Julie's Blog

Plainfield market times are creeping up as the inventory of homes exceeds the demand from buyers.

In the last 3 months the average market time for a detached single family home in Plainfield was 166 days, but the break down of market time by the number of bedrooms is  a little more specific:

• 2 bedroom homes in Plainfield have an average market time of 148 days.
• 3 bedroom Plainfield homes sold in an average of 126 days, considerably shorter than the group average.
• 4 bedroom homes in Plainfield have an average market time of 184 days.
• 5 bedroom Plainfield homes sold in an average  of 209 days.

From my interpretation of these numbers is that it seems that 3 bedroom homes sell faster than larger or smaller homes by a little over a month, which could be attributed to buyers entering the market for the first time.  Traditionally 4 and 5 bedroom homes tend to be second or third time “step-up” purchases.

The average market time for attached single family homes (townhomes, duplexes, condos, etc.) is 133 days.  The breakdown is as follows:

•  1-2 bedrooms have an average market time of  144 days.
• 3 bedrooms have an average market time of 122 days.

It seems that the demand for 3 bedroom attached single family homes in Plainfield is slightly higher than smaller units available on the MLS, as the market time indicates.

Julie Ferenzi | Realtor®
Plainfield Real Estate
630-673-6233

I had a sour puss on my face from October through the end of January. 

Why? 

Because I was too buy sulking, pouting, moping... (whatever you want to call it) about how not busy I was, not selling homes in Plainfield.  Misery loves company, and I know I wasn't alone.

I was too busy focusing on how slow the real estate market was here in Plainfield that I forgot to do something about it.  So, exactly what did I do about it you're wondering? 

I changed the way I do business. 

Instead of focusing on buyers who want to, but for one reason or another can't buy right now, I started focusing on a new branch of my business.  I have been working with renters and landlords in the single family and town home rental market in Plainfield for the last month, and not only have I been increasingly busy, I've been earning a steady paycheck with the potential for residual income 12 months from now!

The best part?  My deals dont' fall apart at the closing table! 

Is your market startign to thaw out too?  Are there signs of life out there for you too?!

Julie Ferenzi | Realtor®
Plainfield Real Estate
630-673-6233

My phone has been ringing off the hook with families looking for rental homes here in Plainfield.  The Spring market is certainly in full swing as real estate heats up in the area.

As of today there are 53 single family homes available for rent in Plainfield ranging in price from $1,275 up through $3,500 per month.  Most of the 3 bedroom homes range in rent from $1,450 to $1,600 with the price points for 4 bedroom homes jumping up from $1,650 to $2,500 on average.

Many of these homes are available as a lease options, or the owners are willing to consider a sale at a later date.

The process for signing a lease for a home in Plainfield can be done in just a few easy steps.

1. Fill out a Credit Check and Lease Application (which I can e-mail to you directly.)
2. Next we have to run a credit report on all applicants over the age of 18.
3. Tenant needs to provide pay-stubs from the last 2 paychecks.
4. Agents negotiate the terms of the lease.
5. Tenants wait for a response from the owner.
6. If approved, tenants put down a security deposit to hold the property in the form of a certified check or Cashiers Check and sign the lease.

See, there’s not much too it, and these Plainfield rental properties are going fast this Spring! Many of these homes have multiple offers and multiple interest by the time the owners make a decision.  It’s important to be prepared and have all of the necessary funds available before negotiating the terms of the lease, because without a security deposit chances are you aren’t going to be approved.

Julie Ferenzi | Realtor®
Plainfield Real Estate
630-673-6233

After a long cold winter, it seems like there has been a crack in the ice in Plainfield real estate lately.  I'm not sure what gave, but it seems like things are starting to pick up.  Obviously the Stimulus Package hasn't done anything to brighten the outlook of the 2009 economy or real estate situation, so I'm not sure what to attribute the increase in activity to... other than maybe the promise of Spring?

How is the market in your area?  What kind of transactions are you doing in your market?  Are you working more with buyers or sellers?  I'm just wondering what's going on out there outside my little bubble here in Plainfield :)

The last time I bought a fax machine was about 6 or 7 years ago.  The old girl served me well, but let's face it... compared to today's standards, she was a dinosaur.  In fact I was so complacent with the outdated technology that I had no idea that there was such a thing as ink-jet fax machines!

I felt like Wilma Flinstone at Staples today as I "ooohed and ahhhed" over the all shiny silver buttons and full color LED screens.  I think I annoyed the sales person just a bit, or maybe it was the fact that I had all 4 of my kids with me in the store?  In all honesty he should have been thanking them, they were the ones that broke my fax machine in the first place :)P

I work from home, except when I'm meeting with clients or showing homes, so I'm surprised at myself for taking so long to catch on to the technology that may very well streamline the way I do business. 

