff now has the listing. See the pictures here.

Unit #3: 2 bedrooms, 2 baths, 1300 square feet

• Sold in March 1992 for $147,000
• Sold in February 2007 for $340,000
• Originally listed in April 2009
• Withdrawn
• Re-listed for $329,000 in February 2010
• Reduced
• Was listed in July 2010 for $319,000
• Reduced
• Currently listed for $299,000
• Assessments of $397 a month (includes heat)
• Taxes of $3757
• No central air- window units
• In-unit washer/dryer
• No Parking
• Bedroom #1: 14×12
• Bedroom #2: 13×8
• Dining room: 13×17

This 5-bedroom home at 3251 N. Lakewood in the Southport neighborhood of Lakeview has been on the market since April 2009.

It was newly built in 2009 and has still not sold from the developer.

The house has been reduced $255,000 in that time.

The brick and limestone house was built on a standard 25×125 Chicago lot.

The listing says it has an extra wide 20 foot interior.

4 bedrooms are on the second floor with the 5th in the lower level.

It also has luxury millwork, moldings and a mahogany library.

The house has a 2-tiered deck and a 2-car garage.

These unsold million dollar homes almost made it into the top 3 biggest stories of 2011, as they did for 2010.

Will they finally start selling in 2011?

Jennifer Ames at Coldwell Banker has the listing. See the pictures here.

3251 N. Lakewood: 5 bedrooms, 4.5 baths, 5200 square feet, 2 car garage

• Sold in March 2006 for $695,000 (the prior house which was torn down)
• Originally listed in April 2009 for $2.38 million
• Reduced several times
• Currently listed for $2.125 million
• Taxes of $6040
• Central Air
• Bedroom #1: 20×15 (second floor)
• Bedroom #2: 14×11 (second floor)
• Bedroom #3: 11×14 (second floor)
• Bedroom #4: 11×10 (second floor)
• Bedroom #5: 11×14 (lower level)

In 2010, foreclosures were expected to be one of the biggest stories of the housing market.

Instead, in many neighborhoods, it was short sales which really dominated the Chicago housing market landscape.

For example, this 1-bedroom unit at 2700 N. Halsted in Lincoln Park has been on the market 16 months and is now a short sale.

Built in 2002, this 850 square foot unit has everything buyers look for.

The kitchen has 42 inch maple cabinets, granite counter tops and stainless steel appliances.

There is an in-unit washer/dryer, central air, deeded parking and a small balcony overlooking Halsted.

Assessments are relatively low at just $200 a month.

Yet this short sale still isn’t selling even though the property has been reduced $76,000 since it was originally listed in August 2009.

Will short sales become the sales method of choice for many in 2011?

How many short sales will actually sell?

And how many will come back on the market as bank owned properties?

With many buyers having difficulty buying short sales (due to long wait times from banks etc.)- will the increase in short sales only add further chaos to the housing market?

Eric Newman at @Properties has the listing. See the pictures here.

Unit #208: 1 bedroom, 1 bath, 850 square feet

• I couldn’t find an original sales price but it sold in March 2003 for somewhere just over $300,000
• Originally listed in August 2009 for $325,000
• Lis pendens foreclosure filed in December 2009
• Listed in July 2010 for $285,000
• Reduced
• Currently listed as a “short sale” for $249,000 (parking included)
• Assessments of $200 a month
• Taxes of $4304
• Central Air
• In-unit washer/dryer
• Bedroom: 15×12
• Living room: 25×12
• Kitchen: 10×9

This 3-bedroom unit at 1742 N. North Park in Old Town just came on the market.

It is bank owned.

The 8-unit vintage building was converted into condos in 2007. It looks like this unit never sold from the developer.

Two of the three bedrooms are on the main level with the third on the lower level along with a 11×8 den.

It is also a rare 3-bathroom unit (instead of 2 baths.)

From the pictures, the kitchen and at least one bathroom are intact. The kitchen has stainless steel appliances.

The unit has central air and a washer/dryer in the unit but there is no deeded parking.

The listing says it has north and east exposures.

The “sister” unit, Unit #1S, sold in October 2007 for $525,000.

Is this even much of a deal?

Art Collazo at Jameson has the listing. See the pictures here.

Unit #1N: 3 bedrooms, 3 baths, no square footage listed

• I can’t find a prior sales price- possibly never sold from the developer
• Lis pendens filed in November 2008
• Bank owned in November 2010
• Listing says originally listed for $599,000 (would have been in 2007-2008)
• Currently listed for $400,000
• Assessments of $325 a month
• Taxes of $7060
• Central Air
• Washer/Dryer in the unit
• No parking
• Bedroom #1: 16×11 (main)
• Bedroom #2: 11×10 (main)
• Bedroom #3: 11×11 (lower level)
• Den: 11×8 (lower level)

This 1-bedroom at 160 E. Illinois, or Avenue East, in Streeterville recently came on the market.

It is bank owned and is listed for $200,600, or about 41%, under the 2007 purchase price.

From the pictures, it appears that the kitchen is intact but it has white appliances alongside granite counter tops.

The listing says there are marble floors in the master bath.

I can’t quite figure out if parking is included in the listing or not. All it says is: “PLUS RENTED PARKING SPACE.”

