Condo owners in Chicago are in a tricky position right now. Why? There are a lot of nearly identical properties on the market that are all competing for a limited number of buyers. Sure one unit may have cherry hardwood floors and another might have oak, but you’ve probably noticed that a lot of the listings sound very much alike these days—open layout, granite counters, stainless steel appliances, 42” cabinets, separate tub and shower, private balcony, etc. The older buildings have a classic living-room-in-front-kitchen-in-back floor plan. And many of the newly developed walk-ups follow a pretty standard blueprint as well.
Being that much of the condo inventory resembles one another, other elements will be the deciding factors for buyers to purchase a particular unit. Things like location and price are extremely important. One of these you can’t control—your unit is where it is—but you have full power to determine the other. And price will arguably make or break the sale.
There are loads of deals available on Chicago condos, with foreclosures and short sales offering even bigger discounts in neighborhoods across the city. In this type of economic climate, most sellers can’t afford to overprice their units. Setting the asking price too high will cost you lots of extra market time and risk buyers assuming the reason your property’s been up for sale so long is a major problem or some other issue no one has wanted to deal with. Also, buyer interest is highest when a home first hits the market. So you want to cash in when the listing is fresh and responses are at their peak.
Don’t waste your time, money and efforts with an unrealistic price point. Instead, look at what other similar condos in your building or block have sold for in recent months and price accordingly. Like it or not, the market determines the value of your home. This is a difficult concept for sellers to grasp, especially when you paid more for your unit than what the going rate is today. But keep in mind: you may have to sell low now, however, you can also buy low on the next place. That bigger and better Chicago condominium you always wanted may be more affordable than ever.
