Real Estate Market Update - Northwest Suburbs - March 2012
Interest rates are low and housing affordability has been the best in decades and yes, the market is 
getting better! How much, where and all the particulars is what I'll be telling you!
The graphs below show that sales have been up for most towns in our area in both housing styles. Just within my office our showing appointments have increased a whopping 60%.
Another good indication that the market is improving is the number of homes that go under contract each month. Currently we are between 10 to 25%. This is terrific!
The inventory level (absorption rate) has decreased and it seems we have 'catapulted' into the busier spring months. The current inventory level has been low between 3 to 5 months. This would have been considered a sellers market 'in the good ole' days' of years past. Inventory level has decreased for the last 3 months in a row. This indicates that there are more buyers in the market than housing inventory but is that really the case? I have only experienced multiple bids on lower end foreclosures during this time.
I have been including the highest sales prices in each category for the 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 have finally been able to take advantage of today's prices and the low interest rates. This will be the next trend in the recovery. So far, not much activity in that upper end.
| Single Family Homes | March 2012 Total +/- over February | 2012 YTD Total |
% YOY Change | Avg. Sales Price 2012 | Avg. Days on Market |
Highest Sales Price |
| Bartlett | 20 UP |
48 | +17% | $237,611 | 145 | $370,000 |
| Elk Grove Village | 17 UP |
33 | +37% | $206,621 | 103 | $300,000 |
| Hanover Park | 14 Down |
41 | +28% | $129,813 | 155 | $197,500 |
| Hoffman Estates | 29 UP |
65 | +47% | $234,284 | 186 | $395,000 |
| Schaumburg | 31 UP |
67 | +50% | $231,165 | 129 | $368,000 |
| Streamwood | 30 UP |
68 | -7% | $138,168 | 105 | $380,000 |
| Multi-Family Homes |
March 2012 YTD Total +/- over February |
2012 YTD Total | % YOY Change | Avg. Sales Price 2012 |
Avg. Days on Market |
Highest Sales Price |
| Bartlett | 9 UP |
22 | +15% | $97,845 | 207 | $158,000 |
| Elk Grove Village | 9 UP |
24 | +4% | $80,687 | 143 | $175,000 |
| Hanover Park | 11 Down |
35 | +9% | $67,619 | 72 | $162,500 |
| Hoffman Estates | 19 UP |
43 | +16% | $84,651 | 90 | $255,000 |
| Schaumburg | 38 Even |
114 | +60% | $104,146 | 124 | $253,000 |
| Streamwood | 12 Down |
40 | +33% | $112,280 | 84 | $187,990 |
Average Days on the Market needs no explanation and you can clearly see the extended times are still agonizing for sellers. Again, none of our market areas are lower than 3 months. What I have noticed this month is that market times have decreased an average of 25%.
I am still optimistic that we are recovering here now for 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 10 to 25% of currently listed homes) has also increased but you can't count on all of these making it to a successful close!
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!
Is your current agent showing you any of this information?
Do you feel your current agent is 'flying by the seat' of his pants when answering these questions?
Looking for a home in the area? Please give me a call or email me on the right to talk about the possibilities.
Sources: MRED March Stats 2012
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