Tuesday, August 25, 2009

We've hit the bottom Chicago, let the selling begin!

The real estate news has been gushingly positive. Chicago housing market transactions could be turning around in light of recent flattening of prices and even an uptick in value?
YoChicago.com points out the latest Case-Shiller home price index showing microscopic home price increases nationally and locally in yo(ur) Chicago.

Chicago overall home values:
Month-to-month: 1.1 percent (0.5 percent)
Quarter-on-quarter: 2.2 percent (1.2 percent)
Year-over-year: -16.7 percent

Cue the music!
"Happy days are here again

The skies above are clear again

Let us sing a song of cheer again

Happy days are here again "

Anecdotally speaking, in the dozen or so North Side neighborhoods I work in such as Lincoln Square, Ravenswood, Lincoln Park, Lakeview and Near North... that "deal" is still elusive. The market has shifted down and sort of flattened out. We sort of know market pricing again. My clients will get nice condos in good locations in good buildings slightly off 2006-2007 prices... but that's still real money. But the steals remain rare or come with some major trade-offs... such as less desirable locations further from the action, in buildings with deferred maintenance (or the unit needs a complete renovation) or come in associations with high investor sell-offs where the future association is in question.

Sorry, I'm just not willing to risk my future enjoyment and income to get a $50K discount now on a unit. I want a good, solid building and association. The way I see it, the pent up inventory of "good" units is starting to hit the market and selling at a much lower or manageable discount from the peak years causing a little up-tick in the market price overall.

So, unless you are willing to live in a no thrills unit to get your deal in a decent location, my buyer clients are finding the good stuff is still in demand and hard to get a bargain on. If it were that easy as sometimes perceived, I'd be out spending all my money I made rather than blogging right now.

1 comment:

Unknown said...

"let the selling begin".
That does have a sweet sound. Lets get first time homebuyers out there with the $8K tax credit and Illinois Home Start Loan Program and existing owners to realize prices are low and the time to go shopping is now.

We Buy Houses Fox Valley