Sue Fox, @Properties. Direct 773.816.1788

Subscribe to Site

Categories

ARCHIVES

Real Estate radio

Chicago home prices & sales skyrocket in May

filed under: Andersonville, Bucktown, Buyers, Chicago home prices, Chicago home sales, Lakeview, Lincoln Park, Lincoln Square, Loop, Market conditions, Sellers posted on June 24th, 2013

LINKED

GOING FAST: Like many homes in desirable Chicago neighborhoods, this Lincoln Square house sold in less than a week. With 3 bedrooms, 3 baths and a finished basement, it went for $555,000 -- less than $5,000 off the asking price -- and closed in May.

It’s getting hot out there! In the space of just a couple months, Chicago’s housing market has gone from listless to galloping — at least in many of the most popular Chicago neighborhoods such as the Loop, River North, Lincoln Park, Bucktown, Lakeview, Lincoln Square and Andersonville. The latest sales figures from the Illinois Assn. of Realtors just came out, showing that home prices in Chicago jumped 17% between May 2012 and May 2013.

Home sales — the number of properties trading hands — were even stronger, soaring 30% over last spring. In May 2012 there were 2,125 homes sold in Chicago, compared with 2,762 sales last month. Properties are also selling much faster; the average market time in Chicago is now less than two months.

If you’re thinking of buying a home this year or even next spring, it’s time to get serious about the search, because there isn’t much for sale and the best properties sell very quickly. “What is going on with this market?” I had a buyer ask me yesterday. “If I see something I like online, within a day or two it’s already gone.” Yep, that’s now the case in many hot neighborhoods. In Andersonville alone, I’ve been involved in three transactions in the last month where the home sold for list price or slightly under (1 to 2% less) within a week of hitting the market. And in one case in Lakeview, I had a buyer offer a bit more the asking price because we knew the home would attract multiple offers (it did, but my buyer won out.)

There is a supply problem right now in Chicago: not enough homes are being listed for sale, especially in the areas buyers prefer. In order to compete, buyers must be pre-approved for a loan (or, even better, pay cash) and be ready to jump on new listings as soon as they hit the market.

And sellers? Well, you are certainly better off now than you were a year ago. Your home will likely sell fester, and for more money, than it would have last summer. But keep in mind that prices citywide are still much lower than they were in 2006 and 2007. Still, Chicago sellers now have a good chance of attracting a buyer (or even multiple buyers) if they stage their home properly and price it fairly. Let me know if you need help!

Written by Sue Fox //

Leave a Reply