As Chicago Real Estate Market Searches For Equilibrium, A Few Areas Are Ahead Of The Pack

Even as the Chicago real estate market endured another quarter of slowing sales during the first three months of 2008, more than 13,000 homes did change hands and a few areas emerged as places that are attracting an increasing number of homebuyers.

In Chicago, neighborhoods on both the South and North sides easily outperformed the overall metro-area market, which saw a 30 percent decline in homes sold during the first quarter when compared to the same period in 2007, based on housing sales data from Midwest Real Estate Data, LLC, (MRED), analyzed by RE/MAX Northern Illinois.

In the heart of the city, home sales in the Loop real estate market totaled 305 units, up 89 percent for the quarter, while activity in the Near South Side real estate market increased 15 percent to 219 units. In the adjoining Douglas real estate neighborhood, sales activity rose nearly 80 percent, with 50 units closing.

Further north, homes sales for the quarter in the Albany Park real estate market rose 18 percent to 60 units, and they were up 2 percent in North Center to 100 units. When results are combined for the Albany Park, Lake View, Lincoln Square, North Center and Uptown real estate markets, sales activity declined only 10 percent during the quarter compared to the same period in 2007, with 830 homes changing hands.

“The city continues to be the strongest segment of the Chicago metropolitan housing market, said Jim Merrion, regional director of RE/MAX Northern Illinois. “Interestingly, if you exclude the Loop and Near South areas of the city, where almost all homes are condos, Chicago single-family sales actually outperformed Chicago condominiums during the first quarter.”

According to Merrion, 15 city neighborhoods saw sales of single-family homes increase during the first quarter of this year compared to the same three months a year ago. Only 11 city neighborhoods experienced an increase in the sale of condos and other attached dwellings.

In the suburbs, the picture was more balanced, with 27 communities seeing an increase in single-family home sales for the quarter, and the same number experiencing higher sales of attached homes.

Three suburbs recorded an increase in both categories in the Indian Head Park, Fox River Grove and Harvard real estate areas.

Home sales in Chicago overall declined 21 percent for the quarter to 4,639 units sold, while in Cook County real estate as a whole, home sales were 30 percent lower for the period.

The picture of slowing sales was fairly consistent across the metropolitan area. McHenry County real estate turned in the best performance with a sales decline of 22.5 percent, followed by Lake County real estate at 23.8 percent. Sales also fell 27 percent for Kendall County real estate, 29 percent in both DuPage and Kane counties. Will County real estate experienced the sharpest slowdown, with sales off 35 percent.

“We are getting a lot of anecdotal reports that more buyers are out looking at properties this year than last, but the move from looking to making an offer and closing a sale is taking longer,” Merrion said. “One reason is that the mortgage underwriting process has slowed down and become more difficult due to high number of foreclosures. Buyers with top-flight credit have few problems. Other buyers can find it challenging to get the loan they want though most eventually find a loan program that works for them.”

A second reason for the increased time involved in moving from home shopper to homeowner, according to Merrion, is the large number of homes on the market.

“Buyers have so much to choose from that they can get caught in the shopping process and fail to pull the trigger on a great home when it is available,” he said. “Our agents have been telling me that one of their major responsibilities in the current market environment is to keep buyers focused on what is most important to them.”

The third factor slowing down buyers is confusion over pricing.

“It’s not an easy situation today for buyers,” said Merrion, “They want to feel they are getting a good value in a market where there is a lot of talk about declining prices, but prices aren’t falling everywhere. Also, some homes are priced aggressively to start with, while others aren’t. Figuring out a fair price to pay in the current housing market is where an experienced real estate professional is a huge asset.”

Bloomingdale Real Estate Agents Sponsor RE/MAX Hot Air Balloon Educational Visit To DeShane Elementary In Carol Stream On May 16

Carol Stream and Bloomingdale real estate experts at RE/MAX All Pro in Bloomingdale, Illinois, are sponsoring a special interactive educational program for the students at Roy DeShane Elementary School, 475 Chippewa Trail, in Carol Stream, Ill. Students will learn about hot air ballooning when the RE/MAX Hot Air Balloon and its crew pay a visit at 9 a.m. on May 16. The program is designed to help students learn more about ballooning and how it relates to the subjects they study in school.

The 450 students at DeShane will learn about various aspects of ballooning, its history and the scientific principles involved. Plus, they will see a demonstration on how the balloon functions. During one portion of the program, students can walk inside the balloon envelope, which is partially inflated with cold air. Later, if weather permits, the 70-foot-tall balloon will be fully inflated outdoors.

The visit is part of an on-going balloon education program developed by RE/MAX Northern Illinois.

Yorkville, IL Real Estate Expert Sponsors RE/MAC Hot Air Balloon Visit To Millbrook And Newark Schools On May 15

Yorkville, IL real estate expert Terri Jeffries of RE/MAX Great American II in Yorkville, Ill., is sponsoring a visit of the RE/MAX Hot Air Balloon.

Students at Millbrook Junior High School and Newark Elementary School will get together on May 15 to learn about hot air ballooning when the RE/MAX Hot Air Balloon and its crew visit the junior high school at 8411 Fox River Dr., Millbrook, Ill., to present a special interactive educational program. The visit is part of an on-going balloon education program developed by RE/MAX Northern Illinois.

Newark Elementary is located at 503 Chicago Road, Newark, Ill.

The students at both schools will learn about various aspects of ballooning, its history and the scientific principles involved. Plus, they will see a demonstration on how the balloon functions. During one portion of the program, students can walk inside the balloon envelope, which is partially inflated with cold air.

This program will help the students learn more about ballooning and how it relates to the subjects they study in school. It will start at 8:30 a.m. Later, if weather permits, the 70-foot-tall balloon will be fully inflated outdoors.

Rock Falls Illinois Expert Sponsors RE/MAX Hot Air Balloon Visit To Rock Falls Middle School on May 15

Rock Falls, IL real estate expert David DeVries, broker/owner of RE/MAX Homes Unlimited in Rock Falls is sponsoring an educational visit from the RE/MAX hot air balloon.

The students at Rock Falls Middle School, 1701 12th Ave., Rock Falls, Illinois, will learn about hot air ballooning when the RE/MAX Hot Air Balloon and its crew come to the school at 1:30 p.m. on May 15 to present a special interactive educational program. The visit is part of an on-going balloon education program developed by RE/MAX Northern Illinois.

The 300 students at the school will see a presentation that covers various aspects of ballooning, its history and the scientific principles involved and will include a demonstration on how the balloon functions. If weather conditions permit, the 75-foot tall balloon will be fully inflated with hot air.

David DeVries, broker/owner of RE/MAX Homes Unlimited in Rock Falls is sponsoring this event.