Glossary

1606 S Ashland Ave, Chicago, IL 60608 Residential Units Available Units: 24 Floors: 8 units on each floor (2nd, 3rd, 4th) Pricing: 2nd Floor Units: $3,000/mo 3rd Floor Units: $3,200/mo 4th Floor Units: $3,400/mo Stunning Pilsen condo-quality new construction, available September 1st! 1622sq of modern, spacious, and bright 3BD/2BA with 1 garage spot included. Unit features 11' ceilings, 9' doors, oversized floor to ceiling windows, central air and heat, custom lighting, vinyl luxury plank floors throughout, wide open kitchen/ living/ dining space, modern kitchen cabinets, quartz countertop, GE ss appliances, contemporary bathroom tiles and fixtures, vast number of closets and private balcony. 2nd bedroom with large full bath presenting free standing tub, shower, and double vanities. In unit full size site by site washer & dryer. Application fee is $50 per adult applicant. Non-refundable move-in fee is $350 per adult tenant. Non-refundable pet fee is $350. 1 pet per unit under 35lbs allowed. Tenant pays heat/ cooking gas and electric. No security deposit. Minimum credit score requirement - 750. 1 year lease minimum. The building is within walking distance of Pink Line, great restaurants, convenience stores, art galleries, boutique shops, park and many more. Quick access to expressway, Medical District and UIC. DESCRIPTION Request More Information on 1606 S Ashland Ave Units First Name Last Name Email Phone Write a message Submit Thanks for submitting!

Title Search A buyer should always obtain a title search from a title company before purchasing a home. The company searches public records and other sources for any liens, easements (such as the utility company’s right to access part of the property), or other encumbrances or title restrictions that may affect ownership or use of the property. ​ Under the Illinois purchase contract, the seller is expected to correct those problems as a condition to closing. ​ If your mortgage lender doesn’t already require it, you should also consider purchasing a title insurance policy to protect your title to the property against adverse claims by third parties, or any clouds on the title missed by the title search.

Deed of Title A deed of title, or title deed, is a specific legal document that transfers the title of real estate from one person to another. Full ownership to a piece of real estate is given to the new owner. Usually, such a transfer would happen through a traditional real estate sale; however, a title may be transferred in other ways. An example of this would be when someone gifts a piece of property to another person. ​ In most cases, the deed of title is classified as a general warranty deed. This is a specific type of deed in which the current owner guarantees that they hold a clear title to a piece of real estate. This means that they are not only guaranteeing that they received a clear title from the previous owner of the property, but that no other individuals retain any interest in the property. ​ A general warranty deed is utilized for most real estate deed transfers due to the fact that it provides the greatest amount of protection of any deed. It may be known as a grant deed in some states. ​ Deeds of title should not be confused with a deed of trust. A deed of trust simply grants a lender or mortgage lender a lien on the property if a debt is owed.

