FOR RELEASE: July 24, 2017
For Further Information Contact: Stephanie Sievers, 217-529-2600
SPRINGFIELD, Ill. — Illinois home sales largely held steady and the statewide median price increased in June as motivated buyers were ready to move quickly amid tighter seasonal inventory, according to Illinois REALTORS®.
Statewide home sales (including single-family homes and condominiums) in June 2017 totaled 19,066 homes sold, up 0.3 percent from 19,001 in June 2016.
The statewide median price in June was $216,000, up 5.9 percent from June 2016, when the median price was $204,000. The median is a typical market price where half the homes sold for more and half sold for less.
"Plummeting inventories continue to pose significant challenges for buyers in many areas of the state," said Illinois REALTORS® President Doug Carpenter, ABR, AHWD, GRI, SFR of Mokena, managing broker of Coldwell Banker The Real Estate Group in Orland Hills. "The lack of homes for sale in the most popular price bands is making it critical for buyers to be ready to hustle when it comes time to make an offer."
The time it took to sell a home in June averaged 49 days, down from 55 days a year ago. Available housing inventory totaled 59,088 homes for sale, a 14.0 percent decline from June 2016 when there were 68,720 homes on the market.
The monthly average commitment rate for a 30-year, fixed-rate mortgage was 3.90 percent in June 2017, a decrease from 4.01 percent the previous month, according to the Federal Home Loan Mortgage Corp. In June 2016, it averaged 3.57 percent.
In the nine-county Chicago Primary Metropolitan Statistical Area (PMSA), home sales (single-family and condominiums) in June 2017 totaled 14,052 homes sold, up 1.0 percent from June 2016 sales of 13,916 homes. The median price in June 2017 was $252,500 in the Chicago PMSA, an increase of 4.1 percent from $242,500 in June 2016.
“While the housing market continues to record gains in prices and sales, the inventory problem remains an important issue,” said Geoffrey J.D. Hewings, director of the Regional Economics Applications Laboratory at the University of Illinois. “Hopefully, now that the state has a budget, a recovering state economy will encourage more investment in housing – both new construction and investment by first-time buyers”
According to the data, forty-three (43) Illinois counties reported sales gains for June 2017 over previous-year numbers, including Rock Island County, up 15.7 percent with 206 units sold; St. Clair County, up 10.7 percent with 361 units sold; and Lake County, up 3.2 percent with 1,357 units sold. Sixty-one (61) counties showed year-over-year median price increases including Champaign County, up 9.3 percent to $168,000; Kane County, up 8.6 percent to $249,800; and Cook County, up 3.1 percent to $263,000.
The city of Chicago saw a 1.7 percent year-over-year home sales decline in June 2017 with 3,266 sales, down from 3,321 in June 2016. The median price of a home in the city of Chicago in June 2017 was $308,000, up 2.7 percent compared to June 2016 when it was $299,900.
"In June, the market exhibited a bit of a holding pattern,” said Matt Silver, president of the Chicago Association of REALTORS® and partner at Urban Real Estate. “Inventory was a contributing factor, as once you sell your home, you’ll need to then buy another – so, sellers are being firm on their pricing, and while some buyers are willing to wait for their perfect home, other motivated buyers are driving down the time on market. As the weather continues to heat up, people will get down to business, provided the price is right.”
Sales and price information are generated by Multiple Listing Service closed sales reported by 28 participating Illinois REALTOR® local boards and associations including Midwest Real Estate Data LLC data as of July 7, 2017 for the period June 1 through June 30, 2017. The Chicago PMSA, as defined by the U.S. Census Bureau, includes the counties of Cook, DeKalb, DuPage, Grundy, Kane, Kendall, Lake, McHenry and Will.
Illinois REALTORS® is a voluntary trade association whose more than 47,000 members are engaged in all facets of the real estate industry. In addition to serving the professional needs of its members, Illinois REALTORS® works to protect the rights of private property owners in the state by recommending and promoting legislation to safeguard and advance the interest of real property ownership.
Find Illinois housing stats, data and the University of Illinois REAL forecast at www.illinoisrealtors.org/marketstats.
MEDIA ONLY: Economist Dr. Geoffrey J.D. Hewings will be available for media interviews between 9 a.m. and noon on July 24. He can be reached at 312-320-3460.