Video: $8,000 Tax Credit for First-Time Buyers

In this YouTube video, the tax economist for the National Association of Home Builders explains how first-time homebuyers can receive an $8,000 tax credit (refund) when buying any home as a primary residence.

Free Directory of 216 Doormen

Verified phone numbers of door stations at 216 Chicago condos are now available in a Directory of Doormen, compiled by ChicagoCondosOnline.com.

For your free copy, e-mail Ric14@ChicagoCondosOnline.com. If you are an agent, once you receive the directory, please respond with the phone number of at least one door station not listed, for inclusion in the next edition.

New-Construction Update: 4/27/09

Oakley Pointe

Every Monday, with help from our friends at YoChicago.com, we present vital data on five condos under construction.

To view Building Profile on ChicagoCondosOnline.com, click address. To visit developer’s Web site, click name. To use Chicago's best condo search engine to review in-depth profiles of 900+ new-construction properties and find the unit types that meet any combination of 100 preferences, click here.

2520 S. Oakley, Oakley Pointe
9 of 21 available, 2 BR, $220K-$290K, Delivery now
Developed by NA, Marketed by Koenig & Strey

1200 W. Roosevelt, Roosevelt Square
19 of 420 available, 1-3 BR, $320K-$690K, Delivery now
Developed and Marketed by Related Midwest and Quests

1615 S. Miller, Miller Place
4 of 6 available, 2 BR, $270K, Delivery now
Developed by NA, Marketed by @properties

2491-2513 N. Milwaukee, Logan Station
20 of 60 available, 1-3 BR, $200K-$400K, Delivery June
Developed and Marketed by Paramount Homes

1621 S. Carpenter, Chantico South
5 of 9 available, 1-2 BR, $190K-$370K, Delivery now
Developed by Lipe, Marketed by Jameson

Previous New-Construction Updates

Bargains: County to Auction 3 Condos May 15

Three Chicago condos will be sold by the county to the highest bidders on Friday, May 15.

They are:
* Unit 710, 6118 N. Sheridan, 1BR/1BA, appraised at $76,000
* Unit 4A, 6141 W. Higgins, 2BR/1.5BA, appraised at $179,000
* Unit 105, 4215 N. Keystone, 1BR/1BA, appraised at $145,000

The auction will take place at 10 a.m. in Room 569 of the County Building, 118 N. Clark.

For details, including viewing dates, contact the Real Estate Department at the Office of the Public Administrator at (312) 603-0100 or visit cookcountygov.com.

New-Construction Update: 4/20/09

Zen

Every Monday, with help from our friends at YoChicago.com, we present vital data on five condos under construction.

To view Building Profile on ChicagoCondosOnline.com, click address. To visit developer’s Web site, click name. To use Chicago's best condo search engine to review in-depth profiles of 900+ new-construction properties and find the unit types that meet any combination of 100 preferences, click here.

225 S. Sangamon, Zen
4 of 78 available, 1-2 BR, $260K-$390K, Delivery now
Developed and Marketed by Oculus Development

118 N. Halsted, 118 N. Halsted
4 of 9 available, 3-4 BR, $490K-$620K, Delivery now
Developed and Marketed by RMR Partners

50 E. Chestnut, 50 E. Chestnut
11 of 34 available, 3 BR, $2.87M-$3.56M, Delivery now
Developed and Marketed by Jameson Real Estate

2150 W. North, 2150 W. North
3 of 12 available, 2-3 BR, $490K-$560K, Delivery now
Developed by NA, Marketed by Prime Properties Realty

925 N. Larrabee, Sky Life
5 of 6 available, 3 BR, $690K-$790K, Delivery now
Developed by NA, Marketed by North Clybourn Group

Previous New-Construction Updates

Developers Offering Rent-to-Own Options

According to Celeste Busk in today's Chicago Sun-Times, cash-strapped home buyers have an option to rent-to-own at many Chicago condo developments. Highlights:

One popular reason for renting to own is that most agreements don't require a hefty down payment or upfront costs. Terms vary per property and oftentimes are specifically customized by the financial situation of the renter.

On the Near South Side, New West Realty has launched a rent-to-own program at Eastgate Village, a 300-unit development at 26th Street and Martin Luther King Drive. The 10-acre village features a mix of 3-story townhomes and walk-up condominium buildings.