Final Walk-Through Final walk-throughs are not home inspections . It is not a time to begin negotiations with the seller to do repairs or a contingency of sale . The primary purpose of a final walk-through is to make certain that the property is in the condition in which you agreed to buy it. Agreed-upon repairs, if any, were made, and nothing has gone wrong with the home since you last looked at it. A final walk-through is performed before settlement of the home buying transaction. Buyers are often pressed for time as the transaction closing date draws near, so they might be tempted to pass on this opportunity. But many issues can come up, and it's never a good idea to skip the final walk-through. The walk-through serves as a final check for any remaining, unresolved issues with the home. Follow this checklist to ensure you don't overlook any steps. Turn on and off every light fixture. Run water and check for leaks under sinks. Test all appliances. Check garage door openers. Open and close all doors. Flush toilets. Inspect ceilings, wall, and floors. Run the garbage disposal and exhaust fans. Test the heating and air conditioning. Open and close windows. Make sure all debris is removed from the home.​

Types of Mortgages There are four main types of mortgage loans. They are the Conventional Loan , FHA Loan , VA Loan, and the USDA Loan . The one that works best for you will depend on your situation: ​ Conventional Loan - When most people think of a mortgage, they’re thinking of a conventional loan. Conventional loans are the closest you can get to a ‘standard’ mortgage. There are no special eligibility requirements, pretty much all lenders offer them, and you can qualify with just 3% down and a 620 credit score. Conventional loan requirements vary by lender. However, all conventional loans have to meet certain guidelines set by Fannie Mae and Freddie Mac. These include a 620 credit score, a debt-to-income ratio lower than 43%, and at least a 3% down payment. The mortgage also has to be within conventional loan limits: up to $510,400 in most areas. If you apply for a conventional loan with better credentials — like a credit score of 740+ and 20% down payment — you’ll get access to lower rates and a lower monthly payment. On the flip side, maybe you’re just on the edge of qualifying for a conventional loan. If you have a credit score right around 620, and higher levels of debt, you’ll want to be extra sure to shop around. Thanks to their wide availability and low rates, conventional loans are the most popular mortgage in the U.S. In fact, almost 3 in 5 buyers use a conventional loan when they buy a house or refinance. Minimum down payment for a conventional loan It’s a common myth that you need a 20 percent down payment for a conventional loan; you can actually get one with as little as 3 percent down. All told, there are six major options for conventional loan down payments, ranging from 3-20 percent. Conventional 97 loan — 3% down Fannie Mae HomeReady loan — 3% down Freddie Mac Home Possible loan — 3% down Conventional loan with PMI — 5% down Piggyback loan (no PMI) — 10% down Conventional loan without PMI — 20% down For more information about HomeReadyTM and Conventional 97, and piggyback loans, contact your mortgage professional. If you’re in Illinois and would like assistance in learning more about mortgages, ask us and we can point you to a few mortgage professional options. ​ FHA - An FHA loan is a mortgage insured by the Federal Housing Administration. FHA insurance protects mortgage lenders, allowing them to offer loans with below-average interest rates, easier credit requirements, and low down payments (starting at just 3.5%). FHA loans are especially popular with first time, lower-income, and/or lower-credit home buyers, thanks to their flexibility and low rates. But FHA financing isn’t limited to a certain type of buyer — anyone can apply. To qualify for an FHA home loan, you’ll need to meet these requirements: A 3.5 percent down payment if your credit score is 580 or higher A 10 percent down payment if your credit score is 500-579 A debt-to-income ratio of 50% or less Documented, steady employment and income You’ll live in the home as your primary residence You have not had a foreclosure in the last three years ​FHA loans usually have below-market interest rates. That means they’re lower, on average, than comparable conventional loans. Note, the APR on an FHA loan is often higher than the APR on a conventional loan. That’s because FHA rate estimates include mortgage insurance, while conventional rate estimates assume 20% down and no mortgage insurance. ​ USDA Loans - USDA loans are mortgages backed by the U.S. Department of Agriculture as part of its USDA Rural Development Guaranteed Housing Loan program. USDA loans are available to home buyers with low-to-average income for their area, offer 100% financing with reduced mortgage insurance premiums, and feature below-market mortgage rates. USDA home loans are putting people in homes who never thought they could do anything but rent. USDA loans are special mortgages meant for low- to moderate-income home buyers. These loans are guaranteed by the US Department of Agriculture. That guarantee acts as a form of insurance protecting USDA mortgage lenders, so they’re able to offer below-market interest rates and zero-down home loans. USDA runs this program to encourage homeownership and economic development in rural areas. Insurance - USDA “guarantees” its loan program — meaning it offers protection to mortgage lenders in case USDA borrowers default. But the program is partially self-funded. So, to keep it running, the USDA uses homeowner-paid mortgage insurance premiums. ​As of 2016, this is the current mortgage insurance rates ​For purchases, 1.00% upfront fee paid at closing, based on the loan size As a real-life example: A homebuyer with a $100,000 loan size in Blacksburg, Virginia, would be required to make a $1,000 upfront mortgage insurance premium payment at closing, plus