What are assessments?


There are also one-time fees called "special assessments" which condo owners pay to cover a particular special project. Check that your condo association keeps an adequate "cash reserve" so you won't have to pay special assessments very often.


Does new construction need a home inspection?

Any home you plan to buy should have a professional inspection to avoid unsuspected issues and costs later on. Some lenders ask that you have your home inspected. You can use the inspector's findings to create an inventory of repairs or modifications the builder should complete before you occupy the house.

How do I know which type of mortgage to choose?


What is earnest money?

Earnest money is the buyer's deposit made when he or she puts in an offer to the seller. The seller's agent holds the money in a state-insured escrow. Then, at closing the money is applied toward the down payment. Usually, a few thousand dollars is paid with the offer and the rest is due within a few days of the home inspection and attorney review.



What is a contingency?


Is it possible to get out of a contract?


How can I find good service providers?


Is this neighborhood safe?

Everyone has a different idea of what "safe" means. It is up to you to decide what qualifies as a comfortable and secure neighborhood. The Chicago Police Department has comprehensive crime statistics and safety information on their website (www.cityofchicago.org/police). You can check out the history of crime incidents in a specific neighborhood or for the whole city. The site provides a link to Citizen ICAM, which allows you to search crime occurrences by several categories including intersection, school and street address.

Who lives in this neighborhood/area?

Chicago is home to a diverse society of people - the backdrop to every neighborhood's unique cultural style. American FactFinder, part of the U.S. Census Bureau's website, offers in depth data on demographics for individual Chicago communities. Visit www.factfinder.census.gov to get detailed statistics on your area and the entire city of Chicago.

What are the schools like in this neighborhood?

Visit the Chicago Schools section of DreamTown.com for information on schools in your district. There is also info on Chicago area charter schools and private schools, as well as higher education institutions in the area.

What are the steps involved in the buying process?

  1. Choose an agent. A buyer's representative, works exclusively for you - not for the seller - walking you through every step of the home-buying process.
  8. Prepare for the closing date. Get funds together for the closing costs, secure the new home title and homeowner's insurance, and complete a final walk-through.
What are closing costs?


How are agents paid?

Real estate agents receive a commission (percentage) from the final selling price on a property. We are only paid if the property is actually sold and the transaction is final. Generally, the commission is the seller's expense - as the buyer, there is no cost to you. While commissions are always negotiable, it is customary for a full-service brokerage to get between five and seven percent. The money must be divided between the buying and selling companies, as well as the buyer's and seller's agents.


The attorney fee is determined by factors such as the size of your home and the attorney's specialization. For instance, the more square footage, the more it will cost. Also, new construction commands a higher rate than existing housing. You are expected to pay these fees at closing.


What is considered to be a good offer?

It's not so much what is a "good offer" as what is a good approach to making an offer. Depending on the specific circumstances, there are several different strategies you can call upon. Let's say for example, you learn the seller needs to close within the month because they are moving to Florida. Knowing their motivation gives you the upper edge to negotiate the price down in exchange for meeting the seller's limited time-frame.



Will my home appreciate?

There are several factors that can influence the appreciation of property. For example, every market is experiencing distinct real estate trends which affect how much a home's value will increase there. Still, data historically shows real estate is a good venture in the long term.


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