The program calls for 75 percent of the prospective buyer's monthly rent to be held in escrow as down payment cash to purchase the residence at the end of the year.

The 1-bedroom, 2-bedroom and 3-bedroom condos are priced from the upper $200,000s to the $500,000 bracket. Eight walk-up condos are targeted for the program.

For example, the Adler 62A floor plan is priced at $279,900. Under the program, the buyer of the 2-bedroom condo would lease the unit for one year at a monthly rent of $1,650. With 75 percent of the rent -- $1,237.50 -- escrowed each month in the down-payment account, the buyer would have accumulated $14,850 in cash by the end of the year.

Details at (312) 683-0660 or eastgatevillagechicago.com.

Another lease-to-own program is run by Builders Center of Chicago, which has offices on the North and South Sides. Depending on the property, clients may pay a small upfront fee, and up to 47 percent of the rent will go toward ownership.

Builders Center has a variety of 1- to 3-bedroom condos and town houses priced from $155,000 to $400,000. One property is a 10-unit building at 4234 S. Ellis. Another is a 25-unit condo conversion at 1412 W. Arthur in Rogers Park.

Details at (773) 751-5151 or road2ownership.com.

Emerald Buyers Get $35K Parking Space Free

According to the Chicago Tribune, buyers who purchase a one-bedroom residence at Emerald, a 212-unit condo at Green and Monroe Streets, by May 15 will receive free deeded parking, a $35,000 value. One-bedroom units are priced from $270,000.

Details at 312-226-0555, or emeraldchicago.com.

New-Construction Update: 4/13/09

Landmark Square

Every Monday, with help from our friends at YoChicago.com, we present vital data on five condos under construction.

To view Building Profile on ChicagoCondosOnline.com, click address. To visit developer’s Web site, click name. To use Chicago's best condo search engine to review in-depth profiles of 900+ new-construction properties and find the unit types that meet any combination of 100 preferences, click here.

3323 S. Prairie, Landmark Square
4 of 12 available, 2-4 BR, $270K-$370K, Delivery now
Developed by Ferro Dipiazza, Marketed by Coldwell Banker

2041 W. Roscoe, 2041 W. Roscoe
3 of 3 available, 2-4 BR, $570K-$1.6M, Delivery June
Developed by NA, Marketed by Baird & Warner

950 W. Leland, 950 W. Leland
30 of 60 available, 1-2 BR, $180K-$290K, Delivery now
Developed by Avalon, Marketed by Baird & Warner

3701 N Kenneth, Kenneth Court
8 of 72 available, 2 BR, $190K-$210K, Delivery now
Developed by NA, Marketed by Koenig & Strey GMAC

2353 W. Belden, 2353 W. Belden
3 of 5 available, 3 BR, $430K-$490K, Delivery now
Developed by NA, Marketed by Koenig & Strey GMAC

Previous New-Construction Updates

Advisory Council Proposal Ready for Review

In an article in today's Chicago Tribune, Pamela Dittmer McKuen outlines recommendations made by the Condominium Advisory Council of Illinois, which is nearly finished with its year-long assignment to identify the most vexing issues facing condominium owners and associations, and figure out how to fix them.

A draft proposal is in writing, ready for a final round of commentary before it is submitted to state lawmakers. Committee member Rep. Harry Osterman (D-Chicago) is seeking comment until April 21. To obtain a copy of the draft proposal, call his office at 773-784-2002 or e-mail hjo17@aol.com.

The proposal contains dozens of recommendations. Some are semantic and others require significant change. Two issues are critical: the adverse effect of foreclosures on associations and protecting owners from dishonest, underfinanced or inexperienced developers, said Osterman.

"We heard a lot about the financial hardship foreclosures put on associations, whether they are big or small," he said. "We want to help them recoup some additional costs from those sales."

The proposal also calls for developers to put money in escrow until after the project has been completed.

Other recommendations:

• An ombudsman's office will be created to investigate complaints and provide educational materials for owners and buyers. A mediation panel will hear disputes between willing and aggrieved parties; the decisions of the panel are binding.

• Property managers must register with the Department of Professional Regulation and complete at least 20 hours of continuing education every three years.

• Owners must purchase insurance for their personal property and the interior of their units.