a monthly $29.17 payment for mortgage insurance. USDA upfront mortgage insurance is not paid as cash. It’s added to your loan balance for you. ​Eligibility - USDA eligibility is based on the buyer and the property. First, the home must be in a qualified “rural” area, which USDA typically defines as a population of less than 20,000. Second, the buyer must meet USDA income caps. To be eligible, you can’t make more than 15% above the local median salary. You also have to use the home as your primary residence (no vacation homes or investment properties allowed). Borrowers also have to meet USDA's "ability to repay" standards including: ​Steady job and income, proven by tax returns FICO credit score of at least 640 (though this can vary by lender) Debt-to-income ratio of 41% or less in most cases See if a property is eligible for the USDA Loans: https://eligibility.sc.egov.usda.gov/eligibility/welcomeAction.do?pageAction=mfhc ​ VA Loan - VA loans are mortgages backed by the U.S. Department of Veteran Affairs for veterans who have served in the United States armed forces. VA Loan Eligibility for Veterans ​Most veterans must complete a minimum term of qualifying active-duty service to be eligible for a VA loan, though this requirement does have a few exceptions. The minimum term of service varies depending on the dates of that service. Veterans serving from August 2, 1990 through The Present Day ​Veterans who served from August 2, 1990 through the present day must have completed 24 months of continuous service or a full period of at least 90 days during which they were called or ordered to active duty. Veterans serving from September 8, 1980 through August 1, 1990​ Veterans who served from September 8, 1980, through August 1, 1990, must have completed 24 months of continuous service or a full period of at least 181 days of active duty. The beginning date that applies to officers for this requirement is October 17, 1981.​ Veterans serving from May 8, 1975 through September 7, 1980 Veterans who served from May 8, 1975, through September 7, 1980, must have completed 181 continuous days of active duty. The ending date that applies to officers for this requirement is October 16, 1981.​ Veterans serving from August 5, 1964 through May 7, 1975 Veterans who served from August 5, 1964, through May 7, 1975, must have completed 90 days of active duty. The beginning date that applies to veterans who served in the Republic of Vietnam for this requirement is February 28, 1961.​ Veterans serving from February 1, 1955 through August 4, 1964 Veterans who served from February 1, 1955 through August 4, 1964 must have completed 181 continuous days of active duty.​ Veterans serving from June 27, 1950 through January 31, 1955 Veterans who served from June 27, 1950 through January 31, 1955 must have completed 90 days of active duty.​ Veterans serving from July 26, 1947 through June 26, 1950 Veterans who served from July 26, 1947 through June 26, 1950 must have completed 181 continuous days of active duty.​ Veterans serving from September 16, 1940 through July 25, 1947 Veterans who served from September 16, 1940 through July 25, 1947 must have completed 90 days of active duty.​ Additional eligibility requirements for veterans ​Veterans who were discharged due to hardship, government convenience, reduction-in-force, certain medical conditions or a disability connected to military service can be eligible for a VA loan even if they don’t meet the minimum term of service requirement. Veterans who were dishonorably discharged are not eligible for the VA home loan program. VA Loan Eligibility for Non-Veterans​ - The VA home loan program is available to non-veterans, too. This eligibility class includes certain active military borrowers, their families, and others.​ Service members on active duty Active-duty service members can be eligible for a VA loan after they have served 90 days of continuous active duty. Army, Navy, Air Force and Marines are eligible.​ Military spouses Some military spouses can be eligible for a VA loan, too.​ If the service member to whom the spouse is married is alive, the spouse can be eligible if the service member has been officially declared missing in action (MIA) or a prisoner of war (POW) for at least 90 days. This eligibility is limited to one-time use. If the service member to whom the spouse was married has died, the surviving spouse can be eligible if he or she hasn’t remarried and the service member died on active duty, was a totally disabled veteran or was a veteran who died as a result of a service-connected disability. Spouses who have remarried may be subject to more complicated rules. A consultation with a VA-approved lender may be required. A spouse who obtained a VA home loan with an active-duty service member or veteran who subsequently died can be eligible to refinance that VA loan with a new VA loan at a lower interest rate through the VA streamlined refinance program. The service member's or veteran’s death need not be related to his or her service in this case. Children of active-duty service members or veterans, whether alive or deceased, aren’t eligible for VA loans as a benefit of the parent’s service. Reservists and National Guard members Members of the National Guard and Reserves can be eligible for VA loans if they have completed six years of service in the Selected Reserve or National Guard and they continue to serve in the Selected Reserve or were honorably discharged, placed on the retired list or transferred after honorable service to the Standby Reserve or an element of the Ready Reserve other than the Selected Reserve.​ Other people eligible for VA loans Individuals who have completed service with certain federal government organizations also can be eligible for VA loans. Examples include cadets at the U.S. Military, Air Force or Coast Guard Academy, midshipmen at the U.S. Naval Academy, World War II merchant seamen, U.S. Public Health Service officers and National Oceanic & Atmospheric Administration officers.

