Evanston IL Real Estate

I often like to respond to people who have visited my blog and are looking for answers to real estate questions.  Recently, I noticed some ask ” How is a Short Sale Different from a Normal Sale?” Here is my answer to this person:

SHORT SALES TAKE MORE TIME:

The process of buying a short sale takes more time to sell. Typically, a short sale can take between 3-6 months for the bank to approve a short sale.

SOLD “AS- IS” CONDITION:

When buying a short sale you are buying the home in “AS-IS” condition.  It is the responsibility of the buyer to do a home inspection prior to writing an offer because the bank will not allow any sales contigency that would require or reduce the  purchase price in the initial offer.

 TRANSFER OF INITIAL EARNEST MONEY:

The offer must include an initial earnest money and balance of earnest money but typically no money is required from the buyer until the offer has been approved by the bank

FINANCING:

Buying a short sale property requires the buyer to either show proof of funds if a cash offer or be pre-approved for a loan which is subject only to an appraisal. Once the lien holder has approved the short sale the buyer must be prepared to close within 15 days from the date of the approval.

OFFER CAN BE WITHDRAWN AT ANYTIME:

The buyer has the opportunity to withdraw their offer at anytime during the process. This allows the buyer to continue to look for other property on the market while still negotiating an offer with the bank.

THE BANK RESERVES THE RIGHT TO CONTINUE MARKETING THE PROPERTY:

Because it takes so long to negotiate a short sale the bank reserves the right to continue marketing the property until it closes. Typically there are multiple buyers ( primary and back up buyers) in and out of the buying process and the bank wants to net the highest dollar to minimize their loss.

For more information on Short sales please visit my 800 number:

1-888-307-7311

Understanding short sales:  Extension 8

Pre- Foreclosure Specialist: Extension 11

I am happy to announce my new website address to serve you better.

I am all about providing the public with FREE INFORMATION about the Real Estate Market in Evanston, Chicago, and the North Shore. As you visit the site I think you will find it very easy to use. Just scroll down to the picture tabs on the home page to search for listings, school information, featured listings, mortgage information, buyer and seller tips, and a way to contact me personally. If you want to find out how much your home is worth before contacting an agent just go to the Select Page and scroll down to Recent Home Sales. I hope you enjoy the new website and tell others to visit.

Short Sales was the lead article in the Chicago Tribune this Saturday May 31, 2008. The article” Break for Sellers: Banks settle for less” defined short sales as the process where homeowners owe more than the house is worth.It went on to say that the housing crisis is so severe that both lenders and home owners see short sales as an acceptable alternative.

It is good to see an article open to discuss a difficult topic and it is even harder to give accurate information on the subject. For instance, the article interviewed a realtor who feels short sales is “screwing up” a lot of stuff. This realtor went on to say short sales in his market was the healthiest part of the real estate market now along with bank owned property. The article also accused short sales of scewing the market data, bringing home values down, and making neighborhoods look less valuable. I thought about this long and hard and decided to see some data in my own real estate market of Evanston, IL. Right now, Evanston has 360 single family homes for sale. There are 15 homes listed as short sales, and another 3 listed as bank owned properties. These 18 homes represent a total .05 % of the real estate market in Evanston. Clearly, it will take a long time for short sales to take over the real estate market in Evanston, Il.  During the past couple of months 1 short sale has gone under contracct, 1 short sale has closed, and 1 bank owned property has closed in Evanston, IL.  I cannot blame the loss in value to all homes in Evanston, Il to these few  sales.

Further down in the article it stated it can take up to six months for lender approval for a short sale and this alone is removing potential buyers from considering non-short-sale home listings. While it is taking longer for banks to approve short sales it is not taking them away from normal real estate transactions. In Evanston there are 83 homes currently under contract and only 1 of these is a short sale. Clearly there are buyers looking to purchase homes that are not short sales in my market of Evanston, IL.

I think I am going to end this by saying that short sales are a realty and need to be dealt with but it should not be blamed for all of the problems we are now facing in the real estate market.

We just ended the first quarter and it is always interesting to look at the numbers and make assumptions about the relative strength or weakness of my local real estate market of Evanston IL.

As we all hear the national news about tumbling real estate prices, large numbers of homes on the market and rising foreclosures I am always challenged to make sense out this information and see how it applies to my local market in Evanston. The information I will be sharing with you here comes from my local MLS but the interpretations are strictly my own. I am sure others will not agree with me and have there own interpretations and that is ok with me.

ACTIVE

SINGLE FAMILY MARKET

In Evanston there are 275 single family homes on the market for sale. Of those 181 are homes that have been on the market 90 days or more. This means much of the current inventory of homes are homes that were on the market in the last quarter of 2007.

In Evanston there are 21 new single family homes on the market for sale.These are homes that are really new and not recycled old listings. Of those 4 are homes that are short sales and 1 is bank owned.

CONDO MARKET:
In Evanston there are 646 condos on the market for sale. Of those 342 are condo’s that have been on the market for 90 days or more. This means tha much of the current inventory of condo’s are those that were on the market in the last quarter of 2007.