• Smoking will be banned in common areas.

Bargains: From April 15-29, $15,000 Off

According to today's Chicago Tribune, The Partnership for New Communities is offering a $15,000 grant from April 15-29 for condo buyers at four Chicago developments.

The money can be used toward the down payment and is in addition to the federal tax credit of up to $8,000 available to first-time buyers (those who have not owned a home in the past three years).

The incentive is available at Oakwood Shores and Park Boulevard on the Near South Side, Parkside of Old Town on the North Side, and at Roosevelt Square on the Near West Side.

For more information, visit findyourplaceinchicago.org.

MRED: Closings Drop 54%, Dollars Down 60%

According to figures released today by Midwest Real Estate Data (MRED), our regional Multiple Listing Service, unit sales of Chicago condos are down 54% year to date, while total dollar volume is down 60%. Median sales price is down 9%.

From January 1 through March 31, the number of units closed in the city total 1,349 in 2009 compared to 2,920 in 2008. The dollar volume for those units dropped to $462 million so far this year compared to $1.158 billion last year.

Comments Dave Hanna, president of the Chicago Association of Realtors:

"Multiple forces at work here. Lowest percentage of total sales that are 'Distressed property' (foreclosures and short sales) by property type: Condominiums. Most active category of sales, all housing types: Distressed properties. Investors are looking to: Distressed property.

"Add in the challenges of financing with FHA (no loans to associations of four units or less and no loans to associations with the Right of First refusal), Fannie and Freddie (arcane new lending requirements tied to occupancy and delinquency in assessments strangling new-construction projects and recently sold buildings) and it is not a surprise to see the numbers for condos drop as homebuyers look elsewhere for a place to live with more options for financing."

For condos closed year to date, the median sales price is $285,000, down 9% from 2008. Average market time: 155 days, up 21%.

Comparing March sales of Chicago condos to February sales, one finds a brighter picture, influenced by seasonal upticks:
* Units closed increased by 47%, from 384 to 563
* Dollar volume was up 44%, from $130 million to $187 million
* Median sales price increased by 1%, from $278,000 to $280,000.

New-Construction Update: 4/6/09

Luxhaven

Every Monday, with help from our friends at YoChicago.com, we present vital data on five condos under construction.

To view Building Profile on ChicagoCondosOnline.com, click address. To visit developer’s Web site, click name. To use Chicago's best condo search engine to review in-depth profiles of 900+ new-construction properties and find the unit types that meet any combination of 100 preferences, click here.

1733 W. Cornelia, Luxhaven
8 of 8 available, 1-3 BR, $330K-$720K, Delivery 2009
Developed by Trianon, Marketed by C21 Sussex & Reilly

3255 N. Paulina, 3255 N. Paulina
1 of 9 available, 2 BR, $560K, Delivery now
Developed by NA, Marketed by Jameson

323 W. Webster, Park Webster
4 of 4 available, 2-3 BR, $870K-$1.2M, Delivery now
Developed by Mod Two, Marketed by Sudler Sotheby's

3553-3559 W. Montrose, The Delano
6 of 16 available, 2-4 BR, $270K-$480K, Delivery now
Developed by Ultimate, Marketed by Sergio & Banks

340 W. Evergreen, 340 Evergreen
4 of 9 available, 3-4 BR, $680K-$1.3M, Delivery now
Developed by ITK2 Development, Marketed by Jameson

Previous New-Construction Updates

Estimating Taxes on New Construction

On his excellent blog, YourWindyCityGuide.com, @properties agent Bob Darrow offers some tips on how to estimate the property taxes on a unit you buy in new construction. Excerpts:

When you buy a new construction house, townhouse or condo, or maybe in a new condominium conversion of an existing building, you will not know what the property taxes are. You will have to guess. The reason: the tax assessment has not been calculated for the new type of property.

In popular north-side neighborhoods, a rule of thumb will be 2% of the purchase price. Odds are, your bank is going to use the 2% figure to decide whether you can afford your new home. And the bank is going to start using the 2% figure for your tax escrow.

In reality, your tax bills will most likely be lower. In the Lakeview neighborhood, you can expect your taxes to come in at around 1.6% of purchase price. In Lincoln Park, around 1.75% of purchase price.

As in life, however, there are no guarantees.