Statewide Median Price Up 0.2 Percent to $145,300
SPRINGFIELD, IL – March 1, 2010 – (RealEstateRama) — Buyer market conditions remain in most Illinois housing markets as January marked the fifth consecutive month of year-over-year home sales increases while the statewide median price logged its first uptick since September 2007. According to the Illinois Association of REALTORS® latest report, statewide total home sales (which include single-family and condominiums) in January 2010 were up 14.0 percent, totaling 5,483 homes sold compared to January 2009 sales of 4,809 homes. The median price in January 2010 was $145,300, up 0.2 percent from $145,000 in January 2009. The median is a typical market price where half the homes sold for more, half sold for less.
“We are seeing an accelerated spring market despite the snow and cold in Illinois with the homebuyer tax credit the driving factor for rising home sales,” said REALTOR® Mike Onorato, GRI, president of the Illinois Association of REALTORS® and broker-owner of Onorato Real Estate in Coal City. “Current conditions remain favorable for buyers with interest rates still hovering near 5 percent and just over two months remaining to take advantage of the homebuyer tax credits before the April 30 deadline to have a purchase contract in place for first-time buyers and current homeowners who want to buy their next home.”
In the Chicagoland Primary Metropolitan Statistical Area (PMSA), year-over-year home sales were positive for the seventh consecutive month, up 29.2 percent to 3,922 homes sold (single-family and condominiums) in January 2010 compared to 3,035 homes sold in January 2009. The median home sale price for the Chicagoland PMSA was $175,000 in January 2010, down 5.4 percent from $185,000 in January 2009.
The monthly average commitment rate for a 30-year, fixed-rate mortgage for the North Central region was 5.06 percent in January 2010, up from 5.04 percent during the previous month, according to the Federal Home Loan Mortgage Corporation. Last year in January it averaged 5.05 percent.
“Foreclosed properties continue to exert downward pressure on median prices in Chicago but much less so in Illinois,” said Dr. Geoffrey J.D. Hewings, director of the Regional Economics Applications Laboratory (REAL) of the University of Illinois. “There is evidence that median price increases will moderate in the state over the next three months (February, March and April), remaining about the same as those a year earlier; for Chicago, the median prices will be about six percent below comparable prices. The forecast indicates sales for February through April increasing in Illinois in the 1 to 14 percent range and in Chicago in the 18 to 50 percent range on an annual basis.”
Adds Hewings: “Job growth continues to lag, dampening chances for significant stimulus from consumers over the next several quarters.”
In the city of Chicago, January total home sales (single-family and condominiums) were up 31.1 percent to 1,202 sales compared to 917 homes sold in January 2009. The city of Chicago median price in January 2010 was $195,000 down 4.9 percent compared to $205,000 a year ago in January 2009.
“2010 has started off with an increase in the number of units sold in January over the same period in 2009. We remain hopeful that while distressed properties are being absorbed, homebuyers on the fence will take advantage of the extended and expanded homebuyer tax credit, and consider this a great time to buy a home,” said REALTOR® Genie Birch, president of the Chicago Association of REALTORS® and a broker associate with Koenig & Strey GMAC, Chicago. “While the greatest hurdle is still securing financing, the current market has tremendous opportunities for homebuyers and investors looking to expand their portfolios.”
According to the IAR report, total home sales (single-family and condominiums) comparing January 2010 to the same month in 2009 were up in 34 of 99 Illinois counties reporting including Cook, up 35.8 percent; DuPage, up 25.3 percent; Jo Daviess, up 44.4 percent; LaSalle, up 15.6 percent; Lake, up 18.4 percent; McHenry, up 28.8 percent; Sangamon, up 5.8 percent; and Will, up 5.4 percent.
Sales and price information is generated from a survey of Multiple Listing Service sales reported by 37 participating Illinois REALTOR® local boards and associations. The Chicago PMSA, as defined by the U.S. Census Bureau, includes the counties of Cook, DeKalb, DuPage, Grundy, Kane, Kendall, Lake, McHenry and Will.
The Illinois Association of REALTORS® is a voluntary trade association whose 50,000 members are engaged in all facets of the real estate industry. In addition to serving the professional needs of its members, the Illinois Association of REALTORS® works to protect the rights of private property owners in the state by recommending and promoting legislation that safeguards and advances the interest of real property ownership.
Find Illinois market stats data at www.illinoisrealtor.org, click on Market Stats