In Evanston there are 33 new condo’s on the market for sale. These are condo’s that are really new and not recycled old listings. Of those 4 are short sales and 0 are bank owned.

SOLD

in Evanston 56 homes have sold with the average market time of 172 days. The Average sale price was $597,000 and the total sales volume to date is $33,441,500. During the same period in 2007, 58 homes sold in Evanston with the average sale price being $710,352 and the total sale volume of $41,200,400. What the numbers tell us is that we are not off on the number of homes sold this year as compared to last year but the average price of homes is dropping and affecting the total sales volume.

CONDO MARKET:

In Evanston 56 condo’s have sold with the average market time of 217 days. The Average sale price was $329,000 and the total sales volume was $18,458,311. During the same period in 2007, 143 condo’s sold with the average sale price $351,421 and the total sales volume being $50,253,266. What the numbers tell us is that the condo market is getting weaker, prices are falling and total sales volume is down. My question here is this because of new construction which is not reflected here in these figures or is really because the condo market is saturated with too much inventory. It is hard to tell at this point of the year.

In 2000 35 million people 65 years of age and over were counted in the United States. Out of those 18.4 million were between the age of 65 and 74 years old. This group (65-74) represents 53% of all older adults.

The percent of people 65 years and over living in nursing homes is declining particularly for those people 85 years and over, where only 18 percent were living in nursing homes in 2000. If this trend continues with the baby boomers becoming the next largest group of seniors then we should see an increase in sales for this age market.

If you want more information on this subject or would like to discuss real estate options for you, I have set up a special hot line just for you.

Free Information 24 hours

1-888-307-7311  Ext 17

just got off the phone with a client who has a plan to retire in Hawaii in the next couple of years. His ultimate scenario is to find a house on the beach. This struck me because there are many different ways to plan for your retirement and many different places to choose to live. Do you want to live on the beach, or how about in the mountains, in a rural setting or urban setting. Different strokes for different folks. To start your planning pick up a book or magazine. I just recently received a copy of a magazine titled” Where to Retire” and one of the articles in the magazine is ” The best tax heavens and the worst tax hells”. Interesting article if you are on a budget and do not want to pay a lot on Real Estate Taxes. If you would like to discuss your retirement plan I have set up a special hot line for you.                                                   FREE INFORMATION 24 Hours
1-888-307-7311 Ext  17

How to Downsize to a Smaller Home:You have been living in your house for over 20 + year. You have raised your children in your home and they have all moved out. You have lots of equity in your house and the thought of moving to a smaller home has crossed your mind?

Learn how to downsize with simple easy steps. With today’s real estate market being a buyers market its a good time to buy a retirement home but what do you do with the home you got? Well I have the steps to help plan your move.

If you are planning to do something in the next 6-12 months and need help with this planning then give me a call. I have set up a 24/7 hotline number just for you.

            FREE INfORMATION 24 Hours

                                                            
1-888-307-7311 EXT 17

As of today’s date there are 227 homes for sale in Evanston, IL and 36 homes under contract since January 1, 2008. According to this information the average time on the market in Evanston is 6 months. Of interest is the number of homes under contract that have Home Sales Contingencies or Homes to Close Contingencies. (Home Sales Contingencies occur when the buyer has a home to sell but has a contract on a new home or a Home on the Market with a Contract but has not closed). According to the MLS there are 9 homes out of 36 homes that have such contingencies. What does this tell you about the real estate market in Evanston? Well in a very active buyers market such contingencies would never exist. Does this mean the Evanston market is slowing down? It is hard to say just yet. We are just entering the Spring real estate market and have had unusually cold weather and lots of snow which has turned many buyers away from the real estate market. It does however appear that Sellers are more anxious to sell and do not want to lose potential buyers and are accepting Home Sales Contingencies for the moment. I suspect when the market improves these contingencies will no longer exist.

Dear Friends,

Just a quick note to let you know how business is going this year. As you have probably heard, real estate home values are declining and sales of existing homes is at an all time low. Well, I am here to tell you some Good News! My business is doing great and getting better each day because I have started a career path to help people who are falling behind with their mortgage payments and have already received a Notice of Default. As a pre-foreclosure specialist I am helping people avoid foreclosure. If you or someone you know needs my advise can you ask them to call me. Wouldn’t it be nice to refer a family member or friend to someone you know and trust. Remember the help they receive may be their wisest real estate decision. I am giving you my 800 number which I have set up to assist people and to schedule a FREE CONSULTATION.

FREE INFORMATION 24 HOURS :

1-888-307-7311 EXT 11

If you or someone you know is in the market to buy a home and would like some information on how to buy a pre-foreclosure home then they can visit my website . (Search my listings and homes for Sale)

What do I mean when I say your success is my success. Well, every real estate transaction goes through a series of stages ending up with a successful conclusion which is buying or selling a home. Following are the stages I think about when working with buyers and sellers. I…

S- Seek to understand my clients needs, wants and desires.

U-Utilize my Knowledge as a real estate consultant

C- Contract and Negotiate

C- Coordinate the transaction details

E-Establish a Celebration Date

S-Set up a Moving Date

S-Set up a Lifetime Relationship

If you are looking for a realtor that has your interests in mind I hope to hear from you.