Foreclosure sales are occurring in every kind of neighborhood. Here are five sales that closed within the last five weeks:
List Price: $2.115 million
Sale Price: $1.435 million
The Property: A developer turned a former six-unit apartment building in the St. Ben’s neighborhood into a 15-room single-family home priced at $2.995 million. By the time we posted a video tour last year, he had cut it to $2.499 million. Shortly after that, his lender, Private Bank & Trust, took the home back. Although the home isn’t labeled as a foreclosure in the public records, Jeff Lowe, the Prudential Rubloff agent who sold the home for the bank, says it was. The buyers got the place for 47 percent of the developer’s original asking price, though Lowe says that they will have to spend another $500,000 to finish the home.
List Price: $1.19 million
Sale Price: $950,000
The Property: This 13-room house was built in 1898 for an officer and his family. Converted to a private home in the mid-1990s after the army base closed, the house has an addition out back and vintage finishes in some of the main rooms. In 2008, a buyer bought it for at least $1.3 million—the total sale price is not clear in Lake County records—and began but never finished a renovation. When the bank took it back, says Beth Burtt, the Brush Hill agent who sold it for the lender, “they finished it up so all [the buyers] will have to do is tweak the personal touches.” Burtt adds that the total investment in the house was about $2 million. The buyers got it for 47 percent of that.
List Price: $950,000
Sale Price: $960,000
The Property: Construction began on this 5,000-square-foot house in 2007 but was never finished, according to the listing sheet from Coldwell Banker’s Mike McCurry, who sold it for the lender. It had previously been priced at $1.9 million, according to the listing sheet, and may have been priced even higher. McCurry’s listing sheet states that the seller was “looking for a cash buyer.” That and the facts that it sold for more than the bank’s asking price and in less than three weeks suggest the buyer was an investor who will fix and flip the property.
List Price: $2.799 million
Sale Price: $2.325 million
The Property: Built in 2001, this 16,000-square-foot house went on the market in 2007 priced at $7.3 million. After being foreclosed, it sold for 32 percent of that amount. Liz Luby, the Coldwell Banker agent representing the buyers, says that her clients evaluated what their total costs would be and “decided there was room for return on their investment” (having sat unmaintained for several years, the house needed a new roof and other repairs). Another home in the neighborhood, a nonforeclosure, recently sold for $4.5 million, Luby says, and a block away in the same subdivision is this 22,000-square-foot foreclosure.
North Michigan Avenue
List Price: $1.395 million
Sale Price: $1.330 million
The Property: In 2004, according to the Cook County Recorder of Deeds, a buyer paid $1.3 million for this three-bedroom condo on 48th-floor at 55 East Erie. In January 2012, according to the recorder, an investor bought the same condo (which had been foreclosed) for $900,000. Sophia Klopas, the Koenig & Strey agent who resold it for the investor, says he spent another $100,000 more, repainting the condo and paying a few years’ worth of unpaid assessments. His profit on the resale would be about 33 percent, after holding the property for a little more than three months. The most recent buyers, who moved up from a lower floor, paid just 2 percent more than the 2004 buyer.