Hello Renters, Hello Buyers of 2010 Summer market in Chicago. Well, the big question is officially out there. Should I rent or should I buy in 2010? To help us out, I pulled some properties that are on the market for both sale and for rent. This way, we can compare the rental price versus the monthly costs to own the same unit. I pulled information on current prices for a popular building in Lakeview. It's a full-amenity hirise with doorpersons, a business center, pool with cabanas and grilling areas, basketball court, and fitness center. Here are my findings:
A 1 bedroom condo on the 34th floor is renting for $1770. It's all remodeled with a gorgeous view of the city and lake. The same unit is for sale for $179,000. Not bad. To assist me with working the numbers to see if this condo is worth buying instead or renting, I called my longtime trusted mortgage man: Jeff Slater with BancGroup Mortgage. He's the guy that gets it done. Jeff is always there to answer any questions that my clients or I have when purchasing a property.
With a listing price of $179,000, I think it can be safely assumed that a reasonable selling price is in the $170,000 range. So, for $170,000 there would be taxes of $2811 per year and a monthly association due of $419. Guess how much that comes out to be for monthly payments? $1563 per month with 10% down and $1383 per month with 20% down. In this instance, it is best to...
It appears that the market is shifting into a favorable time to purchase that property. Check out the pictures below...and if you are thinking about buying versus renting, please touch base with me. We will evaluate your situation to see what may be best for you. Here's my cell 312-550-3150.
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