On a foreclosure listed with an agent...cash offer with 10% earnest and state a quick close. There are a ton of foreclosure investors in Chicago. The properties now are often in "multiple offer" situations and end up selling above current list price. There's also a BIG push for banks to sell to "owner occupants" and they often do select their offers first. If the location is less desirable, been on the market for some time (30-60) days, shows a price reduction, you may be able to get the property for less than asking. Now....the other way to purchase a foreclosure is at the auction. The auction room is packed with people that have all done their property research. Risky at best. You have to know what you're doing and you can not see the interior prior to the auction. Let me know if I can help.

I agree with both of the responses to your question. However, if you're looking to network or find an investor community to become a part of, I would suggest a few groups found on Facebook: Chicago Real Estate or Real Estate Investing are two such groups that might be useful for you. You'll find novice investors, full time savvy buyers, realtors and those just keeping an eye on market fluctuations are all part of these groups.

Hi Eric -- The best way is to use a Realtor who is an expert in the area, has experience with foreclosure purchases , can properly inform you on the micro market you are purchasing in and works with a strong team of expert attorneys, inspectors and other advisors.

Well priced foreclosures in higher demand neighborhoods tend to result in multiple offers and (often) above asking price cash sales, so working with a responsive, quick realtor helps tremendously.

Please let me know if I can assist further, a large part of my business involves foreclosure purchases in the city of Chicago.

Michael

You need to understand the proper usage of 'dees, dem, and dose'.

Seriously, it's the same as buying any other property. Place an offer. Wait for a response.

Some things to keep in mind, in Chicago, and probably anywhere. Every bank has different policies. Some will counter within 24 hours. Others might take a week or more.

The agents generally representing the banks are swamped, and not very responsive. The bank will make you feel like a prisoner and sign and sign and sign. But...you'll get a deal.

As for the actual offer, you'll want to show something strong. Banks are pricing these properties below market so coming in way under is a waste of time. The more money you can show down and the quicker you can close will help you win out in a multiple offer situation, which is common in hot areas with low prices.

And make sure you never put ketchup on your hot dog or the bank will invoke Chicago Municipal Ordinance 10.14.190.8 and confiscate your home immediately.