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Category Archives: MRED Communications

August Housing Report from Illinois REALTORS@

August tends to mark the waning of housing activity ahead of the school year. Not
all buyers and sellers have children, but there are enough parents that do not want
to uproot their children during the school year to historically create a natural
market cooldown before any actual temperature change. Competition is expected
to remain fierce for available listings. Savvy sellers and buyers know that deals can
be made well into the school months, as household formations take on many
shapes and sizes.

New Listings in Chicagoland were up 2.8 percent for detached homes and 10.4
percent for attached properties. Listings Under Contract increased 9.0 percent for
detached homes and 8.0 percent for attached properties.

The Median Sales Price was up 3.0 percent to $242,000 for detached homes and
7.0 percent to $199,900 for attached properties. Months Supply of Inventory
decreased 15.8 percent for detached units and 14.3 percent for attached units.

The prevailing trends lasted through summer. This was expected, since there have
not been any major changes in the economy that would affect housing. Factors
such as wage growth, unemployment and mortgage rates have all been stable.
Every locality has its unique challenges, but the whole of residential real estate is in
good shape. Recent manufacturing data is showing demand for housing
construction materials and supplies, which may help lift the ongoing low inventory
situation in 2018.

MRED real estate professionals can log into MREDLLC.com and click on the Statistics tab to get the latest Lender Mediated and Monthly Market Indicators Reports. You can also click on the Local Market Updates choice under the Statistics tab and use our Interactive Market Analytics map for the latest local market metrics.

Any questions? Please contact MRED’s Help Desk at 630-955-2755 or help.desk@MREDLLC.com.

July Housing Report from Illinois REALTORS®

Illinois REALTORS® has released the statewide July 2017 housing report.

“It continues to be a strong summer for sellers. Homes are selling at a record pace, averaging just 47 days on the market statewide—with the median price up 5.8%. Low housing inventory drove up buyer competition and prices—in July, there was a 12.6% decrease in homes for sale year-over-year statewide.”

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July Talking Points »

August Forecast »

Local Market Update »

MRED Chicagoland Report for July, 2017

How long can the residential real estate market go on like this? We are about two years into a national trend of dropping housing supply and increasing median sales prices. There are some regional variations to the story, but the shift to a predominantly seller’s market is mostly complete. Multiple-offer situations over asking price are commonplace in many communities, and good homes are routinely off the market after a single day. It is evident that a favorable economy keeps hungry buyers in the chase.

New Listings in Chicagoland were up 0.3 percent for detached homes and 5.5 percent for attached properties. Listings Under Contract increased 5.5 percent for detached homes and 7.2 percent for attached properties.

The Median Sales Price was up 4.2 percent to $250,000 for detached homes and 5.0 percent to $204,750 for attached properties. Months Supply of Inventory decreased 16.7 percent for detached units and 17.1 percent for attached units.

Although the unemployment rate remains unchanged at its favorable national 4.3 percent rate, wage growth has not been rising at the steady clip that would be expected in an improving economy. Sales activity manages to keep churning along despite looming shortages in new construction. Lower price ranges are starting to feel the effects of the supply and demand gap, as first-time buyers scramble to get offers in at an increasing pace.

MRED real estate professionals can log into MREDLLC.com and click on the Statistics tab to get the latest Lender Mediated and Monthly Market Indicators Reports.  You can also click on the Local Market Updates choice under the Statistics tab and use our Interactive Market Analytics map for the latest local market metrics.

Any questions?  Please contact MRED’s Help Desk at 630-955-2755 or help.desk@MREDLLC.com.

U.S. Housing Inventory Hits a New Low… List Your House TODAY!

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Every summer, families across the country decide if this will be the year they sell their current house and move into their dream home.

Mortgage rates have hovered around 4% for all of 2017, forcing buyers off the fence and into the market, resulting in incredibly strong demand RIGHT NOW!! At the same time, inventory levels of homes for sale have dropped dramatically as compared to this time last year.

Trulia reported that “U.S. home inventory has tumbled 8.9% over the past year and has now fallen for nine consecutive quarters.” There is now 20% less inventory than there was five years ago.

Here is a chart showing the decrease in inventory levels by category:

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Bottom Line

Demand for your home is very strong right now while your competition (other homes for sale) is at a historically low level. If you are thinking of selling in 2017, now may be the perfect time.

Blog Post via KCM Blog

MRED Chicagoland Report for June, 2017

There has been a general slowdown in sales across the country, and this cannot be blamed on negative economic news. Unemployment remains low and wage growth, though nothing to overly celebrate, has held steady or increased for several years in a row. There is strong demand for home buying, emphasized by higher prices and multiple offers on homes for sale in many submarkets. As has been the case for month after month – and now year after year – low inventory is the primary culprit for any sales malaise rather than lack of offers.

New Listings in Chicagoland were down 0.9 percent for detached homes but increased 6.5 percent for attached properties. Listings Under Contract increased 11.4 percent for detached homes and 4.9 percent for attached properties.

The Median Sales Price was up 4.9 percent to $257,000 for detached homes and 5.1 percent to $208,000 for attached properties. Months Supply of Inventory decreased 18.2 percent for detached units and 18.4 percent for attached units. With job creation increasing and mortgage rates remaining low, the pull toward home ownership is expected to continue. Yet housing starts have been drifting lower, and some are beginning to worry that a more serious housing shortage could be in the cards if new construction and building permit applications continue to come in lower in year-over-year comparisons while demand remains high.

Home builder confidence suggests otherwise, so predictions of a gloomy future should be curbed for the time being.

MRED real estate professionals can log into MREDLLC.com and click on the Statistics tab to get the latest Lender Mediated and Monthly Market Indicators Reports.  You can also click on the Local Market Updates choice under the Statistics tab and use our Interactive Market Analytics map for the latest local market metrics.

Any questions?  Please contact MRED’s Help Desk at 630-955-2755 or help.desk@MREDLLC.com.

Home Buying Myths Slayed [Infographic]