Special offer

Regional Economics Applications Laboratory

By
Real Estate Broker/Owner with Northern Illinois Real Estate

REAL has created a couple of great presentation about the current Illinois economy and forecasts through 2010.

 

The first can be heard at http://www.illinoisrealtor.org/files/hewings_11-2008.mp3 were Dr. Hewings talks about Nov 08, Dec 08, Jan 09.  I like to look at this first to see how correct he was.

  • Forecasts for the next three months (November and December, 2008 and January, 2009) suggest continuing declines in home sales compared to the same months last year ranging from 16-33 percent in Illinois and Chicago; month to month sales declines will be of the same order of magnitude ranging from 12-32 percent but with an upward trend in the declines over the three months.

Almost true, expect Illinois saw a month-over-month gain from Nov to Dec, but then a large drop from Dec to Jan.  Year over year figures were correct. 

 

  • Price declines in Chicago for the same three months will average 10 percent in November and December, dropping back slightly to 8 percent in January (comparing each month with the same month in 2007 or January 2008); the declines will average around 8.5 percent in Illinois over the same period.

The median price increased in Dec, but the fell more than forcast in Jan.

  • The uncertainty about the disposition of the $700 billion bailout continues to generate downward pressure on the stock market and places recovery of the housing market to a more distant time in late 2009 or 2010.

Downward pressure on the stock market, yeah, like an hydraulic olive press... We'll see about the housing recovery, no signs yet.

 

 

Comments (0)