Real Estate Market Update - Northwest Suburbs - May 2012
You might find this report interesting if:
1) You are thinking of selling your home in the Northwest Suburbs and want to see what's really up with our market.
2) You don't know what to believe because there are conflicting reports constantly in the media.
3) You're a future buyer that's looking to get a feel for purchasing a larger home in the area but you're not sure what to expect.
So let's start with those nagging questions you might have. What is going on with our real estate market?
I'd like to report that May sales have been up in our area in both housing types. The best indication that the market is improving is the number of homes that go under contract each month. Currently we are between 12 to 25%. This is terrific!
According to the national media, housing sales have been down across the country. Ok, so that's a story that's been busted.
Our local inventory level (absorption rate) has continued to decrease with the level being as low as it can almost go between 2.5 to 6 months. This would have been considered a sellers market 'in the good ole' days' of years past. Inventory level has decreased for the last 5 months in a row. This indicates that there are more buyers in the market than housing inventory but is that really the case?
If our market was slowing down we would have an increase in inventory obviously. Ok, so that's another story that's been busted.
I have been including the highest sales prices in each category for every month so we can watch for the 2nd tier home sales increase. The market will always recover from the 'bottom up' with the lower sales prices showing the largest number of sales until the 2nd tier breaks free. This will be an indication that the 'move up' buyers will been able to take advantage of today's prices and the low interest rates. This will be the next trend in our recovery. May's sales have indicated that there is some life in the upper end at least for single family homes.
| Single Family Homes |
May 2012 Total +/- over March |
2012 YTD Total |
% YOY Change | Avg. Sales Price 2012 |
Avg. Days on Market |
Highest Sales Price |
| Bartlett | 32 Up |
100 | +2% | $241,495 | 159 | $501,000 |
| Elk Grove Village | 14 Down |
62 | +24% | $233,651 | 87 | $520,000 |
| Hanover Park | 18 Down |
80 | +29% | $130,655 | 82 | $475,000 |
| Hoffman Estates | 32 Up |
117 | +33% | $236,346 | 165 | $417,000 |
| Schaumburg | 47 Up |
146 | +78% | $254,668 | 157 | $538,000 |
| Streamwood | 23 Down |
121 | +4% | $128,864 | 98 | $390,000 |
| Multi-Family Homes |
May 2012 Total +/- over March |
2012 YTD Total | % YOY Change | Avg. Sales Price 2012 |
Avg. Days on Market |
Highest Sales Price |
| Bartlett | 14 Even |
50 | +22% | $111,969 | 141 | $179,500 |
| Elk Grove Village | 17 Up |
58 | +3% | $88,749 | 138 | $145,000 |
| Hanover Park | 19 Up |
69 | 7% | $75,546 | 96 | $171,000 |
| Hoffman Estates | 22 Up |
83 | +15% | $84,812 | 106 | $244,000 |
| Schaumburg | 57 Up |
221 | +53% | $109,816 | 168 | $372,565 |
| Streamwood | 21 Up |
81 | +55% | $104,740 | 288 | $215,990 |
Average Days on the Market needs no explanation and we are still elevated but are slowly decreasing with each consecutive month. If the national media was correct regarding their current predictions these market times would be increasing. Another segment showing they are wrong!
I am optimistic that we are recovering now for over a solid year. Month over month we have seen an increase in closings. One of the reasons I show the 'month over month' totals is to show you we truly are having sales increases - it's not just sales hype!
The number of 'pendings' (mentioned above at 12 to 25% of currently listed homes) has also stayed at an increased pace but you can't guarantee on all of these making it to closing.
Looking for an agent that's really a market expert? Let's get your Northwest Suburban home on the market and priced right to sell! I can zero in to your specific area and give you the current market details so you can make an informed decision.
If your home is currently listed is your agent showing you any of this information?
Looking for a home in the area? Please give me a call or email me (on the upper right) to talk about the possibilities.
Sources: MRED May Stats 2012
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