This new all-in-one machine faxes, copies, scans and prints.  On my old HP printer I had to individually scan each sheet and save them as PDF's which if you were talking about a credit report or an 11 pages sales contract with disclosures... I could be at it for a while.  And faxes?!  Ugh, they looked like someone ran a crayon over an embossed surface.  They hardly survived even one transfer.

This new  MFC-5890cn "Color Multi-Function Center" from Brother has a 50 page automatic document feeder, high yield ink cartridges (a money saver!) and the ability to print up to 11"x17" signs...

Okay, maybe I'm getting a little ahead of myself.  It is still sitting in the box in the office and all.  I have a rule, if the instructions are longer than one page... I make my husband Tony do it. I am however extremely excited at the prospect of saving time, and having the ability to scan and fax without all the drama, stuck pages, missing documents and trouble that my old ways had caused!

I'll let you know how I love it later next week. 

How about you?  What technology can you not afford to live without?  What piece of office equipment makes your life easier? 

Tony and I don’t get to go out alone very often.  Other than the occasional weddings over the last 2 1/2 years since our youngest son was born, I think we’ve been out without the kids only a handful of times.  Thanks to my in-laws, this past weekend was one of those rare occasions.

We were celebrating Tony’s birthday so I left all the choices up to him.  He had no problem picking the movie, but dinner was up for grabs…  and we both refused to spend a night without kids cooped up in a booth a Applebee’s. (Don’t get me wrong, I love any eating establishment in which I don’t have to cook

A while back a vendor for Passport Unlimited visited my real estate office and I bought a couple of these cards that offer a free entree with the purchase of another entree at participating restaurants.  Most of the restaurants are for fine dining so I figured that a night without kids certainly qualified.  We decided to give J.Todd’s Steakhouse in Plainfield a try.

On our way to the Kerasotes Showplace Theaters in Naperville I remembered passing J.Todd’s on Rt. 30.  I must have passed that place at least 200 times since they opened and didn’t realize that is where it was!

I was really impressed with the atmosphere at J.Todd’s and I have to admit it wasn’t at all what I expected from the exterior.  J.Todd’s Steakhouse holds the anchor unit at a large strip mall just south of 135th and Rt. 30, but that didn’t for one second hinder the dining experience on the inside.

Dinner was absolutely delicious… and we even splurged on dessert.  Of course I swore off eating ever again after consuming so much food, but it was worth every calorie.

I think we are just going to have to find more frequent occasions to sneak off to dinner at J.Todd’s without our kids!  They also have an elegant bar area… and even a karaoke night.

You’ll love J.Todd’s and the atmosphere, but don’t just take my word for it.  See for yourself! If you want to get your Passport Unlimited card for your complimentary entree from J.Todd’s you’ll  just have to buy, sell, or rent a house from me this year

Julie Ferenzi | Realtor®
Plainfield Real Estate
630-673-6233

Let’s face it, good credit is hard to come by these days, and most real estate investors know this.  Even if you have bad credit, chances are there is an investor/owner out there that will be willing to rent you their property, but not without conditions.

If you have a bankruptcy, low credit scores, or a foreclosure on your credit report, it will require more on your part to successfully negotiate a lease agreement.  If you aren’t sure what your credit score is, you need to run a credit report and compare that number with the FICO, Fair Isaac Scoring system.

Just as with financial lending, a credit score indicates the risk level involved in extending credit.  As a general rule… past behavior predicts future behavior.  As a means to protect their investments, investors will ask for more in security as collateral in exchange for the accepting the risk involved in approving someone who has a history of  late or non-payment.

If you have poor credit and were to apply for any kind of loan, it’s a known fact that you will pay more in interest than someone who has good or excellent credit.  Credit cost money and so does assigning that risk to another party through a lease agreement.

It is not uncommon for a Lessor to require a 2 months security deposit, in addition to the first month’s rent with credit scores below 550 or apply additional requirements, for example; interest or penalties on late payments.  Many landlords will also ask to see pay-stubs to verify employment and request references from previous landlords.  Providing a hardship letter in addition to your application will provide greater insight as to why your credit scores are low, whether it was from a temporary set back, loss of income, or health related issue.  Since applications are considered on an individual basis, hardship letters can help sway a Lessor’s decision either way.

While it’s not impossible to find a landlord willing to rent to tenants that have less than perfect credit, it may take some time.  Not all landlords are willing to take on the risk of a renter with bad credit, so even though you may have found the house of your dreams, you may need to keep looking.  The final call is made by the owner of the property after their review of the application and credit report to determine acceptance of your application.