At 1071 square feet, it is the larger 1-bedroom floorplan in the building. That includes a den. 

Is this a deal for the square footage and location?

Robert Shutay at Realty Executive Ambassador has the listing. See the pictures here.

Unit #1805: 1 bedroom, 1.5 baths, 1071 square feet

• Sold in November 2007 for $483,500
• Lis pendens foreclosure filed in July 2009
• Bank owned in June 2010
• Currently listed for $282,900
• Assessments aren’t listed (Unit #1205, also for sale, lists them as $576 a month which includes cable, doorman, heat, a/c)
• Taxes of $6594
• Central Air
• Washer/Dryer hook-up in the unit
• Can’t tell if parking is included. But it’s available in the building for $25,000 extra
• Bedroom: 14×12
• Den: 10×9

I get at least one e-mail a week from people with tips on properties that were bought from the bank, have been “renovated” (with various different definitions of this word), and are now being resold.

This is different from a “flip” which means that there was nothing done to the property from one sale to the next.

Just a few days ago, someone posted that the house at 3447 N. Paulina in Lakeview that we chattered about in October 2010 which sold for just $275,000 (it was on a standard lot but was being sold as a rehab or for the land value) is being rehabbed with new siding and windows.

See our October 2010 chatter here.

Here was its sale history:

3447 N. Paulina: 3 bedrooms, 1.5 baths, 1320 square feet, 2 car garage

• Sold sometime before 1991
• Originally listed in March 2008
• Withdrawn
• Was listed in July 2010 as “as-is” and a “builder’s/rehabber’s dream” for $349,000
• Sold in September 2010 for $275,000
• Taxes of $712 (no- not a typo)
• No central air
• Bedroom #1: 11×20
• Bedroom #2: 10×14
• Bedroom #3: 8×11

This is what it looked like before.

Will it come back on the market shortly? Or is the buyer actually rehabbing it to live in?

We’ll have to wait and see but I’ll be watching to see if it comes back on the market in time for spring selling season.

Will the technique of buying a foreclosure on the cheap, putting some money into the renovation, and selling for a big gain be the only way to make money in real estate in 2011?

I missed the sale on this 3-bedroom vintage rowhouse at 822 W. Windsor in Uptown.

We chattered about it a couple of times. See our July 2010 chatter here.

It had been reduced in July 2010.

The rowhouse finally sold in October 2010 for $79,000 under its January 2010 list price.

It had many of its vintage features intact along with a newer kitchen, baths and windows.

But it had no air conditioning or garage, two features that many buyers look for.

Did someone get a deal?

Joe Siciliano at Coldwell Banker had the listing.

822 W. Windsor: 3 bedrooms, 2.5 baths, no square footage listed

• Sold in November 1993 for $95,000
• Sold in December 1995 for $110,500
• Sold in February 1997 for $136,000
• Originally listed in September 2009
• Re-listed in January 2010 for $429,000
• Under Contract
• Back on the market in June 2010 for $399,000
• Reduced
• Was listed in July 2010 for $379,000
• Sold in October 2010 for $350,000
• Taxes of $5497
• No central air
• No parking
• Bedroom #1: 17×16
• Bedroom #2: 12×11
• Bedroom #3: 11×10

This 3 bedroom duplex down at 848 W. Roscoe in Lakeview has been on and off the market since September 2008.

In that time, it has been reduced $138,100.

Built in 2003, two of the three bedrooms are on the main floor with the third in the lower level.

It also has a 18×17 family room in the lower level.

It has two outdoor spaces with a south facing patio as well as a rear deck. The unit also has a garage with a heated driveway.

The kitchen has the finishes you’d expect in newer construction including stainless steel appliances and granite counter tops.

What will it take to finally sell this unit?

Keith Goad at Keller Williams has the listing. See the pictures here.

Unit #1: 3 bedrooms, 3 baths, duplex down, no square footage listed

• Sold in September 2003 for $540,000
• Originally listed in September 2008 for $715,000
• Reduced many times
• Currently listed for $576,900 (parking included)
• Assessments of $228 a month
• Taxes of $7729
• Bedroom #1: 13×12 (main level)
• Bedroom #2: 12×10 (main level)
• Bedroom #3: 13×10 (lower level)

This 4-bedroom single family home at 3826 N. Racine in Lakeview just came on the market.

It is listed for $320,000 which is also $40,000 under the 2002 purchase price.

The listing says it is in the Blaine school district.

It is also just a short stroll to Wrigley Field.

Built in 1897, it is on a smaller than standard Chicago lot of 30×81.

3 out of the 4 bedrooms are on the second floor with the 4th in the basement.

It has central air and the listing says there is 3-car parking in the rear.

There is currently a tenant renting it on a month to month lease.

The listing has no interior pictures.

But even without seeing the interior, is this a deal for the location?

Susan Tetrault at @Properties has the listing. See the exterior picture here.

3826 N. Racine: 4 bedrooms, 2.5 baths, 3 car parking, no square footage listed

• Sold in October 2002 for $360,000
• Lis pendens filed in November 2009
• Currently listed for $320,000
• Taxes of $10,746
• Central Air
• Bedroom #1: 16×16
• Bedroom #2: 12×11
• Bedroom #3: 12×10
• Bedroom #4: 18×10 (lower level)