This week’s Chicago Tribune Real Estate section featured an article about the progress of the housing recovery. The author, Mary Ellen Podmolik, noted that, while the recovery is not occurring as quickly as homeowners would like, it is happening nonetheless.
She reports that single-family housing starts in the Chicago area are predicted to reach or at least come close to 5,000 in 2014. While this is nowhere near the typical 18,000 to 20,000 starts, it’s better than was expected.
According to the article, the median price of homes sold in the Chicago area is up 16%. Low inventory in the Chicago area is helping to push those numbers up. As noted in our June 2013 “How the Inventory Shortage Affects You” blog, one reason inventory is low is because many homeowners are underwater on their mortgages or are waiting until they can make more on their investments.
Podmolik reports that Chris Hucksteadt, the Chicago regional director for Metrostudy, a housing market research firm, predicts that housing starts will increase an additional 30% next year. While this is not one of the areas of highest predicted growth, there is expectation that it will be back to normal sometime in 2015.
LW Reedy’s calculations show significant growth in the Elmhurst area over the past year, comparing 3rd quarter of 2012 to 3rd quarter of 2013.
|Number of single family homes sold||Up 36%|
|Number of new listings||Up 48%|
|Average sold price||Up $54,119|
|Median sold price||Up $36,500|
While recovery is moving slowly, it is headed in the right direction. There is some concern over consumer credit scores and changes in law related to getting mortgages, but, despite those, the housing recovery continues.
What are your concerns about housing recovery? What’s holding you back from buying or selling today?
Talk to your LW Reedy agent to talk through the best timing for you and your family.