CHICAGO HOME SALES SHOW WELCOME INCREASE IN DECEMBER - But Still Down Year Over Year!
IN DECEMBER, 2008, HOME SALES UP 14.9% IN CITY OF CHICAGO, 8.2% IN CHICAGO METRO AREA!
During a cold winter, good news is always welcome!
For the Chicago Real Estate Market, December sales actually increased versus November - nearly 15% in the city, and over 8% around the Chicago Area. Across the State of IL, home sales increased as well last month, by 7.38%. (Data from the National Association of Realtors, and the Illinois Association of Realtors, as reported by Alan Zibel in yesterday's Chicago Tribune).
Versus December, 2007, however, the numbers told a different story. Home sales in the Chicago Area fell 15.9% for the year ending December of last year. Sales fell in spite of significant price reductions - the median price of homes and condos in the area fell by 17.3% during the year, to $204,900, according to IAR Data quoted in Zibel's story.
In the City of Chicago, home and condo prices fell 5.5% in median price, to $240,000 - along with a substantial 25.9% drop in units sold.
Across the U.S., sales of existing single family homes and condos rose by 6.5% in December, although sales were down nationally 3.5% from December 2007. The median sales price across the country was $174,700 in December, 14.8% lower than the prior year, according to NAR. That was the lowest recorded median price since mid-2003.
Homes in depressed markets in Florida, Nevada, and California were often selling in multiple offers. Buyers there have been taking advantage of significant price reductions brought on by the exceedingly high rate of foreclosures in these markets.
In another encouraging sign nationally, homes-for-sale inventory fell by roughly 12% in December. According to calculations, it would take 9.3 months to theoretically sell off the current 3.7 Million Unit inventory of homes on the market across the U.S. That's down from 11.2 months of inventory calculated in November.
Here in the City of Chicago, however, for-sale inventory is still high, approaching 22 months of inventory in some of the North and Northwest Side of Chicago Neighborhoods we frequently serve. See our latest Chicago IL Real Estate Stats Pack post for more info.
DEAN MOSS & DEAN'S TEAM CHICAGO
