There still are bargain houses available in the Chicago area for people with fix-it skills who want to build ”sweat equity” into foreclosed homes that have been neglected, said real estate expert Robert G. Walters.
”In every broker`s portfolio are such properties that sell, on average, for 10 to 15 percent or more below the price of other homes in a neighbor-hood,” said Walters, senior vice president and general manager of Baird & Warner`s residential sales division. He added:
”A broker can help the home seeker discover where these lower-priced homes are, through listing in multiple listing services, then can counsel the buyer about the value of neighboring properties.”
However, not everyone should buy neglected properties, Walters said, explaining: ”It takes work and money for materials to bring a distressed home up to standard. The buyer should expect to spend money, and lots of time, to increase the home`s value.”
Baird & Warner has sold about 200 foreclosed properties–many of them distressed–in the past 12 months, representing less than 3 percent of the company`s annual sales.