Julie Ferenzi | Realtor®
Plainfield Real Estate
630-673-6233

Forget buyers...  These days I feel more like a leasing agent,  but I’m certainly not complaining. Right now the Plainfield rental market is hot, Hot, HOT!

The amount of investors in the market that are helping to clean up the foreclosure mess have created a great inventory of homes that renters have to chose from.  Most of my weekly phone calls are from families recovering from low credit scores and looking to get into a single family home that they will have an opportunity to purchase later through a lease option, or through the right of first refusal.

Investors that have purchased in this market with the intent to buy and hold their real estate investments have a steady supply of consumers that are in demand of their product, but it is not without risk.  Due to the recent events in the economy, many of these consumers do have credit challenges that make the chances of finding a renter with good credit more and more unlikely.

Is there is a silver lining?  Of course.

Many of these renters will do anything to get back into a new home, and that means a new-found responsibility to their finances and debt obligations.  Homeowners who are climbing back up the ladder after filing for bankruptcy, suffering a job loss, or losing a home to foreclosure still need a place to live.  Given the high amount of foreclosures and bank owned properties in Plainfield right now, there are a lot of families looking to fill these vacant rental properties.

Julie Ferenzi | Realtor®
Plainfield Real Estate
630-673-6233

The Plainfield real estate news for the last 30 days are as follows:

The data in the tables above continue to tell the story that has been seen for the last several months in Plainfield.  This information is bad news for sellers, but great news for buyers looking to get into a new home in Plainfield in 2009 for a great price.

On average 24% of the single family homes available for sale sold in the last 30 days.  These homes sold in an average of 151 days.

Of the 903 single family homes currently available for sale in Plainfield the average list price is $319,180, much above the average closed price of $234,239 per home.  The average market time for a single family home in Plainfield is about 225 days which is just over 7 months.

On average 18% of the attached family homes available for sold in the last 30 days.  These homes sold in an average of 78 days.

Of the 248 attached family homes currently available for sale in Plainfield the average list price is $198,025, much above the average closed sale price of $141,551.  The average market time for an attached family home in Plainfield is just under that of single family homes at 205 days, or a little over 6 months.

This again puts the ball in the court of the buyers looking to purchase a home in Plainfield.   Buyers if you are looking to buy a house in Plainfield, don't be afraid to move forward.  Using MLS data to justify your offer is the key to negotiating successfully with a seller.  A seller can ask anything they want for their home, but a lender won't allow you to borrow more than the house is worth in this economy.

Call me at 630-673-6233 if you need an agent who knows how to use MLS data to get you the price you want on your new Plainfield home.

Julie Ferenzi | Realtor®
Plainfield Real Estate
630-673-6233

Right now “rent to own“ is a great option for buyers who want or need to move now, but aren’t ready, or able, to make the commitment to purchase.  Because of the economy, rental properties are much more prevalent on the MLS than in recent years. Due to fact that many homeowners owe more than their properties are currently worth their only option for moving is to rent out their properties in the event they need to move or have an investment property they cannot sell.

As far as the terms of a rent to own, there are no defined rules on how to structure the transaction.  A lessor can simply agree to sell the property to a lessee upon signing the lease agreement, or they can take what is called “option” money that is non-refundable to secure a sales price and act as a down payment for a sale at a later agreed upon date.  In this market, I wouldn’t suggest going this route because market values are constantly changing and most likely home prices 12-18 months down the road will be approximately 6-10% less than market values today.  It wouldn’t make sense to pay more further down the road when prices are declining.

As far as rent credits go, most lessors will not give you rent credit toward your down payment because of new FHA rules for purchasing.  Down payment assistance cannot come from the seller.  There are ways around it, but I have been working with a lot of renters lately and I have not come across any listings that are offering rent credits.  You are better off taking $100-200 extra per month and putting it in a savings account as a down payment.  Lessors tend to base their rent prices on market conditions, but more than that they are basing them on their own mortgage payments.  If a seller didn’t put much money down on a property, they probably have a higher payment, and in turn will ask a higher amount in rent.  Prices for the most part are market driven, but they can certainly be affected by the monthly payments of the mortgages on the properties.

Credit checks are required on rental properties and rent to owns.  Most lessors require a security deposit (usually equal to one month’s rent) in addition to the first rent payment.  Usually lessors like to see pretty clean credit, but in this market with so many people coming out of foreclosure situations, renters with good credit are becoming increasingly difficult to come by.  Most lessors will consider problem credit, but may require addition money for a security deposit.

If you have a home that need to rent in order to move… or are looking for a home to rent in the Plainfield, Naperville, Joliet, Shorewood, or Romoeoville area it would be my pleasure to help you!  Call me at 630-673-6233 directly.

Julie Ferenzi | Realtor®
Plainfield Real Estate
630-673-6233