Home Values Just Keep Getting Better!

Shopping for a new home anytime soon? Aren't you the smart one! The prices keep falling in these parts. I noticed today that a nice condo in Evanston that was selling due to a corporate relocation has yet again dropped in asking price. It started on the market in August 2008, at $205,000. Today it is going for $166,000, nearly a 20% reduction. Similar units in that building (on Central Street in Northwest Evanston) were selling in the $220,000's back in 2006.

Values are very good for buyers right now. The key to buying well is to buy "smart." First things first - talk to a lender to find out exactly where you stand on getting a mortgage if you need one. Yes, there is mortgage money to be loaned, IF you are qualified. Condo loans have become more difficult of late, with most lenders requiring at least 10-20% downpayment from the buyers. Smaller downpayments are available if the building you are fancying is FHA approved; those loans require only 3 1/2% down. And today my in-house mortgage expert sent out a message that my company's mortgage division can now offer 95% financing through a special program on conventional loans.

The second step in buying "smart" is to find and work with an experienced agent who can guide you through the process of home buying, whether it is a condo, a co-op, or a single family house. The expert agent will be able to research pricing history for you, the background of the specific property you fancy (is the seller in pre-foreclosure, for example), any local issues that impact your decision, local grapevine chatter amongst the Realtors in the area that can shed light on your decision making, and more. So how do you find that good agent? Recommendations are King! Don't just react to fancy ads and boasts of the volume of listing any agent has sold in the past. What kind of service does the agent provide? There's the criterion you need to choose a Realtor!

And finally, look to your agent for guidance in selecting a terrific real estate attorney, home inspector, and other local service providers to make the final days of your transaction and moving experience a good one. Homebuying is typically stressful; that's a given. But with the right help, it can also be productive and exciting.