Illinois Market Overview
So there is lots and lots of media hype by the talking heads doing the
nightly news. What's really happening in the real estate world? I'll give you a few factoids and throw in my perspective on the findings. So let's go for Illinois stats, market highlights and predictions ~
Affordability remains high. Illinois single family home prices are trending back to 2000 level prices.
Lyn's Thoughts - Holy bejeezes! This makes me feel faint. I'm sorry but I cannot verify this statistic.
Sales volume in the 3rd Quarter of 2011 is expected to surpass the 3rd Q of 2010 by 30%.
Lyn's Thoughts - In my estimation 2010 has been the worst year that I can remember and I've been doing this since 1983. I sincerely hope this comes to pass.
Illinois Statewide Stats
- Home sales up 12.7% with this being the 5th consecutive month to month sales gain. (My posts have indicated month over month increases also).
- The sale of just one home in IL produces $28,581 in expenditures made by buyers and sellers in the transaction. Ripple effect is clear from real estate - how money spent in one industry goes to another industry and so forth.
- Rents are rising and squeezing renters. Some financially well off renters will be hammering away at calculators to see if owning a home makes more sense. (I can help with that!)
- In May 2011, Illinois remained in the top 10 for foreclosures rates: Utah, Georgia, Idaho, Michigan, Florida, Colorado and of course Illinois.
- Many markets have two levels of pricing - distressed sales and traditional sales. Foreclosures and short sales tend to carry prices as much as 20% below traditional sales in the same area.
According to the Natl. Assoc. of Realtors 2011 National Housing Pulse Survey 82% of respondents said not having enough money for the down payment and closing costs are amoung the chief obstacles in buying a home, followed by job security.
Sources: IAR June 2011
I couldn't agree more with re: 2010. Not my favorite year. Now...the trending back to 2000 prices? Are you seeing that? I hope that doesn't happen here, Lyn. Right now we've been holding roughly at 2004-2006 prices and they're slowing going up.
David: I see prices obviously lower but I cannot validate the 2000 number at all. Since each subdivision is different and reacting differently it is hard to tell. Another 'blanket statement' by the IAR which can't be proven I believe. Besides there is often the different pricing between distressed homes & regular sales. Which one would I compare it to? The regular sales are higher but there are definately less of them.