Real estate market glance

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Positive employment numbers combined with prevailing attractive interest rates should indicate a market with a solid, upward trajectory.  However, as we complete the first month of the second quarter, we are still experiencing a rather tepid recovery—due largely to a lack of homes for sale.

This trend, which is affecting communities throughout Chicago, is impacting cities across the country.   Would-be sellers are hard-pressed to place their homes on the market when there aren’t sufficient options for larger homes they can continue to grow into.   Across Chicagoland, the first quarter witnessed relatively modest increases in new listings and closed sales over year prior.  Median sales prices increased 12% for single families and held steady for condos, which tend to be more expensive and concentrated in communities in or closer to the city.

Our neighborhood*

Real estate is local, varying by neighborhood and market segment.  In greater Chicago, median prices of condos averaged $100,000 more than single families, whose median price was $190,000 through the first quarter.   In Lincoln Park, the median price of single families was $2,238,000 through Q1, nearly five times more than condos’ median price.  With the growing emergence of both custom and speculative new construction homes in our neighborhood, that median price has catapulted 20% over last year while the median price of condos is holding steady.   Some additional highlights:

  • New listings of single families were up 16% over Q1 2015 while condos registered a modest 1% increase.
  • Closed sales were up 3% for homes and fell more than 10% for condos.
  • Market times for single families jumped over 70% (which can largely be attributed to new construction listings that tend to track longer market times under construction) and were down 4% for condos.

Lincoln Park’s single-family market is largely a niche luxury market in and of itself.  However, the condo market does track more closely with other neighborhoods. Its performance in the coming key selling season will largely depend upon the number of new listings that enter a market desperate for them.

*Courtesy of Midwest Real Estate Data

Cadey O’Leary is a residential real estate broker with Jameson Sotheby’s International Realty in Lincoln Park.  She is a Board member of the SNA and serves on the Planning and Communications Committees.  She specializes in luxury sales and new development and works with buyers and sellers across the city’s north side.  Cadey can be reached at coleary@jamesonsir.com, 773-710-4202 or CadeyOlearyCollection.com.