CHICAGO, IL—Economists have recently seen a few worrisome signs in the state's economy, but so far, those factors do not seem to have affected the housing market. Home sales in the metropolitan Chicago area proceeded at a fast pace in May despite a continuing decline in inventory levels, according to a report from RE/MAX. Sales transactions rose 6.2% year-over-year to 12,337 units, and the median sales price climbed 6%.

At the same time, the number of homes on the market at the end of May was down 16% from the year-earlier total and represented just a 2.6-month supply based on the May sales pace. The depressed inventory has encouraged buyers to snap up homes quickly. The average time it took a seller in the region to find a buyer fell to 77 days from 87 days in May of last year.

“Demand for homes remains strong across much of the metro area,” says Jack Kreider, executive vice president and regional director of RE/MAX Northern Illinois. “Eventually, the decline in inventory levels should start to restrain sales activity, but that hasn't happened yet. Right now, it can be a challenging environment for buyers, but it's an excellent one for sellers. If you put your home on the market today at a realistic price, you can expect it to find a buyer pretty promptly.”