CHICAGO IL REAL ESTATE STATS PACK - November 10, 2008
Good Morning, Everyone!
As you might imagine, regional and national homebuilders that have a presence in the Chicago Metro Area are drastically scaling back their construction plans for 2009.
National Builders Ryland Homes and Pulte Homes, along with Regional Developers Montalbano Homes, Lakewood Homes, and condo and townhouse developers The Belgravia Group are selling current new-build inventory at very reduced, heavily-incentivized prices. Few new homes, city condominium projects, or suburban subdivisions are planned by these major builders for 2009.
Each is negotiating with their lenders for modified credit terms, with Lakewood Homes also turning back three Suburban Chicago Projects back to their bank, with a "Deed in Lieu," to prevent foreclosure.
Read more via our post today at BlogChicagoHomes.com.
Here's our updated Chicago IL Real Estate Stats Pack for Monday Morning, November 10th.
Communities and clients we serve, reside, or plan to reside, include 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 November 10th 4,753 30 52 71
w/e November 3rd 4,788 31 79 132
% CHANGE -0.7% -3.2% -34.2% -46.2%
CLOSED PROPERTIES DATA
AVG SALE PRICE AVG DAYS ON MKT TOTAL VOLUME
w/e November 10th $301,970 149 DAYS $15,702,440
w/e November 3rd $332,918 140 DAYS $23,970,096
% CHANGE -9.3% +6.4% -34.5%
THEORETICAL TIME TO CLEAR EXISTING INVENTORY (ABSORPTION RATE) -
w/e November 10th - LAST 12 MOS - 15.44 LAST 6 MOS - 14.01 LAST 3 MOS - 15.47
w/e November 3rd - LAST 12 MOS - 15.53 LAST 6 MOS - 14.07 LAST 3 MOS - 15.45
PERCENT OF HOMES SELLING IN 180 DAYS -
w/e November 10th - 39.37% (UNSOLD - 60.63%)
w/e November 3rd - 38.51% (UNSOLD - 61.49%)
SOURCE: MIDWEST REAL ESTATE DATA LLC, AREA MARKET SURVEY DATA
OBSERVATIONS
An historic election is over - and the Financial Markets responded with a swoon last week on unfavorable unemployment numbers. Alas, election of a new U.S. President, in and of itself, was not enough to turn the economy, and the housing market, around overnight. We'll all have to work on this problem in the coming year, folks!
Active Listing Inventory stabilized this week, after last week's dip. Many are still selling their homes, although some have put their listings on winter hiatus. Average Sales Price fell noticeably, and Sales Volume followed downward, as mid-month Units Sold, as well as Listings Expired, trended to their usual mid-month decline.
Average Market Time gave back much of last week's improvement, but is still looking better versus mid-summer. Pending Sales gave back last week's improvement, but numbers were small here, so those homes going under contract have been small in number, trending downward in the North and Northwest Side of Chicago Neighborhoods we serve most frequently over the last few months.
Absorption Rate, or theoretical time to clear existing listing inventory, was thankfully stable this week - now 15.47 months. Again, homes-for-sale inventory remains high in most Neighborhoods in Chicago. The Percentage of Sale Within Six Month (180 Days) showed additional improvement this week, continuing a recent trend, and suggesting listings correctly priced do indeed sell within a normal, six-month marketing time frame.
Here are archived annual Chicago Neighborhood Statistics, including Units Sold and Price Trends Data, for 1992 through 2007, courtesy of The Chicago Association of Realtors.
RATE & MARKET WATCH
For the sixth consecutive week, the Bankrate.com survey of mortgage rates see-sawed sharply in the opposite direction of the previous week.
Average 30-Year Fixed Mortgage Rates fell by 0.33%, to 6.44%, for the week ending November 5th. One year ago, the Average 30-Year Fixed Rate was 6.34%.
Brian Koss, Managing Partner with Mortgage Network, of Westford MA, traces the rate drop to mortgage servicers are buying loans, thus driving up prices.
Servicers, he contends, buy mortgages because they are steadily running out of loans to manage, in a process called runoff.
Mortgages are being paid off when houses either are sold voluntarily, or taken as a result of foreclosure. To stay in business, servicers don't really have the option of allowing all their loans to run off. Koss's theory - the servicers are buying more loans loans, which indirectly pushes rates down.
See Holden Lewis' post via Bankrate.com for more detailed analysis and rate comparisons versus last week.
For daily news, hot information, and trends, view our Real Estate Update newsletter, via our Web Center - dean-team.com.
Call us anytime for specific trends on any Chicago Neighborhood or Suburb!
DEAN MOSS & DEAN'S TEAM CHICAGO
