This is getting very old, folks - and although many hope for an end to U.S. Housing woes, statistics indicate we might have more of a road to travel before things in the Housing Market brighten up.
Amid a continued slide in real estate sales nationwide, the Chicago Metro Area, including the City of Chicago, continue to suffer through substantial median price and units-sold declines.
Within the city, home sales declined 21.6% since October of last year, to 1,535 units sold (combined single family home and condo sales). The median price for a home or condo within the Chicago City Limits - $260,000 - down 9.1% from one year ago.
During October, 2008, sales in the Chicago Metro Area fell 17.7% over year-ago levels, to 5,397 units sold. The median price in the Chicago Area dropped 10% within the past year. The median home or condo sales price - $225,000.
Across Illinois, units sold fell 16.9% within the past year, while the median price statewide fell to $173,000 during the same period.
Nationally, sales of existing homes and condos fell 3.1% in October versus September, 2008, to a revised annual projection of 4.98 Million Units. The October, 2007 to October, 2008 drop - 1.6%.
The October National Median Home Price fell 11.3% over the past year, to $183,300, from $206,700 in October, 2007. That median price was the lowest since 2004, and the percentage drop the greatest since record keeping began in 1968, according to the National Association of Realtors In September, 2008, the median price across the U.S. was $191,400.
The promise of falling prices hamper sales, as many buyers delay their purchase expecting lower prices in the near term. Lower sales means high for-sale inventories - projected at a 10-month supply nationally - more in some Chicago Neighborhoods and Suburbs. In order for inventories to shrink, many experts believe prices must fall even further.
Despite the recent release of bailout money from the Fed, lenders are continuing to tighten their loan underwriting standards. A Third Quarter survey of Senior Loan Officers by the Federal Reserve indicates about 70% of these loan originators applied higher standards on prime loans issued in September, down slightly from the 75% who responded about tighter lending rules in September.
A weak job market hasn't helped housing either. Unemployment across the State of Illinois was 7.3% in October, higher than the 6.5% national average, and a climb from the 6.9% IL Statewide Unemployment figure in September. U.S. Non-Farm Payrolls continue to decline as well. The U.S. Economy shed 240,000 jobs in October, the tenth consecutive month that employment has declined.
See our post today at BlogChicagoHomes.com, with links to stories by Mary Ellen Podmolik's article in yesterday's Chicago Tribune, and Jeff Bater and Brenda Cronin's article, with historical charts, from today's Wall Street Journal.
DEAN & DEAN'S TEAM CHICAGO