Renters in Chicago should expect an increase in their cost of rent in 2011. With more homeowners turning towards renting there is a shortage of rental housing to meet demand. According to a recent report in Crains Chicago Business rent hikes may be as much as 8% to 10%. Read more here.
While we don't cover the office real estate market, a recent news clip from Crain's Chicago Business caught my eye. Alter & Fifield are planning on building a 20 story building at 625 W. Adams which is across the street from Old Saint Pats church as well as the condo building known as "The Edge" at 210 S. DesPlaines. Read the full article here.
While there is no guarantee that this building will be built, prospective buyers and sellers at The Edge should definitely take into consideration how this new building could obstruct their city views.
Foreclosure activity in the Chicago market continues to grow. 1 in every 84 properties in the Chicagoland area received a foreclosure notice according to a report issued by RealtyTrac. 12,568 homes were repossessed by lenders in Chicagoland during the 3rd quarter, which ranks us 3rd behind Phoenix and Miami.
Read more about the latest foreclosure statistics here.
According to a recent article in Crain's Chicago Business:
"The Standard & Poor's/Case-Shiller index of Chicago-area single-family home prices rose 0.4% from July to August but was still down 2.9% from year-ago levels...An index of local condominium prices fell 2.0% from July to August and was down 7.3% from August 2009, according to Standard & Poor's."
Below are statistics that have been compiled to show the year over year volume of home transactions for some of the most active Chicagoland markets that we serve. As you can see, few areas experienced any growth as buyers and sellers struggle to determine equilibrium pricing.
City Q3 2010 Q3 2009
Edgewater 113 170
Hyde Park 39 77
Kenwood 32 31
Lakeview 305 432
Lincoln Park 320 236
Lincoln Square 80 128
Logan Square 141 184
Loop 207 166
Lower West Side 16 23
Near North Side 511 560
Near South Side 150 205
Near West Side 157 273
North Center 111 164
Rogers Park 89 136
Uptown 91 210
West Town 236 359
Suburbs Q3 2010 Q3 2009
Brookfield 35 60
Des Plaines 186 208
Evanston 225 284
Glenview 152 163
La Grange 45 52
Lincolnwood 47 39
Morton Grove 53 64
Niles 47 69
Park Ridge 85 113
Skokie 139 147
Wilmette 97 92
Winnetka 66 58
Data provided by MRED LLC
Do you want to know what this data means for you? Contact a Vranas Properties Account Executive to learn more.
They are all neighborhoods within the "West Town" community of Chicago.
Read all about these various neighborhoods in a recently published Chicago Tribune Article.
Interested in crime statistics, school rankings and demographics? Check out West Town's Community Intelligence page compiled by the Tribune.
Thinking about buying or selling a home in any of West Town's neighborhoods? Contact Vranas Properties today for a free initial consultation.
Check out the amazing prices at Club House Studios (1 E. Balbo) for a brand new apartment in Chicago's South Loop/Printers Row!
Starting at $700/month you will get modern amenities in a convenient location. Unending options for culture, restaurants & nightlife Steps away from the Harrison Red Line El train station. Short walking disance to Columbia, DePaul, Roosevelt, Robert Morris.
For more information or to schedule a showing call Nick at 312.461.9707.
Even though we are deep into a buyer's market, there are some good reasons for homeowners to sell now. From a recent article in the Chicago Tribune:
"1. You really need to sell. It could be a job transfer or it could be a need to have less house or a smaller mortgage payment at a lesser interest rate.
A homeowner who has been in a property more than five years, and who didn't tap into a large home equity line of credit or a cash-out refinancing, still has a chance of coming out ahead. Keep in mind that buyers in the market during the fourth quarter typically are serious buyers.
2. You want to trade up. It could be a bigger house, different neighborhood or a better school district, but it comes with a higher price tag. Do the math; this might be the right time
A home that was once worth $300,000 may now be worth $240,000 in a market where prices have fallen 20 percent. Wow, you think, the seller is taking a bath.
But that seller may also be a prospective buyer who wants a house that once was valued at $400,000. With an equivalent market drop and a realistic listing price, that house may now sell for $320,000. So, in effect, the person is losing $60,000 on the sale of one home but coming out ahead $20,000 on the purchase of another.
Keep in mind the spread may be even greater. There's a smaller pool of potential buyers for more expensive homes, so sellers may be more willing to cut their price to get a deal done.
3. You want to live in a worse-hit market. It depends on the debt load carried on the current residence, but if you've dreamed of moving to a "sunshine" state like Florida, Nevada, or California, your money will go far.
4. You're the new supply. There's an abundance of properties that have been sitting on the market six months or more, many of them with multiple price reductions. A home that has just come on the market, particularly if it's priced competitively, will get the attention of serious buyers tired of the existing inventory"