REALTOR (R) Buyer's Agent A REALTOR (R) is real estate professional that is both a licensed real estate agent or broker AND a member of the National Realtor's Association. They are experts in the residential real estate process and help represent Sellers and Buyers during their real estate transaction. ​ On this page, we will discuss the role, duties, and responsibilities of the Buyer's Agent: ​ Role Showings: Buyer's Agents will contact seller properties to schedule time and access for property showings. Negotiations: Buyer's Agents will assist the Buyer in the Offer Negotiation process when a Buyer decides to purchase a property. Management: Buyer's Agents will assist the Buyer in managing the entire buying process by organizing all of the requisite documents and ensuring all parties involved in the transaction are active in ensuring the buying process is being executed. ​ Benefits - You do not need a real estate agent to buy a home; in fact, some home buyers leave the Buyer's Agent out of the equation. However, you might benefit from hiring one. ​ To save time. Agents can often help you find homes in your price range, and they may have access to more properties than what you’ll see online. To get information and help with negotiations. Good agents should have wealth of information to help you make a decision. And, they’ll handle a lot of complex paperwork on your behalf. Offer Contract Contingency Negotiations Home Inspection Reports Appraisal Reports Earnest Money Escrow Extension Requests Another plus is that your agent will handle a ton of paperwork on your behalf. Unless you love filling out forms – and have experience in real estate transactions – this is a chore best left to the professionals, who should ensure that everything is done by the book. You could easily make a mistake with these documents. Mistakes can cause deals to fall apart or (worse) make you liable for an inadvertent breach of contract. (Licensed agent will have errors and omissions insurance to limit this risk.) An experienced agent will make sure that everything that needs to take place — counter-offers, extensions, appraisal, inspection, walk-through, loan approval — happens when it’s supposed to and how it’s supposed to.​ Market expertise: Conducting a home search by yourself can be a full-time job. Though the Internet makes it easy to find homes in your price range, a good agent usually has access to more properties. That includes For Sale By Owner (FSBO) properties and homes that aren’t yet listed. In addition, some sellers of desirable homes do not wish to “go public.” Only agents (and their colleagues) working with those sellers even know about those so-called “pocket listings.” The exception: There is ONE instance in which you must use an agent to purchase property. That applies if you bid on FHA foreclosure properties. The Department of Housing and Urban Development (HUD) requires all bidders to use licensed agents. ​ ​​

Pricing Strategy Being able to sell your home quickly is a matter of competitive pricing. There is a fine line between pricing low enough to sell, versus pricing just above market value. Your Realtor is responsible for conducting a market analysis in order to recommend the best possible listing price to help your property sell within a reasonable amount of time. ​ Although the Realtor may recommend a price, the Seller is ultimately the person who will make the final decision. Each Seller’s situation is different and you’re allowed to sell your property for lower or higher than your Realtor’s recommendation. But, speak with your Realtor to understand the implications of selling higher or lower than the recommended list price.​

Title In property law, a title is a bundle of rights in a piece of property in which a party may own either a legal interest or equitable interest. The rights in the bundle may be separated and held by different parties. This bundle of rights is represented by a formal document, such as a deed of title , that serves as evidence of ownership. Conveyance of the document may be required in order to transfer ownership in the property to another person. ​ Title is distinct from possession, a right that often accompanies ownership but is not necessarily sufficient to prove it. In many cases, possession and title may each be transferred independently of the other. For real property, land registration and recording provide public notice of ownership information.

