AUGUST 2024 MARKET ANALYSIS FOR CHICAGO'S NORTH SIDE
Our monthly market analysis below details six real estate comparatives for the Near North Side, Lincoln Park, Lakeview and North Center, in addition to our comprehensive monthly summary.
JULY HOME SALES
Year To Date 2024 vs 2023 - Up 0.01%
Month 2024 vs 2023 -Down 0.8%
Month By Neighborhood
NEAR NORTH - Up 3.9%
LINCOLN PARK - UP 2.5%
LAKEVIEW - Down 6.0%
NORTH CENTER - Down 10.2%
Month By Price Point
Under $500,000 - Down 5.2%
$500,000 to $1,000,000 - UP 10.2%
$1,000,000 to $2,000,000 - Up 5.9%
Over $2,000,000 - Down 26.6%
JULY HOMES UNDER CONTRACT
Year To Date 2024 vs 2023 - Down 0.1%
Month 2024 vs 2023 - Down 6.0%
Month By Neighborhood
NEAR NORTH - Down 0.4%
LINCOLN PARK -Down 14.8%
LAKEVIEW - Down 14.3 %
NORTH CENTER - Up 11.4%
Month By Price Point
Under $500,000 - Down 0.3%
$500,000 to $1,000,000 - Down 18.0%
$1,000,000 to $2,000,000 - Down 8.0%
Over $2,000,000 - Down 14.7%
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 2024 vs 2023 - Down 10.1%
Month 2024 vs 2023 - Down 12.3%
Month By Neighborhood
NEAR NORTH - Down 12.3%
LINCOLN PARK - Down 29.5%
LAKEVIEW - Down 22.1%
NORTH CENTER - Down 27.5%
Month By Price Point
Under $500,000 - Down 9.4%
$500,000 to $1,000,000 - Down 25.7%
$1,000,000 to $2,000,000 - Down 22.9%
Over $2,000,000 - Down 10.2%
JULY MONTHS OF SUPPLY OF INVENTORY
Year To Date 2024 vs 2023 - Down 17.6% to 2.8 MSI
Month 2024 vs 2023 - Down 16.7% to 3.0 MSI
Month By Price Point
Under $500,000 - No Change at 2.2 MSI
$500,000 to $1,000,000 - Down 27.7% to 2.6 MSI
$1,000,000 to $2,000,000 - Down 33.3% to 4.0 MSI
Over $2,000,000 - Down 6.6 % to 9.9 MSI
Month By Neighborhood
NEAR NORTH - Down 19.4% to 5.0 MSI
LINCOLN PARK - Down 25.0% to 2.1 MSI
LAKEVIEW - Down 18.2% to 1.8 MSI
NORTH CENTER - Down 16.0% at 2.1 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 2024 vs 2023 - Up 5.4%
Month 2024 vs 2023 - Up 0.01 %
Month By Neighborhood
NEAR NORTH - Up 3.7%
LINCOLN PARK - Up 6.9%
LAKEVIEW - Down 7.4%
NORTH CENTER - Down 4.2%
Month By Price Point
Under $500,000 - Down 0.01%
$500,000 to $1,000,000 - Down 1.8%
$1,000,000 to $2,000,000 - Up 1.9%
Over $2,000,000 - Up 5.6%
JULY DAYS ON THE MARKET
Year To Date 2024 vs 2023- Down 6.8% to 69 Days
Month 2024 vs 2023 - No Change at 51 Days
Month By Neighborhood
NEAR NORTH - Up 2.4% to 84 days
LINCOLN PARK - Down 42.6% to 31 days
LAKEVIEW - Down 24.3% to 28 days
NORTH CENTER - Up 106.7% to 62 Days
Month By Price Point :
Under $500,000 - Down 8.1% to 45 Days
$500,000 to $1,000,000 Down 1.9% to 51 Days
$1,000,000 to $2,000,000 -Down 2.5% to 66 Days
Over $2,000,000 - Up 196.0% to 151 Days
JULY SUMMARY
All six market indicators for Near North Side, Lincoln Park, Lakeview and North Center continued their sluggish performance in July 2024 vs 2023: however, there were a few bright spots in some neighborhoods and price points.
The collective real estate world seems to be holding its breath for the anticipated rate drop this fall. It is expected to increase both inventory levels and buyer urgency and buying power. Hopefully we will start to make some sustained progress in September.
JULY MARKET INDICATORS
HOME SALES - Combined home sales in our four subject neighborhoods dropped 0.8% in July 2024 vs 2023.
This was the third consecutive month of sales decreases; however, such a small decrease is considered to be basically flat vs last year. Sales rose in on the Near North Side and Lincoln Park, but fell in Lakeview and North Center.
Sales increased in homes priced from $500,000 to $2,000,000 but homes price under $500,000 and over $2,000,000 reported decreases for July.
Homes that went under contract in July 2024 decreased 6.0%, which may reflect negatively in August closed sales.
INVENTORY - Inventory levels continued to fall by 12.3% in July 2024 vs 2023. These are historically low levels and continue to be one of the primary causes for the current market conditions.
July inventory levels dropped in all four subject neighborhoods and price points.
HOME PRICES - Combined July 2024 home prices were basically flat with 2023 dropping only 0.01%. Near North and Lincoln Park reported increases, while Lakeview and North Center decreased.
July home price results varied by price point. Homes priced under $500,000 were flat with 2023, while homes priced from $500,000 to $1,000,000 decreased by 1.9%. Homes priced between $1,000,000 & 2,000,000 rose 1.9% and luxury homes priced over $2,000,000 rose 5.6%.
Traditionally, low inventory levels significantly drive up prices, but this has not been the case on Chicago’s North Side. While year to date prices have risen 6.4%, they are lower than the Chicago suburbs and many cities across the country. Despite low inventory levels, buyers are still very price conscious and would rather wait for new homes to come on the market than over pay. Pricing must reflect the true value of the home.
BUYERS - Buyers are out there, although showings and open house attendance seem to have slowed in the past few weeks. Many buyers are looking for homes in “turnkey” condition. Updated kitchens, bathrooms, flooring and paint colors are very important, as many buyers do not want to do the updates themselves. Sellers should consider the R.O.I. of renovations before they list their homes.
GOING FORWARD - From the DNC, to rising crime, to the election, to the city’s fiscal woes, to migrant and poverty problems, the second half of 2024 should be quite a ride, so get ready for some fireworks.
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, we would welcome the opportunity to have a conversation about your real estate needs, goals and expectations.