If you’ve been keeping up on real estate news the past few weeks, months, or even years, it’s likely made your head spin. There’s a lot of information out there, and the Chicago real estate market in particular has kept things interesting.
As a whole, the Chicago real estate market could continue to drop a bit more from where it stands now. But it is crucial to understand that those numbers represent the market as a whole. The Chicago market covers a very large area, but in reality, it is segmented—very different types of real estate transactions, and each has played out in its own way during the real estate roller coaster.
There are still several areas of the Chicago market that remain solid and have stabilized. In five to six years, the value of those segments will likely increase simply because they haven’t been hit as hard as particular sectors have been in the past few years. There are segments in the Chicago market that are still very desirable to buyers, which is why they haven’t been as topsy-turvy as other areas.
Evaluate Chicago homes for sale like the stock market
That volatility and the state of the current Chicago real estate market is reminiscent of a down stock market. There are always opportunities to pick out a stock that outperforms the market in general. That’s the beauty of it. And if you know what you’re doing, it can turn out very successfully. In the Chicago real estate market, making a purchase based on good fundamentals while considering the future of a particular building and property, a real estate purchase can be incredibly successful.
Of course, there is no way to avoid risk entirely. But I believe that if you are conservative, look at the costs and vet a property well, you can be successful. To properly vet a property, one significant thing to consider is how a building or property differentiates itself from others. Location, of course, is everything. But there’s also a building’s concierge services, assessment costs and floorplans, down to details like finishes, ceiling heights, and appliances. One of the most important ingredients in making a good buying decision is they layout of a unit and how it “flows.” I can provide you with input about this important variable and identify key nuances among different Chicago condos.
For a potential Chicago real estate purchase, buyers should also look at a building from the inside out. For example, be sure to evaluate the cost of a building’s assessments and how those costs have changed/increased historically. Also look at a building’s 5-year plan to understand where it’s financial future stands, both for the building and its residents. Buyers should not forget to also assess a building’s:
-Owner occupancy percentages
-Number of rentals currently in the building
-Whether a building has a cap on rental units
-Cost per square foot in comparison to buildings that are of similar age, quality and location.
Just like making a move on the stock market, Chicago real estate buyers should get all the necessary information before making a move. I’m confident that those who can make intelligent assessments and are conservative in this market will be just fine, and better off making the investment at this prime time for buyers. To find out if the timing is right for your Chicago real estate purchase, contact me at 312-264-5853 or by email at firstname.lastname@example.org