Schaumburg IL Homes - What types of financing was used?
While investigating the total sales for each property type in Schaumburg IL I noticed a few striking differences between Schaumburg single family homes and multi-family home sales.
Depending on what type of property you have will figure into your buying or selling strategy. Types of financing that buyers use have different criteria and variables that sellers must pay attention too. On FHA purchases the home must have minimum standards to protect the buyer from unknown future mechanical breakdowns. When the appraisal is done on these properties the appraisers check the attic spaces, crawl spaces and any basement areas not readily available. This has never been done before but it's been a trend for the last half of 2010.
For foreclosures in Schaumburg, the furnace and water heater must be operational and the water must be
turned on. This eliminates some foreclosures immediately that need serious help from either being vacant, lack of winterizing or seller damages. These poor homes must be bought with cash and then refinanced when the home meets lender standards. Nine times out of 10 you'll be getting a deal but you'll be in for a boat load of work too. These homes are usually not for the first time home buyer.
So with Schaumburg Homes the largest portion of sales has gone conventional financing.
Does your Schaumburg Home need a roof? Forget about FHA financing as this is also considered a mandatory requirement. Roof life expectancy of at least 5 years is required.
With Schaumburg Multi-Family Homes the largest portion of sales was also conventional but the percentage of cash was astounding. (Who says cash is dead?) I think it has to do with the price differential between the Schaumburg home and condo pricing. Many more condos are available below $150,000 than homes. Still most first time home buyers will be using the FHA financing method because of the lesser down payment required (3.5%).
Another important note to remember is not all Schaumburg complexes/subdivisions are approved for FHA. This would include townhome styles, quads, manor homes, coach homes and a variety of others.
Please see if the area you are interested in is FHA approved. Many a heart has been broken with a first time buyer when they realize the complex they love will not accommodate their FHA financing.
If you are thinking of buying a Schaumburg IL Home, please consider me as a 'buyers agent' for your purchase. An experienced veteran, like myself, can steer you through the 'mine field' on your way to your first or tenth home!
If you are researching this information to possibly sell your Schaumburg IL Home, please email or call to discuss the advantages of my marketing abilities and getting your home turned to 'SOLD'.
Source: MRED
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