CHICAGO IL REAL ESTATE STATS PACK - June 2, 2008
Good Morning!
One of the saddest statistics in today's weaker Real Estate Market, here in Chicago and elsewhere, is the spike in the number of property foreclosures. The process of Short Sale, where the distressed homeowner sells his home, with bank approval, for less, after expenses, than what is owed to the lender, is a fast-growing alternative for many.
It's not a simple or quick process, however, and is not an option for every seller, nor will it provide a deep-discount new home for most short-sale buyers.
Read our post today at BlogChicagoHomes.com for more details.
Here's our updated Chicago IL Real Estate Stats Pack for Monday Morning, June 2nd.
Communities and clients we serve reside, or plan to reside, in the Chicago Neighborhoods of The Chicago Loop, The Gold Coast, River North, Lincoln Park, Lakeview, Uptown, Edgewater, North Center, Lincoln Square, Albany Park, Ravenswood, Wicker Park, and Bucktown.
Also, these Great Chicago Neighborhoods: Logan Square, Rogers Park , West Ridge, Portage Park, Jefferson Park, Norwood Park, Sauganash, Edgebrook, and Edison Park. Plus All Chicago Suburbs.
SINGLE FAMILY, CONDOS, AND SMALL MULTI-UNIT PROPERTIES - NORTH SIDE OF CHICAGO, NORTH OF ADDISON STREET, WEST OF ASHLAND AVENUE
ACTV LISTINGS JUST SOLD CLOSED EXPIRED
w/e June 2nd 5,186 57 93 88
w/e May 25th 5,193 64 81 46
% CHANGE -0.1% -10.9% +14.8% +91.3%
CLOSED PROPERTIES DATA
AVG SALE PRICE AVG DAYS ON MKT TOTAL VOLUME
w/e June 2nd $300,977 128 DAYS $27,990,919
w/e May 25th $375,939 161 DAYS $30,451,110
% CHANGE -19.9% -20.5% -8.1%
THEORETICAL TIME TO CLEAR EXISTING INVENTORY (ABSORPTION RATE) -
w/e June 2nd - LAST 12 MOS - 18.09 LAST 6 MOS - 24.17 LAST 3 MOS - 27.52
w/e May 25th - LAST 12 MOS - 18.06 LAST 6 MOS - 24.97 LAST 3 MOS - 28.56
PERCENT OF HOMES SELLING IN 180 DAYS -
w/e June 2nd - 21.93% (UNSOLD - 78.07%)
w/e May 25th - 21.43% (UNSOLD - 78.57%)
SOURCE: MIDWEST REAL ESTATE DATA LLC, AREA MARKET SURVEY DATA
OBSERVATIONS
Several things about this weeks' numbers concern us!
Listing Inventory, over the past few weeks, has remained high. At the same time, Properties Pending Sale is still, over many weeks, low. The Average Sales Price for Single Family, Condos, and Small Investment Apartment Buildings - two-four units - has been on a downward trend since the beginning of the year, while Average Market Time remains high as well, although it fell nearly 11 percent versus last week.
The number of Sold Properties and Expired Property Listings increased with the end of the month of May - we're concerned that the jump in Expired Listings may be the result of too-highly-priced properties for sale just dropping off the market. Indeed, in my own daily spot check, most Expired Listings have been priced exceedingly high, without significant price adjustments, for many weeks, perhaps even months.
The drop in Average Sales Price this past week counters last week's rise, but the 2008 trend continues downward. As a result of the significant weekly dip in the Average Sales Price, Total Sales Volume was off over 8 percent this week.
The weather is now consistently warm in Chicago, yet it doesn't seem to be driving stronger sales across the broader Real Estate Market on the North and Northwest Sides of Chicago.
A bit of positive news, however! Absorption Rate, or average inventory turnover, fell nearly 4 percent this week - but is still high in selected Chicago Neighborhoods we serve. The rate currently stands just over 27.5 months, down a full theoretical month from readings last week.
Percentage of Sale Within Six Month (180 Days) improved slightly this week - the Average Market Time figures relate the direct impact.
RATE AND MARKET CHECK
Average 30-Year Fixed Mortgage Rates rebounded up 0.10% this past week, on concerns about inflation. Average rates averaged 6.08% for the week ending May 29th, versus 5.98% for the week ending May 22nd. One year ago, average 30-Year Fixed Mortgage Interest Rates were 6.42%.
"Mortgage rates drifted up this week over market concerns that the Federal Reserve Board may raise short-term rates later this year," said Frank Nothaft, Freddie Mac Vice President and Chief Economist. "A recent working paper published by the Federal Reserve Bank of Minneapolis suggested that the recent rate cuts run a risk of unhinging long-term market expectations for inflation. Indeed, market inflation expectations increased over the last few weeks."
"While existing house prices continue to decline, new home sales unexpectedly rose in April and the number of month’s supply of new homes for sale fell from 11.1 months in March to 10.6 months in April. The median sales price for new homes rose 1.5 percent in April from the same month in 2007, representing the first yearly increase since November, 2007."
For daily news, hot information, and trends, view our Real Estate Update newsletter, via our Web Center - dean-team.com.
Call anytime for detailed market trends data for any Chicago Neighborhood or Suburb.
DEAN MOSS & DEAN'S TEAM CHICAGO
