Local Real Estate Market Update

Posted by Andreas Holder on Monday, August 6th, 2018 at 6:21pm.

Welcome To "How's The Market!" 

Chicago how's the market

If you have been following my weekly market updates, you notice that today's report has a different format. I think this format is easier to understand as it gives you a snapshot of whats going on in different neighborhoods. Today we start with an analysis of three areas - Near North (Gold Coast, Streeterville and River North), Lincoln Park and Lake View. I hope you enjoy reading and I would love to hear your feed back!

Market  Overview:

You may hear some talk about another real estate pricing bubble. While there are some indicators that might point in that direction, they are weak and any prognosis is premature.  As prices continue to rise and inventory is still tight, while wages don't rise as quickly, we could see a weakening of the market. However, today's market is quite different than the last recession. The economy is growing, lenders are more aware of the economic fundamentals that may lead to a downturn. Inventory appears to be improving in many markets, which would help alleviate price pressure. 

Gold Coast, Streeterville and River North:

In the Near North Side, June 2018 saw a 10% increase of condominium listings over the same period last year and 5% increase in sales. The median sales price increase 3% over last year. This June there were 14% more homes on the market than last year and time on market increase by 24% from 68 to 84 days. 

Even though here were more homes on the market and it took longer for them to sell, the prices still increased. Sellers believe in a continued strong economy and are not willing to lower their prices, even though there is more supply. 

See the report for Near North Side here. 

Lincoln Park

In Lincoln Park, both single family homes and condominium  sales dropped in June of this year vs June of 2017. Single family homes saw the biggest decrease with 41% but the median sales price rose by 5%. There were fewer homes for sale and market time decreased also. For condominiums, the market was also weaker this year, with 4% less sales and a whopping 21% higher inventory. The median sales price decreased by almost 10%. 

This area continues to be a buyer's market as inventory is high and prices tend to go lower. 

See the report for Lincoln Park here 

Lake View

For single family homes in Lake View, there were 4 fewer sales this June but of higher priced homes. The same is true for year to date, with 13 fewer sales but at a 16% price increase. In June, condominium sales were down also. But in Lake View, there are many more sales of condominiums and townhomes (226 this June) than single family homes (15 this June).

Unlike Lincoln Park, where prices are trending down, prices in Lake View are increasing. But Lincoln Park is still more expensive. The median price of a single family home in Lincoln Park is $1,675,000 and in Lakeview it is $1,402,500. If you always wanted a house in those areas, now is definitely a great time to buy. 

See the report for Lake View here

Andreas Holder, Chicago Real Estate AgentAre you thinking about buying a home this year in Chicago? Andreas Holder can help! Let him be your guide to the downtown Chicago real estate market and help you find a home that not only matches your needs, but your lifestyle too.
Learn more about Andreas or start your home search now.

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