Lease-To-Own Many people want the benefits of living in a single family home. However, whether you're a first-time homebuyer who's cautious about making such a large financial investment, you recently relocated and are unsure of which neighborhood to live in, or you would like to one day own a home and are creditworthy but cannot currently obtain a mortgage. ​ There are companies that offer leasing and rent-to-own programs that allow you to find a home that you want to rent initially, but may also like to buy in the next three to five years. There are many households who may be thinking about buying a home, but for whatever reason would like to rent at the current time. You can lease the home for three to five one-year terms, depending on the state, and you may purchase the home from us at any time at a predetermined price. ​ Let us know if you're interested in Lease-To-Own programs. We're happy to direct you to the right programs. Contact us for more information. Apply and Get Approved Prospective residents start the process by filling out a Pre-Qualification Application that checks key issues. ​ ​ Find A Home Prospective residents will work with a REALTOR® to find a home in an approved community. ​ ​ ​ Housing Program Buys the Home, You Lease from The Housing Program Prospective residents will be required to sign a one year Lease for the home as well as a Right to Purchase Agreement. Buy from Housing Program The Housing Program buys the home. You lease it and have the right to buy it later if you want to. ​ ​ ​

Dual Agency Dual Agency is when a licensed Realtor represents both the Buyer and the Seller in a transaction. This is not legal in all States so it is important to ask check your State laws to see if it is legal, if your Realtor finds themselves in that situation. ​ In Illinois, Dual Agency is legal as long as both the Buyer and the Seller consents to the dual representation. This is performed through Dual Agency disclosures. An example of such a disclosure can be seen in this Listing Agreement . ​ Complexities with Dual Agency ​ Communication Dual agents are restricted in releasing confidential information about either client, and they cannot give preferential treatment to either party to the transaction. Client’s of dual agents sometimes become frustrated that the agent will not communicate with them beyond relaying information to and from the other client ​ Pricing Advice Real estate agents often have a better idea of a property’s true market value than the seller or buyer. In most cases, they also know the lowest price a seller is willing to accept or the highest the buyer is willing to offer. However, a dual agent is restricted in using this knowledge to complete the transaction. Discussions with either client about the price to offer or accept can lead to violations of the dual agency agreement and possibly result in the revocation of the agent’s license. For this reason, their knowledge of the market and experience in selling property is of limited value to either party.

Mortgage Loan A home mortgage is a loan given by a financial institution for the purchase of a residence—either a primary residence, a secondary residence, or an investment residence—in contrast to a piece of commercial or industrial property. Depending on the State where the property resides, in a home mortgage, either a mortgage lien is placed on the title of the property OR the owner of the property (the borrower) transfers the title to the lender on the condition that the title will be transferred back to the owner once the final loan payment has been made and other terms of the mortgage have been met or a mortgage lien will be placed on the title. ​ A mortgage payment is composed of 4 components, simply known as PITI - which is the Principal , Interest , Taxes , and Interest . ​ Principal The principal of your mortgage is the amount that you owe before any interest is added. For example, if you buy a home worth $250,000 with a 20% down payment, your principal amount would be $200,000. However, throughout the life of the loan, you pay more than your original $200,000 because of interest. Most lenders look at your principal balance and debt-to-income (DTI) ratio when they consider whether they should extend you a loan. Your debt to income (DTI) ratio is a calculation of your ability to make payments toward money you’ve borrowed. Your DTI ratio is comprised of your total minimum monthly debt divided by your gross monthly income and is expressed as a percentage. A mortgage company will evaluate two ratios: Front Ratio = monthly housing payments/gross monthly income (should be <30%) Back Ratio = total monthly debt obligations/gross monthly income (should be <40%) ​ Interest An interest rate is a percentage that shows how much you’ll pay your lender each month as a fee for borrowing money. Your mortgage lender calculates interest as