CHICAGO—Illinois home sales in August took a big jump and experts say a healthy summer of selling should continue into the fall. According to statistics just published by the Illinois Association of REALTORS®, a total of 15,814 homes were sold in August, an increase of 17.3 percent over August 2012. Furthermore, the median price for homes was $167,000, up 13.6 percent from the previous August. The trade group says that this marks one year of continuous annual sales and price gains.
In addition, the data show that owners were able to sell their homes in an average of only 59 days, down 28.9 percent from the 83 days it took last August.
“The spring and summer selling season was quite strong, and the data suggest continued momentum into the fall,” says Michael D. Oldenettel, president of the state association and managing broker and owner of RE/MAX Results Plus in Jacksonville. “A 13.6 percent median price gain in August for home prices in the state is an indicator of unflagging demand for homeownership.”
The buying and selling picked up across the state. In the nine counties that comprise the Chicago metropolitan area, for example, a total of 11,771 homes were sold, an increase of 24.3 percent over the previous August. And city of Chicago homebuyers closed on 2,797 homes, up from 2,293 in August 2012, a 22 percent increase. And the median price of a metropolitan area home in August 2013 was $197,500, up 16.2 percent from $170,000 in August 2012.
“Price and sales recovery continues and the forecast for the last quarter suggest that the momentum will be maintained,” notes Geoffrey J.D. Hewings, director of the Regional Economics Applications Laboratory of the University of Illinois. “The price mix of homes sold is moving back to pre-recession levels as price increases move more homes into higher categories and as home buyers begin to seek more expensive properties. The sluggish economic recovery and increasing mortgage interest rates have not yet dampened housing demand.”
Chicago condo sales also continue to help drive the market. A total of 1,775 were sold in August, up 23.1 percent from the previous year, and the median home price has risen by 17.6 percent, to $282,250.
“As inventory is absorbed in some of the more popular areas of Chicago, our hope is that it spawns interest in neighborhoods that have not experienced the same growth, but offer viable, affordable housing options key to the economic renewal of our city.” says REALTOR® Zeke Morris, president of the Chicago Association of REALTORS® and operating principal and managing broker for Keller Williams Realty.
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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.
