South Loop Townhouse Selling at a Loss: 1938 S. Prairie
The listing for this 2-bedroom townhouse at 1938 S. Prairie in the South Loop simply lays it out there:
“Priced below original purchase price — owner relocating!”
But from the sales info, it appears that there hasn’t been much appreciation in the property in a couple of years.
South Loop townhouses have been hot the last 5 years. Does this listing indicate that they’re now not so hot?
Judy Howard at Rubloff has the listing. See more pictures on the property’s website here.
1938 S. Prairie: 2 bedrooms, 2.5 baths, 2300 square feet
- Sold in October 2001 for $363,000
- Sold in January 2002 for $484,500
- Sold in June 2006 for $626,000
- Sold in June 2007 for $621,500
- Currently listed for $599,900
- Assessments of $385 a month
- Taxes of $5,534
Does anyone else (because the trolls) think that $600k is a lot of money for a townhome on the south side?
“Priced below original purchase price — owner relocating!”
“Owner unrealistic about current state of market — unwilling to suck it up and lick his wounds! Expect several future price reductions!”
its a lot of money anywhere. This particular property is just a couple of blocks from some dodgy nieghborhoods. Now that the recession is here, the hood will claim what the hood lost.
ET,
I wouldn’t necessarily categorize it as that. This owner is losing money and is willing to do so. It is likely that 30k is all they are able to bring to the table.
Even if the unit is significantly overpriced, the mere fact that the owner is willing to bring this amount of cash to closing indicates that they are better grounded in reality than 99% of the sellers of properties this site features who are stuck in the ‘real estate always goes up’ mentality.
http://consumerist.com/5034408/homeowners-in-denial-everyones-house-is-worth-less-except-yours
I agree that it’s refreshing to see someone who is willing to list for less than they paid right off the bat. However, I would NEVER pay this kind of money for a townhouse in the south loop. Do a search for 2 bed/2 bath townhouses in Lakeview or LP and see how many you have to choose from for under 600K. Yes, some need updating (although so does this place, in my opinion) and yes, some won’t be 2300 square feet, but I’d gladly compromise a bit on room sizes to get a townhouse for 150K less in a much better area with tons of restaurants and retail within walking distance.
I was going to make a snarky comment about how the 2007 buyer should have been expecting trouble when his seller had to bring cash to closing, but there is something odd in the public record (via CCRD).
The 2007 purchase does not seem to involve the 2006 buyer, and includes several PINs in the same property (presumably neighboring townhouses). The 2007 seller bought the root (-0000) PIN several years ago. I don’t know what the 2007 purchase might represent — maybe the developer selling common areas to another developer. Anyone want to poke at this?
If the 2006 buyer is still the owner (and thus the current seller), he isn’t upside-down on the mortgage (since he put about 5% down). He will need to bring substantial cash to closing, however, to pay the realtors.
“[re PIN funkiness]”
Also could be the result of inconsistent PIN assignments–maybe the -0000 PIN is assigned to one of the other THs?
There’s a good chance that relocating owner will have any loss covered by his new employer. It’s a pretty standard clause in an employment contract once you move up enough rungs.
I’ve seen several homes with relocating owners that were “priced for a quick sale.” Yet the prices were still not compelling.
Speaking of townhomes closer to the South Loop, how do posters feel about the townhomes at University Village/Ivy Hall?? I recently looked at a couple of townhomes there. The link to their floorplans is here: (http://www.ivyhall-uv.com/floorplan.html).
What do people think about this neighborhood? It seems quite nice with the parks and green spaces. There also is a lot of retail on Halsted and it seems like the residential growth will continue in this area. What kind of prices are fair for a 2 bed or 3 bed townhome in this area?? By the listings on this page (http://www.ivyhall-uv.com/ready_for_you.html) they have a few homes available.
Stay away from Universtiy Village! There is so much crime there.
I live in a townhome in University Village. I have felt very safe in this neighborhood. Yes, there was a murder about 3 years ago. It was more a random act of violence than something endemic to the area. I ran into a police officer a few months ago and I asked him what he thought the crime level was in University Village. He said that it’s mostly been car break ins.