a percentage of your principal over time. For example, if your principal loan is worth $200,000 and your lender charges you an interest rate of 4%, this means that you pay $8,000 (4% of $200,000) for the first year of your mortgage in interest. ​ Taxes You must pay taxes on your property. Taxes are one of the often-overlooked costs of homeownership. It’s important to consider them when you think about how much home you can afford. The most expensive tax most homeowners pay is property tax, which may vary by location. Property taxes support the local community and pay for things like libraries, local fire departments, public schools, road and park maintenance and community development projects. It’s difficult to say exactly how much you can expect to pay in taxes because they depend upon your home’s value and your local property tax rate. Taxes can vary from year to year. As a general rule, anticipate paying $1 for every $1,000 of your home’s value every month in property taxes. For example, if your home is worth $250,000, you pay around $250 per month in property taxes or about $3,000 per year. ​ Insurance Home Owners Insurance Though homeowners insurance is not required by law in most states, most mortgage lenders require that you maintain at least a certain level of property insurance as a condition of your loan. Homeowners insurance covers your property if a fire, lightning storm or break-in occurs. Some homeowners insurance policies include additional coverage for damage from flooding and earthquakes as add-ons. If you have something very valuable in your home, like a piece of artwork, an expensive piece of jewelry or a musical instrument, you may purchase a high-value layer of protection called a rider in addition to your standard policy. If you live in a condominium, you’ll usually pay a homeowners association fee in lieu of individual insurance that covers your dwelling. Like property insurance, it’s difficult to say exactly how much you can expect to pay in property insurance because every insurance company uses their own unique formula when they calculate your rates. Some factors that influence your premium include: Your home’s value Whether you live in a rural area or an urban area How close you live to a fire department or police station Whether you have an attractive nuisance on your property, which is something that is likely to injure children who enter your property like a pool, trampoline or aggressive dog How many claims you make each year on average for other types of insurance As a general rule, expect to pay about $3.50 for every $1,000 of your home’s value in homeowner’s insurance per year. In this example, you will pay $875 on a property worth $250,000 per year, or about $73 per month. Private Mortgage Insurance​ PMI — private mortgage insurance — is a type of insurance policy that protects mortgage lenders in case borrowers default on their loans. Here’s how it works: If a borrower defaults on their home loan, it’s assumed the lender will lose about 20 percent of the home’s sales price. 20 percent — sound familiar? That’s the smallest down payment you can make without having to pay mortgage insurance. If you put down 20 percent, that makes up for the lender’s potential loss if your loan defaults. But if you put down less than 20 percent, the lender will usually require mortgage insurance. Mortgage insurance covers that extra loss margin for the lender. If you ever default on your loan, it’s the lender that will receive a mortgage insurance check to cover its losses. How much is mortgage insurance?​ Mortgage insurance costs vary by loan program. But in general, mortgage insurance is about 0.5-1.5% of the loan amount per year. So for a $250,000 loan, mortgage insurance would cost around $1,250-$3,750 annually — or $100-315 per month.​​ ​ ​ Mortgage Products Terms ​ Mortgages are provided by mortgage companies . Most mortgage companies are able to help you facilitate the application for a Conventional Loan, FHA Loan, USDA Loan, or a VA Loan . Each of these types of loans also come in a variety of terms. Below are some examples of what you product terms you may encounter: ​ ​ Long-Term Fixed Mortgages (30-year) This is a mortgage loan where you will make monthly payments for 30 years. It is called a "fixed" mortgage because the interest rates are "fixed" meaning they remain the same for the duration of the loan. If you were quoted for a 4% interest rate, you will pay the same annual interest rate for 30 years. ​ The benefit of choosing a 30-year fixed mortgage compared to a short-term fixed mortgage is having lower monthly mortgage payments. The downside is that you will pay a much greater amount of interest over time. The benefit of choosing a fixed mortgage over an adjustable rate mortgage is being able to know your interests will not change over time. Adjustable Rate Mortgages interest change depending on the market rate which means your monthly loan payments may change over time. Short-Term Fixed Mortgages (15-year) This is a mortgage loan where you will make monthly payments for 15 years. It is called a "fixed" mortgage because the interest rates are "fixed" meaning they remain the same for the duration of the loan. If you were quoted for a 4% interest rate, you will pay the same annual interest rate for 15 years.