AUGUST 2021 MARKET ANALYSIS FOR CHICAGO'S NORTH SIDE
July real estate numbers on Chicago’s North side raised more questions than answers.
The market remains positive in seven key Chicago neigborhoods.
July, however, was the first month this year with a decilne in homes that went under contract compared to 2020. This may be signaling a slowdown from the 1st COVID rebound. (see chart).
In addition, while inventories continued to drop, home prices do not seem to be rising at a rate that one would expect, with the exceptionally low months of supply of inventory that we are currently experiencing.
The dramatic rise of COVID delta and the resulting restrictions could have an affect on the real estate market; however, it is not yet clear how much of an impact it will have. Our September report should shed some addional light on the upcoming Fall market.
Please see the analysis below for your neighborhood and how it is performing.
JULY HOME SALES
Year To Date - Up 65.3%
Month 2021 vs 2020 - Up 29.7%
Month By Neighborhood
NEAR NORTH - Up 59.4%
LINCOLN PARK Up 21.8%
LAKEVIEW - Up 25.4%
NORTH CENTER - Down 12.2%
Month By Price Point :
Under $500,000 - Up 29.8%
$500,000 to $1,000,000 - Up 12.5%
$1,000,000 to $2,000,000 - Up 68.1%
Over $2,000,000 - Up 181.8%
JULY HOMES UNDER CONTRACT
Year To Date - Up 59.8%
Month 2021 vs 2020 - Up 5.8%
Month By Neighborhood
NEAR NORTH - Up 42.2%
LINCOLN PARK Down 5.1%
LAKEVIEW - No Change
NORTH CENTER - Down 43.8%
Month By Price Point :
Under $500,000 - Up 18.6%
$500,000 to $1,000,000 - Down 7.1%
$1,000,000 to $2,000,000 - Down 13.0%
Over $2,000,000 - Up 17.2%
Noteworthy : Most home sales that closed this month went under contract in a previous month. Units Under Contract reflects a more accurate picture of the current month, although not every home that goes under contract closes.
JULY HOMES FOR SALE
Year To Date - Up 98.1%
Month 2021 vs 2020 - Down 12.7%
Month By Neighborhood
NEAR NORTH - Down 10.7%
LINCOLN PARK - Down 15.3%
LAKEVIEW - Down 11.1%
NORTH CENTER - Down 26.4%
Month By Price Point :
Under $500,000 - Down 12.9%
$500,000 to $1,000,000 - Down 20.4%
$1,000,000 to $2,000,000 - Down 22.8%
Over $2,000,000 - Down 3.2%
JULY MONTHS OF SUPPLY OF INVENTORY
Year To Date - Down 9.4% to 4.8MSI
Month 2021 vs 2020 - Down 40.6% to 4.1 MSI
Month By Price Point :
Under $500,000 - Down 32.7% to 3.7 MSI
$500,000 to $1,000,000 - Down 45.7% to 3.8 MSI
$1,000,000 to $2,000,000 - Down 47.2% to 5.6 MSI
Over $2,000,000 - Down 43.2% to 10.5 MSI
Month By Neighborhood
NEAR NORTH - Down 38.5% to 7.3 MSI
LINCOLN PARK - Down 44.6% to 3.6 MSI
LAKEVIEW - Down 39.2% to 3.1 MSI
NORTH CENTER - Down 44.2% to 2.4 MSI
Noteworthy - Traditionally, MSI over 7.0 designates a buyer’s market and under 6.0 a seller’s market. Between 6.0 & 7.0 is considered a neutral market.
JULY MEDIAN PRICING
Year To Date - Up 6.6%
Month 2021 vs 2020 - Up 6.2%
Month By Neighborhood
NEAR NORTH - Down 3.6%
LINCOLN PARK - Up 19.5%
LAKEVIEW - Down 1.8%
NORTH CENTER - Up 7.4%
Month By Price Point :
Under $500,000 - Down 2.9%
$500,000 to $1,000,000 - Up 8.7%
$1,000,000 to $2,000,000 - Down 1.1%
Over $2,000,000 - Down 6.5%
JULY DAYS ON THE MARKET
Year To Date - Down 10.7 % to 92 Days
Month 2021 vs 2020 - Down 12.3% to 71 Days
Month By Neighborhood
NEAR NORTH - UP 12.6% to 134 days
LINCOLN PARK - Down 2.6% to 79 days
LAKEVIEW - Down 43.5% to 39 days
NORTH CENTER - Down 43.9% to 32 Days
Month By Price Point :
Under $500,000 - Up 2.9% to 69 Days
$500,000 to $1,000,000 - Down 15.3% to 72 Days
$1,000,000 to $2,000,000 - Down 47.0% to 71 Days
Over $2,000,000 - Up 3.2% to 162 Days
YOUR HOME
A logical question would be “how does all of this affect the home that I am planning to sell or potentially buy?”
Every home is unique and a detailed analysis of your property and neighborhood is a necessity to fully understand the true market value and whether this is the right time to buy or sell.
There are many criteria both objective and subjective that must be analyzed in order to get a true picture.
Internet home pricing sites that claim to calculate your home’s value using only algorithms can be wildly inaccurate. Many market analysis from real estate agents that have not taken the time to personally tour the home can also be seriously flawed. Today’s volatility demands that you get a broker who thoroughly understands this rapidly changing market.
Whether you are buying or selling a home, I would welcome the opportunity to have a conversation about your real estate needs, goals and expectations.