SPRINGFIELD, IL – December 21, 2011 – (RealEstateRama) — According to the Illinois Association of REALTORS® (IAR) latest report, statewide home sales (including single family and condominiums) in November 2011 totaled 7,954 homes sold, up 14.2 percent from 6,966 home sales in November 2010. The statewide median price in November was $128,500, down 11.4 percent from $145,000 in November 2010. The median is a typical market price where half the homes sold for more, half sold for less.
“Signs are emerging that a recovery in the housing market is underway including the steady uptick in home sales activity, which is expected to continue into the new year,” said REALTOR® Loretta Alonzo, CRB, GRI, president of the Illinois Association of REALTORS® and broker-owner of Century 21 Alonzo & Associates in La Grange Park. “As we move through the distressed properties, predominant in the Chicagoland market, and begin to see more positive reports on the jobs front we will be looking for some stabilization in home prices to coincide with the rising home sales.”
The monthly average commitment rate for a 30-year, fixed-rate mortgage for the North Central region was 4.0 percent in November 2011, down from 4.07 percent during the previous month, according to the Federal Home Loan Mortgage Corporation. Last year in November it averaged 4.30 percent.
In the nine-county Chicago Primary Metropolitan Statistical Area (PMSA), home sales (single family and condominiums) in November 2011 totaled 5,453 homes sold, up 20.7 percent from November 2010 sales of 4,518 homes. The median price in November 2011 was $150,000 in the Chicago PMSA, down 14.3 percent compared to last year in November when it was $175,000.
“Little by little, there is some accumulating evidence that there may be some measure of recovery in the housing market,” said Dr. Geoffrey J.D. Hewings, director of the Regional Economics Applications Laboratory (REAL) of the University of Illinois. “The positive trends in both Illinois and the Chicago PMSA housing markets stem in large part from the fact that the housing inventory levels are low and the pending home sales indices are high. The month’s supply of homes on the market is 10.3 and 10.4, respectively, for the state and the Chicago PMSA, and are the lowest since January 2010.”
Adds Hewings: “Factors working against the housing recovery are the stock of distressed properties and unemployment hovering in the 9 to 10 percent range.”
Fifty-two percent of Illinois counties reporting (52 of 100) showed year-over-year home sales increases in November 2011. Forty-one percent (41 of 100) showed year-over-year median price increases including Henry, up 20.0 percent to $93,000; Kankakee, up 12.4 percent to $97,750; Kendall, up 2.5 percent to $169,000; Knox, up 19.2 percent to $77,500; LaSalle, up 6.5 percent to $79,900; Menard, up 5.3 percent to $119,750; Monroe, up 30.8 percent to $163,500; Rock Island, up 3.0 percent to $85,000; and Tazewell, up 2.9 percent to $130,000.
In the city of Chicago, November 2011 home sales (single family and condominiums) totaled 1,377, up 20.4 percent from 1,144 homes sold in November 2010. The city of Chicago median home sale price for November 2011 was $160,000, down 12.3 percent compared to November 2010 when it was $182,500.
“The market is being stimulated by buyers who are doing their homework and buying at the most compelling price they can, while sellers are working aggressively with their REALTORS® to price their homes to sell,” said REALTOR® Bob Floss, president of the Chicago Association of REALTORS® and broker-owner of Bob Floss and Son Realty. “Chicago is seeing a combination of unit absorption paired with distressed homes that are still pushing down sale prices. Low interest rates and smart opportunities to buy make for favorable market conditions for both buyers and sellers looking to right-size to their lifestyle.”
Sales and price information is generated by Multiple Listing Service closed sales reported by 31 participating Illinois REALTOR® local boards and associations including Midwest Real Estate Data LLC data as of December 7, 2011 for the period November 1 through November 30, 2011. 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 44,000 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 housing stats data and the University of Illinois REAL forecast at www.illinoisrealtor.org/marketstats.