Chicago Real Estate News: Latest Trends & Forecast
Chicago is on fire!
No, not a real fire, but Chicago real estate has exploded. Real estate sales are 25% higher from March 2020 to March 2021. That’s not all the Chicago real estate news you need to hear.
Want to know more? Keep reading to stay ahead of the surge of buyers!
What’s Going on In the City by the Lake?
There’s a real anomaly going on in Chicago right now. Not only are sales increasing by double digits but the median price of homes is also rising.
The first quarter of 2021, prices were 14% higher, from $198,900 to $226,982. It’s an anomaly because many of these sales are all-cash offers.
Usually people take all-cash offers because it’s faster, and you can sell your house fast as is without an inspection or repairs. Although all-cash sales are usually lower as well, this is not always the case as Chicago’s inventory prices continue to rise. Many people are finding that this is the best way to sell your house quickly.
Many people are cruising around on real estate apps to find the house they want. Then, instead of putting an offer in through the platform they drive up with an all-cash offer.
Chicago isn’t alone in this wildfire of real estate sales. By the end of 2020, All-cash sales had risen to about 36% of the total home sales for 2020.
How Is the Windy City’s Inventory?
The inventory in Chicago is quite low, given the insane demand for houses. Increases in sales occurred to match 2012, however the available inventory has dropped 45.5% from the same time in 2019.
It’s truly a seller’s market, where you can practically name your price.
Despite all-cash sales usually being lower than a sale with financing, coupled with the inventory and demand, this is driving even cash sales to new heights. This inventory problem is also seen across the country.
Part of this inventory problem is mass migration from overpriced areas due to remote working. Now that you can have the New York and Los Angeles job in a cheaper rural area, people are finally going where they prefer.
Illinois, on the other hand, actually saw migration loss, however. That means that the inventory isn’t enough for first time home buyers that already are living here.
In this case, the people buying the house next door are most probably locals.
Your Chicago Real Estate News
Did you find some information in this Chicago real estate news update? The markets are fluctuating wildly, but there are some points of stability.
All-cash offers are giving buyers and sellers a real advantage over those choosing to go with financed offers. This is especially true with the limited inventory, where you need to find quick ways to sell your house.
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