Moving near Rockford (Roscoe, Rockton, MP) (Chicago, Aurora: mortgage broker, attorney, loans)

[GregUSAF]

My wife and I are moving to the area since we both will be employed in Rockford. We are planning on renting for 6 months and then buying. We currently live in Naperville/Aurora. We could afford to buy a house now, but are both unfamiliar with the area and would like the benefit of living there for a while to research neighborhoods, school districts, etc.. We are looking to buy a home in the 200-300K range (already preapproved by my mortgage broker), which I know buys a lot up there (helluva lot more than Naperville, anyways). So I have a few questions/concerns for those who know the area...

First, we are looking for a realtor to represent us on the buyer side; one that is willing to negotiate a commission. I will be doing most of the "leg work" and we won't be seeing loads of properties and because of this, I'm not willing to pay 7-8K in commission. I'm of the opinion that the real estate industry is way "out of whack". A house that sells for 200K requires the same work in most instances as one for 400K, yet the agent gets double the money. I saw a presentation in business school given by a leading pharmeceutical VP on how much of the reason drugs cost so much are that 9/10 fail to work or get approved, thus the 1 that does carries the R&D costs for the 9 that didn't. I know that realtors often show homes to people and never see a dime or end up showing a client 10 houses every saturday for months and although they do receive 3% it is an underpayment. That being said, we'll probably work something into the buyer-broker agreement that the pay will increase with the amount of homes sold. I know approaching realtors like this may not make them happy, but the fact is realtors are starving right now (I've heard 60% or more WON'T be realtors anymore next summer). Just think about it, it's like a doctor charging you a fee for surgery based on your income rather than the operation itself. If anyone can name another industry that operates as or more perverse than real estate (outside of communist China) I'm all ears. If anyone has had any good experiences with a realtor in the area let me know. I'd also like to know what you all (well, not all) think about what's written above...

Also, my wife has talked with people at work and there seems to be the perception that the national real estate plunge/dip has no effect on the area. Case in point, many homes are listed 5-10% above the sale price 2-3 years ago. The real estate markets that have been hit the hardest (Las Vegas, Phoenix, Florida) all have one thing in common: lots of undeveloped land. Chicago, for example, doesn't have much room for new construction. I realize that the prices in Rockford area didn't go up as much the last decade and/or may have remained flat, but when the housing market is sliding the only thing I can think of that makes sense is that some sellers are just refusing to acknowledge it or are trying to minimize their losses from selling within 3 years.


Thanks!

[Drover]

Originally Posted by GregUSAF

First, we are looking for a realtor to represent us on the buyer side; one that is willing to negotiate a commission. I will be doing most of the "leg work" and we won't be seeing loads of properties and because of this, I'm not willing to pay 7-8K in commission.

The buyer doesn't pay the realtor commissions. The seller does. There's no reason for you to have to negotiate the commission as a buyer.

[sbd78]

My family moved to Belvidere, which is just East of Rockford, when I was entering 8th grade, and my parents still live there so I'm pretty familiar with the area. (I have since moved back to Chicagoland since college.) I went to Belvidere High School, which has a pretty average reputation. I am not a big fan of the town of Belvidere itself. It has a bit of an illegal immigration problem, imo. However, the more rural areas around Belivdere are beautiful and filled with gorgeous subdivisions on huge 1 acre+ lots and very high end custom homes. Belvidere has the best access for getting back to Chicagoland as it is East of Rockford and right off I90, if this is a priority for you. Rockford has some nicer areas and some bad areas. For the most part, Rockford's East side you want to stay away from and the West side is nice. Rockford schools are not very good, if you move there, I recommend private school. (Which is doable since home prices are so inexpensive in Rockford.) Machesney Park to the North of Rockford is growing a lot and decent, lots of new stores going up along route 173. I think their schools are just average. If you are looking for the best schools, Hononegah High School which serves Rockton/Roscoe has the best rep. This is a nice area, North of Rockford near Wisconsin. If you want to check into school ratings, GreatSchools.net is a great resource.

The Rockford area has not experienced nearly as sharp an increase in prices as Chicagoland has. Prices have been slow and steady there so I doubt they will see as much of a drop as Chicagoland is now experiencing. However, a friend of mine is a legal secretary for a real estate/bankruptcy attorney in that area and she tells me their home closings are way down and their bankruptcies are way up. So Rockford area must be feeling some pain from the housing crash as well. Hope this helps and good luck!

[Jeff Hill]

I'm a Realtor in the Rockford/Belvidere area.

You are correct in your thinking that this area has not had as much of a blow to the market as other areas have. The real estate market has held pretty steady here. However, inventory is still way up, which makes it a great time to be a buyer. In this area, you can still expect the average 5% gain on your real estate investment.

You really didn't go into too much detail other than the price of the new home you are looking for. Without that, it's hard for me to really direct you into the area that would be a good fit for you.

I'm originally from Bartlett. I moved my family out to Boone County about 3 years ago and we all love it. We are, as sbd has already pointed out, in the rural area of Belvidere / Boone County.

I'm sorry for feel so strongly against agents but on my behalf, this is my career and how I feed my family. People are quick to criticize earnings a real estate agent makes but are quick to forget how many countless hours go into our jobs. If your boss came to you and said "I think you make too much money.....we're cutting your pay"......that wouldn't fly too well with you. Besides, just as Drover said, using a buyer agent is free. No sense in trying to negotiate anything there.

