C.A.R.’s market snapshot helps prepare you to answer questions about Chicago’s real estate industry, while projecting confidence and consistency as a voice for Chicago REALTORS®. If you would like to discuss any of your upcoming media or other public speaking opportunities, contact Jessica Kern, Director of Marketing & Communications or Maria Dickman, Communications Specialist.
MARKET SNAPSHOT – CITY OF CHICAGO
*The City of Chicago Market Snapshot represents the residential real estate activity within the 77 officially defined Chicago community areas as provided by the Chicago Association of REALTORS®.- 2,661 homes sold in the City of Chicago in April 2016. This is a 9.3 percent increase from April 2015.
- The median sales price in the City of Chicago for April 2016 was $286,250, up 5.5 percent from this time last year.
- The City of Chicago saw listings average 86 days on the market until contract, a 5.7 percent decrease from 91 days in April 2015.
- Check out the April 2016 FastStats.
MARKET SNAPSHOT – CHICAGO PMSA
*The Chicago PMSA Market Snapshot represents the U.S. Census Bureau’s definition of the nine-county Chicago area, including areas that would qualify as metropolitan areas on their own, yet are linked to other cities in close proximity. The Chicago PMSA includes the counties of Cook, DeKalb, DuPage, Grundy, Kane, Kendall, Lake, McHenry and Will.- 10,216 homes sold in the Chicago PMSA in April 2016. This is a 9.3 percent increase from April 2015.
- The median sales price in the Chicago PMSA for April 2016 was $230,000, up 10.6 percent from this time last year.
STATE OF THE MARKET
- “After posting only modest gains in March, Chicago saw in April a return to what would be expected in a market marked by high consumer demand,” said Dan Wagner, president of the Chicago Association of REALTORS® and senior vice president for government relations at the Oakbrook-based Inland Real Estate Group of Companies.
- The housing market is being predictable, and this is a good thing. At the start of the year, it was anticipated that the prevailing trends of the past year would continue into and through 2016, and that has largely been the case. The number of homes for sale has generally remained lower compared to a year ago, and prices have been steadily rising in communities where homes show well.
- There have been no striking changes to curtail what should be a decent run of home sales over the next few months. Mortgage rates have remained stubbornly and wonderfully low, the unemployment rate has remained at or near 5.0 percent for eight straight months and wages have increased for a great many people. New construction has been slow, and that may be a damper on sales, but the general outlook remains strong.
- According to National Association of REALTORS® Chief Economist Lawrence Yun, if the trend of stable pending sales continues, the U.S. housing market could end up having one of its strongest years since 2006.
INVENTORY
- City of Chicago inventory is down 18.5 percent, from 9,889 in April 2015, to 8,064 in April 2016.
- In the City of Chicago, the month’s supply of inventory is down 26.7 percent, from 4.5 in April 2015 to 3.3 in April 2016.
- Inventory remains seasonally low, and homes are selling faster. Motivated buyers are looking for homes, and the lower inventory means that the homes that are being listed are moving quickly. Sellers who do decide to list this season can take advantage of growing demand, said realtor.com® Chief Economist Jonathan Smoke.
- Low inventory levels are creating a seller’s market. A decline in available housing inventory is impacting the market in Chicago as well as nationally. Rising prices and limited inventory mean that buyers are having to move quickly when they do find the right home.
REAL FORECAST
- The median price forecast indicates moderate annual growth in the Chicago PMSA. Median price increases of 8.8 percent in May, 8.4 percent in June and 8.5 percent in July are forecast.
- Read the REAL Forecast in full.
FORECLOSURES
- In April 2016, 1,874 houses were newly filed for foreclosure in the Chicago PMSA and 1,190 foreclosures were completed. As of April 2016, there are 39,412 homes at some stage of foreclosure – the foreclosure inventory.
- In April, for the Chicago PMSA, the percentage of foreclosed sales among the total sales was 17.3 percent, the lowest April reading since 2009.