It’s over. You can all breathe a sigh of relief now.
Spring is pretty much always the busiest time of year for real estate in Chicago, but 2017 took things to a whole other level. Buyers this spring faced ridiculously fast market times for new listings and rapidly rising sale prices – mainly because there simply weren’t enough homes out there for all the hungry homebuyers that wanted them.
Last month, we saw some subtle signs suggesting that the craziness was on its way out. And now that the numbers are in for July’s home sales, we’ve got more data to prove it.
One of the driving forces of the madness was the sheer speed at which homes were flying off the shelf. Homes that closed in May and June were on the market for 10 days, on average, before going under contract. That was the fastest median market time recorded in our area in the last decade. In July, we finally saw median market times go back on up.
Now, we’re not saying 13 days on the market is a long time, by any means… but hey, it’s a step in the right direction for hopeful home buyers. And it’s the same median market time we saw in July last year.
Chicago home prices have been steadily on the rise, especially as buyers waded through bidding war after bidding war this spring. July’s median sale price increased compared to last year, but by a more modest amount compared to recent months. A 1.6% price increase over the prior year is healthy for the market, not an increase that we’re raising our eyebrows at.
So things are slowing down a bit. But here’s the disclaimer. Right now, we can’t say for sure whether the slowdown is because of the seasonal shifts in the market that we expect each year, or because the market is actually slowing down. We’ll just have to see how the next couple months shake out, so tune in next time.
Hey, did you know we also have market data for each Chicago neighborhood? The market in Lakeview is different from the market in Logan Square, which is different from the market in West Loop. So check out what’s going on in your neighborhood here.