Home Sales in Metro Chicago Real Estate Market Continue to Increase as Days on the Market Drop During July, RE/MAX Reports
Home sales in the seven-county metropolitan Chicago real estate market continued to show improvement in two important respects, according to an analysis by RE/MAX. Sales of detached and attached homes increased an impressive 29 percent in July, compared to the same month in 2011, with a total of 8,490 homes changing hands.
At the same time, the average number of days that homes sold in July spent on the market before a sales contract was signed fell to 141 days from 166 days a year ago. That 141 day average is the lowest recorded for the metro market during any month since December 2007.
The median sales price of a home sold in the metro-Chicago market during July fell 6 percent to $173,125 from $184,000 in July of last year. The RE/MAX analysis is based on transaction information from Midwest Real Estate Data, LLC.
“One factor that may have put some downward pressure on the median sales price in July was an increase in the percentage of total sales represented by distressed properties (foreclosed homes and short sales). Distressed homes accounted for 36.1 percent of all July home sales in the seven-county area, up from 33.5 percent in June,” said Laura Ortoleva, a spokesperson for the RE/MAX Northern Illinois real estate network.
A positive factor for home values has been a steady decline in homes for sale. The active inventory in the seven-county metro area plus Grundy and DeKalb counties was 21 percent less in July than it had been just 12 months earlier.
Combined sales of detached and attached homes rose in each of the seven metro counties in July, topped by a 35 percent increase in Will County. Sales were up 30 percent in Cook County, 27 percent in DuPage County, 12 percent in Kane County, 18 percent in Kendall County, 32 percent in Lake County and 30 percent in McHenry County. In the City of Chicago, home sales were up 25 percent.
The median sales price increased in DuPage County, climbing to $220,000 from $217,750 a year earlier. All six of the other counties saw a decrease in the median price.
The average market time for homes sold in July was shorter in all seven counties and in Chicago. The sharpest reduction, from 182 days to 119 days, occurred in Kendall County.
Sales of detached homes totaled 5,477 units in July in the seven-county area, an increase of 27 percent from the July 2011 figure. Average market time for those properties fell to 136 days from 157 days last year.
Sales activity increased in all seven counties and in Chicago when compared to July of last year. Only Kane and Kendall counties recorded gains of less than 26 percent, with Kane sales up 9 percent and Kendall sales rising 17 percent. The gains in the other counties were: Cook up 30 percent, DuPage up 22 percent, Lake up 28 percent, McHenry up 29 percent and Will up 33 percent. Sales in Chicago climbed 26 percent.
The median sales price for detached homes in July was $195,000, down 4 percent from 12 months earlier and 6 percent lower than in June of this year. From July 2011 to July 2012, the median increased in only two areas, Kendall County where it gained 2 percent, and Chicago where it rose less than 1 percent. The median sales price for detached homes fell 4 percent in Cook County, 3 percent in DuPage County, 6 percent in Kane County, 7 percent in Lake County, 6 percent in McHenry County and 5.5 percent in Will County.
Sales of attached units in July were 32 percent higher in the metro area than in the same month last year, totaling 3,013 units, and the average market time dropped to 149 days, a 35-day decline and the lowest figure recorded so far this year. However, July sales still trailed those of June by 8 percent.
All seven counties in the metro area along with the City of Chicago recorded increases in attached sales during July when measured against year-earlier results. The top gains came in Lake County (47.5 percent) and Will County (45.5 percent). The other increases, arranged in order of magnitude, were: DuPage County, 37 percent; McHenry County, 35 percent; Cook County, 30 percent; Chicago 24.5 percent; Kane County, 26 percent and Kendall County, 19 percent. Cook County alone accounted for 2,110 attached sales, more than two-thirds of the metro total, with 1,286 of those in Chicago.
For the entire metro area, the median price of an attached home was $133,000 in July, compared to $150,000 a year earlier and $143,000 in June. The median sales price of an attached unit increased only in Kendall County, gaining 3 percent to $98,000. In Cook County, the median price was $160,000 compared to $177,000 in July of last year. In Chicago, which accounted for 42 percent of all attached sales, the median price was $243,500, a decline of 2.6 percent from July 2011.
As for the five other counties, the July median price for attached homes fell 7 percent in DuPage to $115,750, 6 percent in Kane to $108,100, 8 percent in Lake to $115,000, 10 percent in McHenry to $97,500 and 11 percent in Will to $110,000.