4 years renting in Chicago: Considering buying...? (Lincoln, Lake Bluff: real estate, apartment, lease)

[southkakkatlantan]

I'd like to get some opinions...


I've been in Chicago 4 years now and the past few years I've been working in the Lake Bluff area. Yeah, I know. It's far. Very far. I know.


I'm 37, single with no kids and I moved here from the south to live in the city, so I do not want to live near where I work.


With that said, I was living in Rogers Park up until 2 months ago. After the first place had bed bugs and the second place I dealt with live bats in my unit for 8 months, I finally was let out of my last lease and I moved to the South Loop.


I'm off Michigan currently in a place that I actually lived in once before (for 6 months back in 2012). I absolutely LOVE this place. The problem of course is the rent is way high. I mean, WAY high. I'm paying a mortgage now, and I don't think I can do this for long. I should have probably continued to look for another place in Rogers Park, but oh well...I'm in a 6 month lease here for now.


So. I am considering buying a place here. It scares me to death the thought of being tied down to a place but I cannot keep renting at this price (~$1500 for a 750 sq ft one bedroom). My last apartment in RP was ~$1100 for 2 bedrooms.


Off the top of my head, I need:
-Access to Metra for work and access to Red Line for play. That's why I was doing Rogers Park before. People suggested Ravenswood which is nice, but the Metra stop there is off the Brown line. I'm currently off the Roosevelt Red Line stop but that stop also has the green/orange lines so I take the green to/from the Metra daily.
-Something with at least one bedroom under $200K and preferably in the South Loop within one block of where I live now (I'm kidding...but I'd love to live as close to where I live now as possible). Also considering Printer's Row.


The question is: Is this budget of under $200K for the locations (South Loop area) I'm looking at totally unrealistic?


Having trouble deciding if now is a good time to buy and what I'll be able to get for my budget. I'd be open to buying back in Rogers Park but I don't really enjoy living there although it sure is much cheaper. There are condos next door to me on Wabash that I just looked up online...they have convertibles going for $230K These prices are outstanding to me but I guess I'm just not used to it.

[beaniemac]

I think it's possible to get a condo for around 200K in many desireable areas, but you gotta look at how much the HOA fees are. I've noticed a lot of those lakefront condos have OUTRAGEOUS HOA fees. and that's from south shore all the way up to rogers park.

[southkakkatlantan]

Originally Posted by beaniemac

I think it's possible to get a condo for around 200K in many desireable areas, but you gotta look at how much the HOA fees are. I've noticed a lot of those lakefront condos have OUTRAGEOUS HOA fees. and that's from south shore all the way up to rogers park.

UGH. You just reminded me of that.


Now THAT'S what could potentially blow my entire budget. I'd need a 2 bedroom so I could have a roommate so I could afford the assessments.


In the condo I mentioned above next door to me, the assessment for the $230K convertible is $448/month.


If you reduce my mortgage payment by that amount, I'd need someplace under $150K instead (unrealistic) or definitely at a 30 year mortgage term (highly unfavorable). Ugh....

[IrishIllini]

HOA fees along the Lakefront are absurd. It's pretty much the reason I decided to not buy in one after renting in one for 2 years. You could definitely find something for 200k in Lakeview with reasonable HOA fees - it just won't be anything special. I personally like Lincoln Sq./Ravenswood. Off the brown line, yes, but you'll have quick access to Metra.

[beaniemac]

Originally Posted by southkakkatlantan

UGH. You just reminded me of that.


Now THAT'S what could potentially blow my entire budget. I'd need a 2 bedroom so I could have a roommate so I could afford the assessments.


In the condo I mentioned above next door to me, the assessment for the $230K convertible is $448/month.


If you reduce my mortgage payment by that amount, I'd need someplace under $150K instead (unrealistic) or definitely at a 30 year mortgage term (highly unfavorable). Ugh....

Originally Posted by IrishIllini

HOA fees along the Lakefront are absurd. It's pretty much the reason I decided to not buy in one after renting in one for 2 years. You could definitely find something for 200k in Lakeview with reasonable HOA fees - it just won't be anything special. I personally like Lincoln Sq./Ravenswood. Off the brown line, yes, but you'll have quick access to Metra.

If you don't have to live on the lakefront, you could always get a condo in a nice area in a non high-rise. for instance my sister used to live in wicker park in a 2 flat above a store front. her assessments were like $100 a month and she lived on damen right off armitage.

[dtcbnd03]

You should definitely keep renting. There is no way you'll find a condo for $200k in the south loop let alone one without crazy high monthly assessments. Owning for the simple fact of not having to pay rent is not the right way to look at it. There's either assessments or you have to save on your own for a new roof, water heater, tuckpointing, siding, etc. There is maintanance on any home/condo.

So rent in rogers park and keep with a monthly rent amount and you'll be fine.

[beaniemac]

yeah, I'm not seeing anything around 200K in that price range (and I'm looking for places with <$200 HOA's) in the south loop. best I found was a place on 18th street near chinatown.

https://www.redfin.com/IL/Chicago/23.../home/40381656

[compactspace]

It's going to be a stretch. I'd suggest waiting for the property tax bills to come out, then see where you are. If the prices slump and you can stomach the taxes, you might be in business.

[vb808]

You can still find some bargains in the Printer's Row area, however something under 200K would most likely be a studio. Also you'd be hard pressed to find anything with an HOA less that $200 in the downtown area. The majority of buildings in the area have elevators and that usually impacts your maintenance fees. Central hot-water boiler / AC-heating systems as well as on-site amenities (ie pool, door staff), financial health and age of a building are also factors that can present higher HOA dues.

First step is to talk to a mortgage person to get pre-qualified. They will be able to help break down the monthly cost including the HOA and taxes on any unit you might be interested in. There are also certain rules on what you can purchase based on the kind of loan you go with (FHA or Conventional), so definitely talk to a mortgage advisor.

Here are some listings.

Studios
https://www.redfin.com/IL/Chicago/74.../home/18917181
https://www.redfin.com/IL/Chicago/68.../home/18935267

1 beds
https://www.redfin.com/IL/Chicago/74.../home/18913531 **Great views!; but HOA is a little high for a 1 bed .
https://www.redfin.com/IL/Chicago/62.../home/14092309
https://www.redfin.com/IL/Chicago/60.../home/14093018

[coldwine]

I actually typed a very long post, then looked at it, then deleted it.

My response to you is simply this: Get a real estate broker.

That way someone can literally do all of this for you, because they can take your budget and find the right place.