September 2016 Home Prices and Sales

The Illinois Association of Realtors (IAR) reported that year over year residential sales in the city of Chicago decreased by 3.2%, with 2,336 sales in September 2016 compared to 2,414 sales in September 2015. The median sale price increased by 4.6% ($261,500 in September 2016 compared to $250,000 in September 2015). Homes in the city of Chicago were on the market an average of 42 days, down from 47 days last September.

Matt Silver, president of the Chicago Association of REALTORS® and partner at Urban Real Estate, stated, “We continue to see a vibrant Chicago real estate market with homes moving quickly and with steady median price gains. It is taking 42 days to sell a home, indicating buyers are eager to purchase when they find the right property.”

The following charts summarize median price and sales trends:

The University of Illinois Regional Economics Applications Laboratory estimates positive growth in Chicago area* annual sales levels for October, November and December 2016, with average changes expected to increase by 7.7% to 10.4% compared to last year. Other notes from the forecast report include:

• Median prices in the Chicago area are estimated to post year-over-year gains of +4.4% in October, +4.3% in November and +5.0% in December.
• In September 2016, at the previous 12 month average sales rate, the Chicago area had enough housing inventory for 3.6 months (down from 4.4 months a year ago). Months of supply for homes in all price ranges except $700K+ declined in both Illinois and the Chicago area.
• The pending home sales index, a leading indicator based on contract signings, was 173.6 in September (100=average pending sales in 2008). The number of homes put under contract in the Chicago area was up 13.1% from September 2015.

The press release, city of Chicago report, and forecast report are available on the IAR website.

*Chicago PMSA: Cook, DeKalb, DuPage, Grundy, Kane, Kendall, Lake, McHenry and Will counties

Note: The Illinois Association of Realtors (IAR) transitioned to a new reporting system in December 2012 that resulted in revisions to previously reported data. IAR data is subject to revision by reporting Multiple Listing Service affiliates. For more information, please refer to the IAR website.