Chicago Housing Prices Rising Too Slowly? That Depends on Where You Live
Chicago housing prices have risen steadily during the past three years. But if you’re hoping for values here to get back to 2007 levels? Expect a longer wait, according to a recent story by Crain’s Chicago Business.
According to the story, the total value of the Chicago area’s residential homes increased just 0.4% in 2015. Crain’s cites numbers from Zillow showing that this ranks as the 3rd-smallest increase among the United States’ 10 largest metropolitan areas.
And when it comes to getting back to that 2007 peak? Crain’s reported that according to Zillow’s figure, residential values in the Chicago area were still 18.4% below that high point as 2015 came to a close.
None of the other top-10 markets surveyed by Zillow had as big of a gap from current values to peak values, according to Crain’s.
Now, these numbers do have some flaws. For one thing, they’re measuring the entire Chicago area. That includes the suburbs as well as the city. And they might not be an accurate representation of your particular Chicago neighborhood.
Certain city neighborhoods are simply seeing far-higher condo and single-family-home prices than are others. You can bet that housing prices have risen faster in places like the West Loop, Lakeview, Lincoln Park and North Center/Roscoe Village than they have in neighborhoods such as Morgan Park and Lawndale.
So if you do own a home in Chicago, don’t fret over Zillow’s analysis. Yes, it’d be better if Chicago homes in all area neighborhoods were rising at a faster pace. But remember to look at your own neighborhood when assessing how your residence is performing. Real estate really is local. All that really matters is the value of your own home. And if you happen to own in one of Chicago’s most sought-after neighborhoods? The odds are good that the value of your property has already risen significantly in the last three years and will continue to do so in the near future.