In closing, I know right off the top of my head there are several very nice properties in rural Boone County for under 300K. Roscoe reminds me of some of the quaint areas of Naperville. If you go off I-90/39 east on Rockton Road, you will see some very pristine subdivision that will make you feel like you're in Naperville.
I welcome to opportunity to talk to you more about this area and even more, I would be honored to represent you.
Please feel free to PM me or visit my website, which can be found in my profile.

Good luck in your home search.

[Havasu]

Read the RRSTAR.com before moving the crime is out of control. Another place to get a feel what the place is like is to read Craigslist Read the rants and raves under the Rockford Illinios. Roscoe and Rockton have very little crime DO NOT LIVE IN ROCKFORD. What part of town are your jobs located? Im sure your use to the high property tax rate since your from Naperville. Boone county is ok but again high property taxes.
Ask Jeff what the yearly Tax bill will be for a $300,000 house. You did say you will be renting for 6 months thats a smart choice most might want a year. If you want more info just ask. Good luck

[artemis]

Originally Posted by sbd78

My family moved to Belvidere, which is just East of Rockford, when I was entering 8th grade, and my parents still live there so I'm pretty familiar with the area. (I have since moved back to Chicagoland since college.) I went to Belvidere High School, which has a pretty average reputation. I am not a big fan of the town of Belvidere itself. It has a bit of an illegal immigration problem, imo. However, the more rural areas around Belivdere are beautiful and filled with gorgeous subdivisions on huge 1 acre+ lots and very high end custom homes. Belvidere has the best access for getting back to Chicagoland as it is East of Rockford and right off I90, if this is a priority for you. Rockford has some nicer areas and some bad areas. For the most part, Rockford's East side you want to stay away from and the West side is nice. Rockford schools are not very good, if you move there, I recommend private school. (Which is doable since home prices are so inexpensive in Rockford.) Machesney Park to the North of Rockford is growing a lot and decent, lots of new stores going up along route 173. I think their schools are just average. If you are looking for the best schools, Hononegah High School which serves Rockton/Roscoe has the best rep. This is a nice area, North of Rockford near Wisconsin. If you want to check into school ratings, GreatSchools.net is a great resource.

The Rockford area has not experienced nearly as sharp an increase in prices as Chicagoland has. Prices have been slow and steady there so I doubt they will see as much of a drop as Chicagoland is now experiencing. However, a friend of mine is a legal secretary for a real estate/bankruptcy attorney in that area and she tells me their home closings are way down and their bankruptcies are way up. So Rockford area must be feeling some pain from the housing crash as well. Hope this helps and good luck!

I think you have your directions mixed up. The East side of Rockford is very nice, and the West side is rough.

[Jeff Hill]

Taxes on a $300,000 home will run you on average:

Rockton = 3000 - 3500

Roscoe = 4000 - 4500

Boone County = 5000 - 5500

Belvidere = around 6000

Rockford = 5000 - 6000




hope this helps

[sbd78]

Originally Posted by artemis

I think you have your directions mixed up. The East side of Rockford is very nice, and the West side is rough.

Sorry for the confusion, artemis is right, I did have my directions mixed up. If you move to Rockford, go EAST!

[bjames]

Originally Posted by Havasu

Read the RRSTAR.com before moving the crime is out of control. Another place to get a feel what the place is like is to read Craigslist Read the rants and raves under the Rockford Illinios. Roscoe and Rockton have very little crime DO NOT LIVE IN ROCKFORD. What part of town are your jobs located? Im sure your use to the high property tax rate since your from Naperville. Boone county is ok but again high property taxes.
Ask Jeff what the yearly Tax bill will be for a $300,000 house. You did say you will be renting for 6 months thats a smart choice most might want a year. If you want more info just ask. Good luck

I hate to get defensive, but I'm so tired of people from outside Rockford bashing it. They all work and play in Rockford, but can't afford to live in a decent house in the city so they bash it. For $200-$300k you can get a great house. Try anywhere North of Guilford Road or East of Mulford and you'll find good neighborhoods.

There are plenty of areas on the East and North Sides of Rockford that have good schools and low crime. If you want to live in the sticks and complain about Rockford then move to Belvidere (aka East LA) or Rockton ("the new trailer park"). Roscoe and Rockton are decent areas, but are a little too "NASCAR" if you're from a city background. Everybody from those areas has to "commute" to Rockford for work & play because there is nothing to do in their trailer parks.

As far as schools, Rockford has just gone back to "community" schools, which has cleaned up most schools in good neighborhoods. Meanwhile Belvidere and Rockton are in big time debt due to their bond payments coming due from their latest round of loans for new infrastructure. They will see MAJOR tax increases this year and probably over the next ten years until they figure out how to pay for their recent fiscal lapses.

[Drover]

Originally Posted by bjames

I hate to get defensive, but I'm so tired of people from outside Rockford bashing it. They all work and play in Rockford, but can't afford to live in a decent house in the city so they bash it.

ROFL

Like the Rockford housing market is sooo out of reach. This is one of the funniest posts I've read here in a while.