What are Closing Costs on Chicago's North Shore?

It may seem surprising, but did you know that the majority of homebuyers today aren't aware of closing costs? You may find that you have prepared for homeownership with your down payment and even have your first month's mortgage ready in your bank account, but this very important set of costs is commonly overlooked. 

As your local real estate agent on Chicago's North Shore, I've included a few key notes on closing costs below so you are better equipped to make the biggest, most important purchase of your life!

What Are Closing Costs?

Closing costs are recurring and non-recurring fees connected to both your lender and other parties in the sale—for instance, an attorney, inspector and title company—and are to be paid upfront at the closing table. Unless you have financed them ahead of time or worked your offer to arrange for the seller to pick up the tab, unfortunately there is no way around these costs.

Closing costs typically include:

• Homeowners insurance
• Title insurance
• Loan origination
• Home inspection
• Appraisal
• Document prep
• Property line survey
• Title search and recording
• Loan underwriting
• Wire transfer

How Much Will They Cost?

Closing costs tend to range between two and five percent of the total purchase price of the home. 

How Can You Prepare?

It is true that you may not know how much you will owe in closing costs until you find a home in Glencoe, Winnetka, Highland Park, Deerfield, Northbrook, Lake Forest, Wilmette, Evanston, Glenview, Riverwoods, Bannockburn, or other North Shore communities and meet with a lender, but you can still gather a general idea based on your price range alone. For instance, with a budget for a new home around $150,000, you can expect to pay between $3,000 and $7,500 in closing costs.

Once you've met with your lender on the North Shore, you can estimate how much you will owe in closing costs given your loan product, loan amount and the interest rate you are offered. You can use a mortgage calculator to estimate your monthly payment and how that will fluctuate depending on if you've decided to finance the closing costs into it. 

Give me a call today to get started on your North Shore home search or with any questions you have about buying a home in today's market.

I look forward to hearing from you!

Janie Bress
Your North Shore Real Estate Expert

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5 New Year's Resolutions to Make as a North Shore Homebuyer

Have you sat down and made a list of your new year's resolutions yet? It's always a fun exercise to take stock of your goals for the year ahead and make a plan on how to achieve them. For many on Chicago's North Shore, you might find that they are personal or health related, but one of them might be buying a home!

There are dozens of steps to take to successfully become a homeowner in 2019 and as your local North Shore real estate expert, I am happy to help you make that a reality! Below are 5 new year's resolutions to make in order to buy a home in the new year:

Eliminate indulgences
It might not be your favorite path to homeownership, but cutting indulgences can be a quick and simple way to save for a down payment. For instance, could you stand to cut cable and instead use Netflix? Or on the same note, is there a streaming service you could cancel? You might want to cut dining out and your morning coffee runs, instead packing your lunch and brewing coffee at home. These little indulgences can mean big savings if they're avoided!

Start a home savings account
You can't save specifically for your home if you don't have anywhere for it to go! Open a savings account specifically for your new home. Get into the habit of making weekly or monthly deposits—whatever you can afford—and watch your down payment grow!

Do a mortgage test run
The only way to truly know if you can swing being a homeowner in Glencoe, Highland Park, Deerfield, Winnetka, Northbrook, Evanston, Lake Forest, Wilmette, and the surrounding areas, is to do a test run. Try saving like a homeowner—meaning you set aside your monthly housing expenses and an amount for your emergency fund—and see if you can live with your new budget. 10% of your mortgage payment is a good rule of thumb to account for maintenance fees, so start there.

Pay all bills on time
There is nothing that can raise a red flag quicker to a lender than unpaid bills. If you intend to get approved for a mortgage in 2019, it is best to make sure you pay all of your bills on time. Not only does this keep your credit score high, but it shows lenders you are capable of managing a monthly payment.

Visit open houses
This may seem counterintuitive if you're not yet ready to buy a home on the North Shore, but attending open houses allows you to see what properties are available in your price range. This gives you a more realistic approach to the market and could even motivate you to save more!

Ready to make your dream of owning a home a reality this year? Give me a call today!

I look forward to hearing from you!

Janie Bress
Your North Shore Real Estate Expert

North Shore Real Estate
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Local Expert... with National Connections!

