Northwest Suburban Housing Report - April 2011
Lyn Sims an extraordinary real estate agent (known as Dr. Real Estate) is currently standing in the emergency room of the hospital that is now resuscitating the Northwest Suburban housing market. Nurses and doctors are standing ready to work feverishly while lightly blotting away the sweat on their brows - what will be the outcome?
Dr. Real Estate clears her throat ready to speak to the encircling media (sharks that they are). The paddles are powered up, the EKG machine is plugged in and ready. All surgical tools are neatly in place and at the ready (soap opera music is now cued up and playing in the background). Lyn steps forward (I mean Dr. Real Estate) and removes her mask slowly. Wiping a fevered brow, she begins her report for the last quarter to the media .........
All the required tests have been completed, percentages have been compiled. This is what the market is showing us ......
What is still selling seems to be on the low end of every price range which will further pull down the average or median sales prices in our area. On updating this graph over the year end 2010 summary, all the average sales prices were adjusted downward except for Hoffman Estates and Streamwood.
Monthly Northwest Suburban sales figures have been relatively low through the 4th quarter winter months and haven't warmed up much for the 1st quarter! (I decided for this report to use the most recent quarter sales totals to see if the market was on the upswing or decline. We can't see a viable trend if we use last years 2010 numbers comparing them to 2011). I'm not happy at the results I've discovered! I am recommending another 3 months in ICU.
But even with great interest rates, the sales are barely limping along prolonging the current real estate deficiency anemia. Every single sale the buyers have to fight through with added scrutiny, abuse and paperwork. They are tired, covered in splints and usually have to finish out the transaction in a wheel chair. There poor heads are covered in bandages from the banks beating them up.
Interest rates have been holding steady but tight credit standards and what I call 'lender abuse' is still a problem with our recovery. Everything on a borrower (including blood typing) is double and triple checked to the point of lunacy. Lenders are trying to securitize first born children and all future assets (birthday and communion money). Short sales and foreclosures are still an active part of our market. Regular sellers that must sell are forced to lower their prices to compete. Foreclosure sales are a large part of our market every month.
Further analysis of Northwest Suburban EKG show that sales totals are neutral for Multi-family and down for Single Family. This has caused the nurses to pass out massive quantities of Tylenol followed by shots of Mylanta. Jello shots have been made available for those not currently on heavy medications. The celebration that had been anticipated will have to be postponed again.
|Single Family Homes||2010
4th Quarter Total
1st Quarter Total
|% Change||Avg. Sales Price|
|Elk Grove Village||31||24||-29%||$226,740|
|2010 4th Quarter Total||2011 1st Quarter Total||% Change||Avg. Sales Price|
|Elk Grove Village||23||23||0%||$103,722|
Even though sales for these last 2 quarters have been limping along on crutches our Northwest Suburban area is definitely faring better than other areas around the country. I feel that recovery will be longer than anticipated with long and arduous physical therapy required.
There is a muffled chattering, cell phones buzzing among the media in the hospital waiting area. TMZ is the first out the door! Stay tuned for Dr. Real Estate's (I mean Lyn's) next report ...........
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!
Sources: MRED March Stats 2011