MARKET SNAPSHOT – CITY OF CHICAGO
*The City of Chicago Market Snapshot represents the residential real estate activity within the 77 officially defined Chicago community areas as provided by the Chicago Association of REALTORS®.
- In November 2017, 2,346 homes sold in the City of Chicago. This is a 3.3 percent decrease from November 2016.
- The median sales price in the City of Chicago for November 2017 was $258,000, a 1.2 percent increase from this time last year.
- The City of Chicago saw listings average 81 days on the market until contract, the same as November 2016.
STATE OF THE MARKET
- The facts of residential real estate have remained consistent in 2017. In year-over year comparisons, the number of homes for sale has been fewer in most locales, and homes have been selling in fewer days for higher prices. This hasn’t always been true, but it has been a common enough storyline to make it an overarching trend for the year.
- New tax legislation could have ramifications on housing. The White House believes that the tax reform bill will have a small impact on home prices, lowering them by less than 4 percent, and could conceivably boost homeownership. The National Association of REALTORS® has stated that eliminating the mortgage interest deduction could hurt housing, as the doubled standard deduction would reduce the desire to take out a mortgage and itemize the interest associated with it, thus reducing demand. This is a developing story.
- “Today’s numbers are reflective of both the seasonality of the market and the lack of clarity on the potential impact of tax reform,” Rebecca Thomson, president of the Chicago Association of REALTORS® and Vice President of Agent Development at @properties, said. “Sales prices seemingly stabilized in November, despite slight declines in inventory and market time, which reflects that pricing and demand are starting to level out, a trend that will likely continue into the new year.”
- City of Chicago inventory is down 9.8 percent, from 14,554 homes in November 2016, to 13,126 homes in November 2017.
- In the City of Chicago, the month’s supply of inventory is down 11.8 percent, from 5.1 months in November 2016 to 4.5 in November 2017.