What Not to Do When Buying a North Shore Home

Buying a home on Chicago's North Shore can be an overwhelming decision, especially if it's your first time navigating the real estate market. And since this is likely the largest purchase you will ever make, it's important that you try to avoid the common mistakes that homebuyers have encountered before you. That's where I come in! I have included a list below of five things not to do when buying a home in Glencoe, Highland Park, Northbrook, Deerfield, and Winnetka, so you can enjoy a smooth process and settle into your new home with no worries!

Don't shop without an agent
Navigating the real estate market can be tricky, so why go it alone? Let me be your guide to homes for sale on the North Shore! You will want an agent who has your best interests in mind, who knows the in's and out's of the market, and has the knowledge of the industry to find you the best home, at the best possible price, in the most efficient amount of time. Buying a home can be a full-time job in itself if you consider all of the parties involved in the transaction, so it never hurts to leave it to the pros!

Don't ignore your budget
One of the worst things you can do when shopping for homes in Glencoe, Winnetka, Highland Park, Northbrook, or Deerfield is ignoring your budget and looking at homes you cannot afford. Not only does this waste your time and your agent's time, but it gives you unrealistic expectations. First you'll need to get pre-approved with a lender, then move on to your home search when you know exactly how much home you can afford. When you know what your budget is, stick to it! You won't be disappointed down the road.

Don't meet with just one lender
In order to get pre-approved for a home loan, you'll need to meet with a lender. You will provide documentation such as tax returns, income statements, and proof of funds for your downpayment before you go move forward with the buying process. While it may seem like a lot of work on your end to provide the necessary paperwork, in this case, it pays to meet with more than one lender. Gather at least three different quotes from lenders before you decide on the best loan for you.

Don't ignore closing costs
Did you know that the majority of homebuyers today aren't aware of closing costs? Now is the time to research how much you may owe at closing, which could be anywhere from one to seven percent of the purchase price of the home. You'll want to be aware of these additional costs or you could risk being blindsided before you can get your keys.

Don't make unreasonable lowball offers
Every North Shore homebuyer wants to get a great deal on a property, but that does not mean you should make the lowest offer possible. Not only will your offer likely be outbid by someone else, but the seller may not even counter yours back. According to real estate industry resource Inman, the third largest mistake people make when buying a home is offering too little for a property.

Give me a call today for a list of available homes in Glencoe, Winnetka, Highland Park, Northbrook, or Deerfield! I'm here to walk you through the entire buying process in 2019!

I look forward to hearing from you!

Janie Bress
Your North Shore Real Estate Expert

North Shore Real Estate
View North Shore Listings
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Local Expert... with National Connections!

How to Buy a North Shore Home Before the Holidays

Tis the season for holiday chaos— festive gatherings, tree trimming, traveling to visit with friends and family near and far. Probably the last thing on your mind this time of year is whether or not to buy a new North Shore home and settle in before the new year. But don't be so quick to write off the task! Buying a new home in Glencoe, Northbrook, Winnetka, Highland Park, or Deerfield is indeed possible— you just need an expert agent a handful of tips to get the job done!

Below are four tips to help you buy a North Shore home before the holidays:

Get pre-approved
You never want to begin your home search by touring homes that are outside of your budget. Instead, take the time to get pre-approved with a mortgage lender so you know exactly how much home you can afford, as well as whether or not you even qualify to make the purchase.

Find an expert agent
Your real estate agent should know the market well, as well as have a large network and know how to leverage technology to get the job done. For instance, when you have a specific timeline in mind to buy a home, your agent should know exactly which local professionals to bring in to complete the transaction, from the lender to the inspector.

Sort your documents
A successful homebuyer is an organized homebuyer! Keep all of your documents organized in a folder designated solely for your home purchase. Put together all of the documents you will need to buy a home— tax returns from the past two years, W2's or pay stubs, as well as two months worth of bank statements from all accounts. This will speed up the process when the documents are needed!

Keep everyone on track
If you're under contract to buy a home on Chicago's North Shore, you will want to stay on top of everyone to keep the transaction moving. When you work with the right real estate agent, they should play an important role in this as well. There is a lot of down time considering all of the parties involved in the transaction and it can be a while before someone gets the document they need or answers a question. If you haven't heard back in a timely manner, always check in!

We're wrapping up 2018, but that doesn't mean you have to wait any longer to buy a new home in Glencoe, Northbrook, Winnetka, Highland Park, or Deerfield! Give me a call today for more information about available properties and getting started on your home search or home sale!

I look foward to hearing from you!

