CHICAGO—The state's residential housing market continues to accelerate and just posted its best April performance since 2007, according to new data released yesterday by the Illinois Association of REALTORS®. The trade group said that a total of 12,621 homes were sold in April, an increase of 25.3 percent over the previous April. A total of 10,992 homes were sold in March. Furthermore, the median price for homes was $145,900, up 7.7 percent from the previous April.
In addition, the data show that the inventory of homes for sale in April was 62,503 units, a 30.6 percent drop compared to last year's 90,041 units. And owners were able to sell their homes in an average of only 89 days, down 19.8 percent from the 111 days it took last April.
"The spring numbers are very encouraging, especially as we see substantial tightening of the numbers of homes on the market," said Michael D. Oldenettel, president of the association and managing broker and owner with RE/MAX Results Plus in Jacksonville, IL. "While prices are inching up slightly due to strong demand, the interest rates continue to be a powerful lure for those who want to own a home and the spring housing market looks to be a strong one."
Buyers and sellers in most regions were more active. In the nine counties that comprise the Chicago metropolitan area, for example, a total of 9,152 homes were sold, an increase of 31.2 percent over the previous April. And city of Chicago homebuyers closed on 2,331 homes, an increase of 28.4 percent.
The strong results could mean that the market has gotten past the tipping point on its long path to recovery.
“The housing market is exhibiting signs of a more stable recovery with an anticipated strong early summer led by strong sales gains and more modest but still positive gains in median prices,” said Geoffrey J.D. Hewings, director of the Regional Economics Applications Laboratory at the University of Illinois. “Average time on the market, the growth in the pending sales index and an increase in the share of total sales captured by more expensive properties point to a return to greater stability in the market.”
“Housing numbers continue to indicate a steady market recovery in Chicago,” said Zeke Morris, president of the Chicago Association of REALTORS® and operating principal and managing broker, Keller Williams Realty, CCG. “We are pleased to see condo sales, in particular, regain their strength. The biggest challenge currently is a steep decline in inventory, which may pose difficulty for buyers looking for a wide selection in certain areas.”
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Brian J. Rogal
Brian J. Rogal is a Chicago-based freelance writer with years of experience as an investigative reporter and editor, most notably at The Chicago Reporter, where he concentrated on housing issues. He also has written extensively on alternative energy and the payments card industry for national trade publications.
