The inventory of listed downtown homes for sale rose significantly in the second quarter. There were 15% more such homes for sale compared to second quarter 2013.* There were 3,151 downtown Chicago homes for sale vs. 2,741 a year earlier. The percent of distressed sales (short sales and foreclosures) on the market dropped from 8% of the inventory to 3%.
In April I wrote about how the inventory in the first quarter rose 5.8% from a year earlier. As shown below, the inventory drop over the past 3 years has been dramatic. The inventory in the second quarter was down over 26% from second quarter 2011.
The median sale price was down 0.5% to $370,000. The average sale price as a percent of original sale price for homes with no price changes was 97.4% down from 97.5%. The average sale price as a percent of original sale price for homes with 1 or more price changes was 90.0% up from 89.2%.
The number of units sold was down 8.4%. Pending sales were down 4.1%
WHAT THIS MEANS FOR DOWNTOWN CHICAGO HOME BUYERS
The market has cooled off from last year, but you still need to be ready to buy when you find a home you want. If you will be financing your purchase, get your mortgage pre-approval before you start touring homes. Contact me for recommended mortgage consultants. If you’re paying cash, get a proof of funds letter from your accountant or banker ready to go. Contact me to get started.
WHAT THIS MEANS FOR DOWNTOWN CHICAGO HOME SELLERS
If your home is priced right when it goes on market, it should sell in less than 3 months. The average days on market was down 2.6% to 75 days. With the inventory rising you definitely shouldn’t price your home above market. Most buyers finance their purchase. Your home will need to appraise for at least sale price for financing to be approved. The appraised value is primarily determined by recent comparable sales. If you’re considering selling your home, get our free home valuation.
DOWNTOWN CHICAGO HOMES FOR SALE
|$3M & Above||$2M to $3M||$1.5M to $2M||$1M to $1.5M|
|$900K to $1M||$800K to $900K||$700K to $800K||$600K to $700K|
|$500K to $600K||$400K to $500K||$300K to $400K||$200K to $300K|
*Information is based on data from Midwest Real Estate Data (MRED).