This morning, the Illinois Association of Realtors (IAR) reported that home sales in the city of Chicago rose 12.1 percent over last year (1,626 sales in March 2012 compared to 1,450 in March 2011), and were 50.7 percent over February 2012. In the IAR press release, Bob Floss, president of the Chicago Association of Realtors and broker-owner of Bob Floss and Son Realty, said, “Realtors are continuing to see an increase in the number of buyers looking to buy a home today, as rents are going up and interest rates are at an all-time low. While we are still closely monitoring the impact of distressed properties now and those that may enter the market in the coming year, continued stabilization of the market will ultimately come from buyers looking to make a long-term investment in a community with the dollars they invest today.”
The following charts summarize sales and median price trends:
The University of Illinois Regional Economics Applications Laboratory estimates annual sales levels in the Chicago area (1) to increase 14-30% in April and May, and 5-10% in June; year-over-year median prices are expected to decline by 5-6% over the next three months. Other notes from the forecast report include:
- In March, at the current annual sales rate, the Chicago area had enough housing inventory for 9.1 months (down from 11.6 months last year this time).
- Average time on the market in the Chicago area was 145 days for homes sold for <$100,000, compared to 180 days for homes sold for >$700,000, both down over last month.
- The pending home sales index (based on signed contracts) has improved in the Chicago area, from 105 at the end of last year to 160 in March.
(1) Chicago PMSA: Cook, DeKalb, DuPage, Grundy, Kane, Kendall, Lake, McHenry and Will counties
Source: Illinois Association of Realtors, University of Illinois Regional Economics Applications Laboratory