Chitownproperty

Buyers that got off the sidelines and into the game — chicagotribune.com

The Tribune’s Mary Ellen Podmolik profiles a couple buyers who decided to take the plunge in the recent unsteady market. How did they do it? The old fashioned way. Mortgages are still available for buyers who qualify under traditional rules (steady employment, good credit history) and can put at least five percent down, if not more.

One couple Podmolik mentions, first-time buyers, adjusted their expectations as to how big of a house they could afford and made sure they put down as much money as possible. Another man, who qualified for a jumbo loan, had to put down at least 25 percent and pass a number of checks on his employment history. The point is that you can buy a home now, as long as you can truly afford it.

House hunting within a budget from CNNMoney.com

CNN/Money posted this short video with tips for buying a home on a budget. We’re a little suspicious of such advice followed by a Porsche commercial, but the pointers are useful. Some highlights:

• Shop for a home priced about 2.5 times your combined annual income
• Be conservative when securing a loan–try to put at least 10-15% down to get a better rate and lower your payments

Plus, check out their mortgage calculator to see exactly what you can afford to buy.

This American Life – Another Frightening Show About the Economy

Last week, Chicago Public Radio’s This American Life broadcast an episode in which Alex Blumberg and NPR’s Adam Davidson explain, in clear, frank language, what caused the current financial crisis, and what remedy we can expect from the current solutions being proposed by lawmakers. It’s essential listening for understanding the problems facing our economy, not just from a real estate mortgage perspective, but for what it means to the average consumer.

You can listen to a stream of the episode online, or download a full copy to your computer for a short time. We will also be making copies of the show available on CD, so please contact us if you’d like one.

Is Now a Good Time to Buy a Home? – WSJ.com

Doesn’t it seem like someone is always saying it’s a good time to buy a home? Obviously, this is a tough time to be doing any kind of significant spending, let alone making purchase as large as a home. But the Wall Street Journal says that now may be a good time to buy if you:

• have access to credit
• have fat cash reserves
• aren’t already over-exposed to real estate
• have a secure job or income stream
• expect to hold the property for at least two years

If you’ve been listening closely, that’s the same advice you’ve already heard about buying at any time, not just in the current tough market.