This morning, the Illinois Association of Realtors (IAR) reported that home sales in the city of Chicago rose 19.6 percent over last year (2,037 sales in May 2012 compared to 1,703 in May 2011), and were up 16.4 percent over April 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, “First-time homebuyers, move-up buyers and investors are finding compelling pricing and historically low interest rates as a perfect incentive to buy now. With a scarce supply of rental homes available and rents increasing across the city, those on the fence are using this market to make their mark and purchase a home.”
The following charts summarize sales and median price trends:
The University of Illinois Regional Economics Applications Laboratory estimates annual sales levels in the Chicago area1 to increase 4-11% from June to August; year-over-year median prices are expected to increase roughly 2% by August 2012. Other notes from the forecast report include:
- In May, at the current annual sales rate, the Chicago area had enough housing inventory for 8.5 months (down from 13.0 months last year this time).
- Average time on the market in the Chicago area was 141 days for homes sold for <$100,000, down from 143 last month, compared to 171 days for homes sold for >$700,000, up from 162 last month.
- The pending home sales index (based on signed contracts) has improved in the Chicago area to 193.3, its highest level since the beginning of the index in October 2008.
The full press release and forecast report are available on the Illinois Association of Realtors website.
1Chicago PMSA:Cook, DeKalb, DuPage, Grundy, Kane, Kendall, Lake, McHenry and Will counties
Source: Illinois Association of Realtors, University of Illinois Regional Economics Applications Laboratory