Home Sales plunged 20.9% in July 2016 vs 2015 in Lincoln Park, the Near North Side, Lakeview and North Center.
While Home Sales are only one of a number of comparables that should be analyzed in order to determine the health of a real estate market, the double digit drop was surprising. The decrease was spread among all price points
On a brighter note, inventory levels continue to drop and were 10.5% lower in July 2016 than in 2015.
There is, however, a significant discrepancy by price point, as inventories of homes priced under $500,000 decreased 26.8% while luxury homes priced over $1,000,000 rose 16.8%. Months Of Supply Of Inventory also shows that price points are going in different directions. The MSI of Homes priced under $500,000 dropped 28.5% to 2.5 MSI in July 2106 vs 2015, while the MSI of luxury homes rose 18.0% to 9.0 MSI. The traditional dividing line between a buyer’s market and a seller’s market is 6.0 MSI.
Median Prices in July 2016 were down slightly against last year and Average Days On The Market dropped 9.6%.