Janie Bress
Your North Shore Real Estate Expert

North Shore Real Estate
View North Shore Listings
Visit My Website

Local Expert... with National Connections!

4 Reasons to Buy a Home in Glencoe, Winnetka, or Northbrook IL This Fall

Fall is here and it's a great time to start fresh in a new North Shore home! While you may think summer is the busy season for real estate, that doesn't mean your time to buy ends with the closing of your local neighborhood pool. Now can be one of the best times of the year to buy a home and I'm sharing four reasons why below:

Mortgage rates will rise
Mortgage rates are still near record lows, but that won't be the case for too much longer! 30-year mortgage rates have increased half a percentage point this year and are expected to increase again over the next 12 months. By this time next year, rates are expected to be around 5.1%.

Home prices will rise
If you've been wondering where Glencoe, Winnetka, Highland Park, Northbrook, and Deerfield home prices will go over the next year, the answer is UP! According to CoreLogic's Home Price Insights report, home prices will continue to rise at a rate of 5% over the next year!

You're paying a mortgage either way
Think of it this way— regardless if you rent a home or buy, you're still paying a mortgage! If you buy a North Shore home, you're paying your own mortgage. If you rent, you're paying down your landlord's mortgage! New homeowners will have the benefit of building equity in their home which can help build your family's wealth, while renters will continue to help their landlord do the same.

Winter is coming
Real estate deals are indeed made no matter what season it is, but you will want to consider the upcoming Chicagoland winter weather and busy holiday season! Decide if you would prefer to take advantage of market conditions now while the temperatures are still favorable to move to a new home on Chicago's North Shore or move homes with snow and ice on the ground.

You could end up paying more for a mortgage in just a few months' time if you wait to buy, not to mention deal with the frigid weather! Contact me today to get started on your North Shore home search this fall!

I look forward to hearing from you!

Janie Bress
Your North Shore Real Estate Expert

North Shore Real Estate
View North Shore Listings
Visit My Website

Local Expert... with National Connections!

Locally or across the country, think of me as your national connection. I can help you with all your real estate needs anywhere in the United States. 

Home Staging vs. Hiding— How to Inspect Homes on Chicago's North Shore

It's easy to get distracted when shopping for homes on Chicago's North Shore. You may find yourself focused on the kitchen updates, the backyard, and of course, the neighborhood, but quickly overlook issues hiding in plain sight. North Shore home sellers may go so far as to hide certain problems with home staging—underneath large furniture or behind hanging pictures, for instance—and it's up to you to recognize them when you arrive for a showing.

As your North Shore real estate expert, I am here to help you make the best decisions when buying a home in Northbrook, Glencoe, Winnetka, Highland Park, Deerfield and the surrounding areas. Below are four signs a home seller could be hiding a problem area with staging:

Listing Language
Before you even arrive at the home, you can get an impression about what you might find just from the language used in the listing description. Keep an eye out for phrases like "quaint," "cozy," "low maintenance," or "fixer upper," as these can often mean small properties that need a great deal of work.

Rugs
Rugs can be a great addition when staging a home for sale on the North Shore, but as a buyer, don't always assume they're just for decoration. Rugs and runners can sometimes be hiding pet damage, warped floors, or larger structural damage. Walk over the rugs several times, paying attention to how the floor feels, if it creaks, cracks, or feels sloped. If so, you'll want to take a closer look before moving forward on the home.

Painted Floors
You love your own pets, but how many pet owners want to move into a property to deal with someone else's pet damage? Not many. If you find yourself in a North Shore home with painted floors or happen to pull up the carpet and notice spots that have been painted, the sellers may be trying to cover up pet damage or water spots.

Furniture Arrangement
If the furniture placement in the home feels off,  the seller could be covering up problems underneath or around the area. For instance, is there a large couch in the center of the room? Are there picture frames hung in odd places? Look underneath or around the couch, checking for floor damage, or behind picture frames for signs of water or cracking.

Ready to buy a home but don't know where to start? Found your dream home in Northbrook, Glencoe, Winnetka, Highland Park, or Deerfield? Give me a call today for more information about the buying process or to take those next steps toward becoming a homeowner!

I look forward to hearing from you!

Janie Bress
Your North Shore Real Estate Expert

North Shore Real Estate
View North Shore Listings
Visit My Website

Local Expert... with National Connections!

Locally or across the country, think of me as your national connection. I can help you with all your real estate needs anywhere in the United States.