5 tips before you buy a building

Summary

Here are five things to know before buying a property in Chicago as a house-hacker or investor: 1) Buyer’s agents are typically paid by the seller’s agent, 2) Check property taxes and exemptions, 3) Be prepared for wear and tear in old buildings, especially electrical and plumbing issues, 4) Don’t be afraid to make repairs and get bids during due diligence, 5) You’ll need a real estate attorney in Chicago.

Highlights

• 💰 In Chicago, buyers don’t have to pay the agent, as the seller’s agent covers the cost.

• 🏢 Check property taxes and exemptions to ensure accurate calculations.

• 🏠 Old buildings in Chicago may have wear and tear, so inspect electrical, plumbing, and roof.

• 🧰 Make repairs and get cost estimates during the due diligence period.

• ⚖️ In Chicago, a real estate attorney is necessary for the transaction and negotiations.

Key Insights

• 💰 The unique aspect of not having to pay the buyer’s agent in Chicago can be advantageous for those looking to buy a property.

• 🏠 The age of buildings in Chicago means that wear and tear, particularly on electrical and plumbing systems, should be expected. Buyers should thoroughly inspect these areas.

• 🏢 Checking property taxes and exemptions is crucial to ensure accurate calculations and avoid unexpected financial burdens.

• 🧰 Buyers should not shy away from making repairs and can utilize the due diligence period to get cost estimates from contractors.

• ⚖️ Having a real estate attorney in Chicago is a requirement during the transaction, providing legal representation and mediation between parties. Their fees range from $500 to $700, paid at closing.