The Chicago 77
Comprehensive Chicago Real Estate Information

9 February 2010 – A recent new loan requirement is that a borrower must obtain a condominium-unit-owners insurance policy —also known as HO-6 insurance. This is a good thing; you want your new condo to be covered in case something happens! HO-6 covers the interior walls, electrical wiring, plumbing fixtures, kitchen cabinets, counter tops, wood floors and carpet. Unless the condominium master policy provides interior unit coverage; coverage may not be less than 20% of the assessed value. I do suggest that you ask for additional insurance, which falls under HO-6, to include special assessment coverage.

10 March 2010 – Many people are wondering how the condo market is doing so far in 2010. In short, not bad! Here we are, only two months into the new year, and according to figures generated by MRED, our regional Multiple Listing Service, condo sales are off to a strong start compared to 2009.

Here is a quick snapshot of year-to-date sales of Chicago condos for the first two months of the new decade:

  • 30% increase in total dollar volume, to $356 million
  • 41% increase in units closed, to 1,097
  • 12% decrease in median sales price, to $255,000
  • Average market time decreased 8%, to 143 days

What does it all mean? Condo inventory is getting absorbed which is great news, they are selling in less time but on average, are 12% lower in price compared to January- February of 2009. Considering the severe depreciation in other parts of the nation, 12% is relatively benign.