​ Short-Term fixed mortgages come with higher monthly payments compared to long-term fixed mortgages because you will be paying off the principal at a higher rate. The benefit over long-term fixed mortgages is that you pay less interest overall on the loan. Adjustable Rate Mortgages (ARM) An adjustable-rate mortgage (ARM) is a type of mortgage in which the interest rate applied on the outstanding balance varies throughout the life of the loan. With an adjustable-rate mortgage, the initial interest rate is fixed for a period of time. After this initial period of time, the interest rate resets periodically, at yearly or even monthly intervals. ARMs are also called variable-rate mortgages or floating mortgages. ​ With adjustable-rate mortgage caps, there are limits set on how much the interest rates and/or payments can rise per year or over the lifetime of the loan. An ARM can be a smart financial choice for home buyers that are planning to pay off the loan in full within a specific amount of time or those who will not be financially hurt when the rate adjusts. Home Equity Line of Credit (HELOC) ​With a HELOC, you’re borrowing against the available equity in your home and the house is used as collateral for the line of credit. As you repay your outstanding balance, the amount of available credit is replenished – much like a credit card. This means you can borrow against it again if you need to, and you can borrow as little or as much as you need throughout your draw period (typically 10 years) up to the credit limit you establish at closing. At the end of the draw period, the repayment period (typically 20 years) begins. To qualify for a HELOC, you need to have available equity in your home, meaning that the amount you owe on your home must be less than the value of your home. You can typically borrow up to 85% of the value of your home minus the amount you owe. Also, a lender generally looks at your credit score and history, employment history, monthly income and monthly debts, just as when you first got your mortgage. Similar to mortgage loans, HELOCs can come with variable interest rate or fixed interest rate options. ​

Offer An offer is a purchase agreement that is sent to the Seller with a proposal to purchase the Seller’s property under specific conditions and price. ​ In Illinois, this is the standard document used to submit an offer. See It Here ​ What is generally included in an offer: ​ Your purchase offer, if accepted as it stands, will become a binding sales contract —also known as a purchase agreement, an earnest money agreement or a deposit receipt. It's important, therefore, the offer contain every element needed to serve as a blueprint for the final sale. These purchase offers should include the following: Address and sometimes a legal description of the property Sale price Terms—for example, this is an all-cash transaction, or the deal is subject to you obtaining a mortgage for a given amount. Seller's promise to provide clear title (ownership) Target date for closing (the actual sale) Amount of earnest money deposit accompanying the offer—whether it's a check, cash or a promissory note—and how the earnest money will be returned to you if the offer is rejected (or kept as damages if you back out of the deal for no good reason) Method by which real estate taxes, rents, fuel, water bills and utilities are to be adjusted (prorated) between buyer and seller Provisions about who will pay for title insurance , survey, termite inspections and the like Type of deed that will be granted Other requirements specific to your state, which might include a chance for attorney review of the contract, disclosure of specific environmental hazards or other state-specific clauses A provision the buyer may make a final walk-through inspection of the property just before the closing A time limit (preferably short) after which the offer will expire Contingencies ​ Can you take back/withdraw an offer? In most cases the answer is yes, right up until the moment it is accepted—and in some cases even if you haven't yet been notified of acceptance. If you want to revoke your offer, be sure to do so only after consulting a lawyer who is experienced in real estate matters. You don't want to lose your earnest money deposit or get sued for damages the seller may have suffered by relying on your actions. ​ Learn more about the offer process: Counter Offer​ Accepted Offer Offer Rejection Highest and Best Offer ​ ​​