First-time home buyers in Chicago always have some competition when it comes to finding affordable homes. This has been a fact of the market since the Great Recession, when cash buyers swooped in to pick up bargain-priced homes and turn them into rentals. But several years later, investors are still very active in the Chicago real estate market, even as inventories dwindle and home prices climb.
For example, HomeUnion reports that Chicago is their number one market for real estate investors, with investor purchases of single-family homes rising 30.4% from 2016 to 2017. Chicago is almost twice as popular as the second-ranked market of Columbus, Ohio, which posted an 18.1% rise in investor purchases. All other cities in the top ten had single-digit sales growth to investors. You can see the rankings here.
What’s the big draw to Chicago real estate? According to HomeUnion, it’s the relationship between home prices, the overall cost of living, and the economic strengths of the area. Chicago real estate is more affordable than many other major cities, yet the market rents are attractive. (If you’re a landlord!)
HomeUnion is just one real estate investment site among many. These sites display single-family homes for sale from around the country. And right alongside those listings are projected rental incomes and estimated returns on investment. Some sites offer a complete bundle of investor services like financing, acquisition, repairs and property management.
Real estate investors aren’t going to go away anytime soon. First-time home buyers need to be dedicated to their home search, and be well-prepared with their down payment and mortgage approval! Fortunately, StartingPoint Realty is here to help!
StartingPoint Realty – your Chicago home buying experts!
StartingPoint Realty proudly serves first-time home buyers throughout Chicago and the Northwest suburbs. We provide complete education and guidance during the entire home buying process! Attend a free home buying seminar to begin your path to home ownership!
We provide great resources to help you become a successful home buyer! Check out our list of home buyer assistance programs on our website!
Always feel welcome to contact us for help with your Chicago home buying questions!
Ryan Gable Broker/CEO Starting Point Realty
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