Lake County, Illinois/Flickr user Teemu008
Spring was kind to Chicago’s housing situation, and the momentum is continuing into the second half of the year, according a recent market report from Re/Max Northern Illinois. The report shows tightening inventory in May meant homes stayed on the market for less time, and people were eager to buy them.
Out of the seven counties that make up Chicagoland, Lake County posted the highest increase in home sales year-over-year in May, at 16 percent. Both Dupage and Kendall counties enjoyed 13 percent increases in home sales. Will County was the only market to post a decline, falling 2 percent.
Strong May sales in McHenry County helped median sale price increase 13 percent year-over-year. Home sales also grew 8 percent.
“I’m optimistic we’ll see an expanding inventory, especially in the middle ranges of the market where supplies are the tightest,” Jack Kreider, executive vice president and regional director of Re/Max Northern Illinois, said in a press release.
Kreider pointed out that average list price was right around $250,000 in the Chicago area but that median list price teetered over $400,000. He also said that inventory in the higher-end homes is high, but it’s the demand for affordable housing in the median price range that’s placing a strain on inventory.
Single-family sales climb slow
Single-family homes took the lion’s share of the total sales in the region with 7,340 total units moved. In all, the Chicago metro area moved 11,616 houses in the month of May.
Median sale price for the whole area increased to $235,000, a 5 percent increase over last year’s numbers. For single-family homes, median price jumped 6 percent to $250,000. This time last year, homes were on the market for 104 days, which dropped to an average of 98 days through May.
“Chicago-area home sales activity so far in 2016 is at its highest level since the pre-recession year of 2006. Prices are rising but haven’t fully recovered area wide. The median sales price in May this year was below the May 2008 median of $255,000, but well above the $201,000 recorded in May 2009,” Kreider said.
Apartments and condos spike
Sales of attached homes increased 9 percent to cover the remaining 4,276 units sold during the month, according to the report. Median sales price also increased to $200,000 in May, up 5 percent year-over-year.
Kane and Kendall counties had spiked sales, with both areas seeing 40 percent and 36 percent gains in moved units. The only two counties that decreased in year-over-year sales were Will (7.1 percent) and MeHenry (1 percent).
“The market is definitely getting stronger and heating up here, driving home prices up,” Kreider said. “Helping to replenish low end inventory.”