Many other locations seem to have adopted the “University Village” moniker. I know that some of the areas outside of University Village proper have relatively high rates of crime.
We have nice neighbors and the streets are quiet. People are friendly.
The house cost about $500,000 three years ago. I have been looking at sales numbers and I haven’t seen any townhomes selling for less than $500,000 (so far).
The University Village area has changed a lot over the years. It’s history includes the Maxwell flea market, south Water street produce market, and many family run discount stores. Housing was tenement style apartments, numerous burned out buildings, and vacant lots. It’s population was traditionally poor and I can recall seeing bonfires keeping folks warm when I went to buy produce in the wee hours of the morning. This history and past is hard to shake, even when things have changed. That being said, University Village was traditionally the area between the two University of Illinois campuses and has grown larger each year.
Is this one of the townhomes with the garage/office on FL 1, the kitchen/power/LR on FL 2, and 2 bd/2ba on FL 3?
I’ve always questioned how these can be “2,300” sq. ft.
I think if you back out the garage, lost space for vertical penetrations (stairs) etc. you end up with the same space as a 2bd, 2.5 ba condo, which is really closer to 1,700 sq ft.
Is $600K to high? It all depends on the prices of single family homes. Townhomes are for those who can’t afford SF’s.
I would imagine the garage is about 400-500 sq feet and the house is the rest which makes it about 1800-1900 sq feet.
The single family homes that are left start at 1.3MM and are 4 bed/3.5 bath with about 4300 sq feet. In my opinion, the single families are really in another level in terms of pricing and the townhomes compete quite well with condos with the same sq footage and features. If you like the area and the feel of the parks and green areas in University Village, the townhomes are great value for the money.
Satre said – “This particular property is just a couple of blocks from some dodgy nieghborhoods. Now that the recession is here, the hood will claim what the hood lost.”
This is the most idiotic post I have read here. That Prairie District area is one of the safest areas of the South Loop. The number of families and new construction over $1MM is prevalent. Add the transformation of Motor Row & McCormick Place to the South, Central Station on the bordering North, under construction development of Michigan & Wabash to the west, a refurbished Soldier Field/Lake Front path to the east, you can see why this area is building a desirable buffer to go along with great cultural ameneties. The area is also about to get a Park District Community Center in the fall.
From what I read in the Chicago Journal, the pin assessment you point out is due to the fact that the developer & CCRD incorrectly assigned the common area to a few of the individual units, thereby increasing the tax calculation due to a rediculous amount of land assigned to each unit. FUBAR.
The area is still really ghetto. I wouldn’t feel safe walking there at night. The new townhomes look like projects, seriously.
This is a classic example of how the housing bubble made people believe cheap cookie cutter homes in ghetto places would magical be worth $600,000.
Plus you are by UIC, one of the ugliest campuses to ever be built.
What would you do for fun in that area ? Walk to UIC and hang out at cook county hospital ?
$250,000 is the most I or any sane buyer would pay for a new townhome in ‘University’ Village.
“Townhomes are for those who can’t afford SF’s.”
No, townhomes are for developers who build as much housing on the smallest parcel of land for the lowest possible cost.
Ivy Hall:
IIRC, you pass them on the Dan Ryan about 14th street. Most of the development is west of the dan ryan but there are a few townhomes on a tiny tiny parcel of land adjacent to and east of the Dan Ryan. They over look about 8 or 10 railroad tracks and a large trucking depot (UPS I think). You can exit your front door and be underneath the Dan Ryan itself. The end unit is directy next to the highway. I mean you can stick your head out the window and suck on exhaust pipes if you wanted to. This developer got a little ahead of itself; just because you can build townhomes on a small gritty industrial piece of land doesn’t mean people will want to live there. And I don’t think anyone does.
And according to the website, townhomes start at $599k! Good luck with that!
This property sold for $330,000 on 1/25/2012.