Chicago Case-Shiller Indices up year over year for first time since 2007

Chicago’s Case-Shiller Index for November fell 1.3% from October. So it’s back to its June 2001 level. However, the index is up 0.8% from November 2011. This is the first time it’s been up compared to a year earlier since April 2007.

The decrease from September to October was 1.5%. The Case-Shiller Index for Chicago is based on resales of houses in the Chicago Metro Area. It’s published with a 2 month lag.

The Chicago Case-Shiller Condominium Index for November fell 0.9% from October. The condo index is up 2.7% from November 2011. This is the first time it’s been up compared to a year earlier since September 2007. It’s back to its December 2000 levels. It fell 0.2% from September to October.

WHAT THIS MEANS FOR BUYERS

It’s not surprising to see a drop in the Chicago Case-Shiller index in the fall. The fact that both indices are up from a year ago is another sign that the market is stabilizing. That combined with significantly lower inventories suggests the market may be forming a bottom, a good time to buy! For more evidence that a bottom is forming at least in the Chicago downtown condo market, see Crain’s Chicago Business article, “Why ‘small ball’ is a good sign in condo development“.

WHAT THIS MEANS FOR SELLERS

I don’t recommend selling now unless 1. you really need to or 2. you want to move up to a more expensive home (It’s probably come down more in value in the past few years than your current home.) As always, if your home is priced right when it goes on market, it will sell in a reasonable amount of time.

ABOUT THE CHICAGO CASE-SHILLER INDICES

Keep in mind that the Chicago Case-Shiller Indices are for the entire Chicago Metro Area. Markets do vary by location, price range and housing types. For more market statistics see my other Chicago Real Estate Market articles. For more information on the indices see S&P/Case-Shiller Home Price Indices.