In a new analysis of the Chicago real estate market, the Chicago Association of REALTORS® released a recent report detailing what you need to know about what’s going on in the industry. Here are a few of the highlights:
2021 vs 2020
It’s no surprise that this year is drastically different from last year. In May of 2021, 3,403 properties were sold in the City of Chicago, a 100.1% increase from the same time in 2020. Medium sales price is up 11.8% from last year, and homes are selling more quickly. Homes this May spent an average of 72 days on the market until under contract, 13.3% lower than May 2020. As hot as the market is, inventory is down 4.2% compared to last year.
So what does that mean?
According to the Chicago Association of REALTORS®, warmer weather, lifting pandemic restrictions and industry factors are creating the perfect storm for a rapidly moving market. Buyer demand, low mortgage rates and low inventory are causing sales prices to soar. While some are hoping builders and developers will boost inventory, supply chain challenges and labor costs mean homebuyers might see an increase in price down the line. Their prediction is that “historically low levels of homes for sale are likely to continue for some time.”While we’re seeing similar phenomena across the country, Chicago has its own unique moving puzzle pieces. Now more than ever, those hoping to buy or sell will need help from experienced REALTORS®. If you need guidance in navigating the Chicago real estate market, feel free to reach out to someone from our team!