June 2019 North Side Market Analysis

OVERVIEW

18 consecutive months of home sales DECREASES aNd inventory increases Have DRAMATICALLY changed the real estate market on the North Side.

The post recession seller’s market has rapidly become more buyer friendly and we now find ourselves very close to a balanced market.

The Months Of Supply Of Inventory in the analysis below shows that we are getting closer to the 6.0 mark which is generally acknowledged to be the dividing line between a buyer’s and seller’s market. The current 5.7 MSI represents a 96% increase over the 2.9 MSI in January 2014. This of course can vary by neighborhood, price point and property type.

Buyers and Sellers need to be aware of these changes if they are going to successfully navigate the current market.

Sellers should understand that there is significantly more competition for home sales than a year ago, as inventories continue to rise. Competitive pricing and enhanced home presentation on both the internet and in person are the keys to a successful sale. It is also crucial that the home be available when buyers request showings.

Buyers should understand while there are a lot of overpriced homes that have accumulated significant market time, many new competitively priced listings are selling quickly. Lincoln Park town homes are an example of properties that are still performing at a very high level and as a result, buyers cannot get complacent.


HOME SALES

May 2019 vs 2018 - Cumulative Home Sales - Down 9.3%

By Neighborhood

NEAR NORTH - Down 4.2%

LINCOLN PARK -Down 12.0%

LAKEVIEW - Down 21.9%

NORTH CENTER - Up 28.0%

By Price Point :

Over $1,000,000 - Down 6.3%

$500,000 to $1,000,000 - Down 12.3%

Under $500,000 - Down 8.3%


HOMES UNDER CONTRACT

May 2019 vs 2018 - Cumulative Homes Under Contract - Down 4.6%

By Neighborhood

NEAR NORTH - Down 10.9%

LINCOLN PARK - Up 11.9%

LAKEVIEW - Down 8.7%

NORTH CENTER - Down 5.7%

By Price Point :

Over $1,000,000 - Down 18.5%

$500,000 to $1,000,000 - Down 18.5%

Under $500,000 - Down 6.5%

Noteworthy : Most home sales that closed in May went under contract in a previous month. Units Under Contract can reflect a more accurate picture of the current month, although not every home that goes under contract closes.  


HOMES FOR SALE

May 2019 vs 2018 - Cumulative Homes For Sale - Up 11.1%

By Neighborhood

NEAR NORTH - Up 8.5%

LINCOLN PARK -Up 15.3%

LAKEVIEW - Up 21.0%

NORTH CENTER - Down 6.5%

By Price Point :

Over $1,000,000 - Down 0.7%

$500,000 to $1,000,000 - Up 15.6%

Under $500,000 - Up 17.3%


MONTHS OF SUPPLY OF INVENTORY

May 2019 vs 2018 - Cumulative MSI - Up 18.8% to 5.7 MSI

By Neighborhood

NEAR NORTH - Up 25.8% to 7.8 MSI

LINCOLN PARK -Up 23.9% to 5.7 MSI

LAKEVIEW - Up 30.6% to 4.7 MSI

NORTH CENTER - Down 6.3% to 4.5 MSI

By Price Point :

Over $1,000,000 - Up 8.5% to 10.2 MSI

$500,000 to $1,000,000 - Down 5.8% to 4.8 MSI

Under $500,000 - Up 30.3% to 4.3 MSI

Noteworthy : Traditionally, MSI over 6.0 designates a buyer’s market and under 6.0 a seller’s market. 


MEDIAN PRICING

May 2019 vs 2018 - Cumulative Median Prices - Down 0.7%

By Neighborhood

NEAR NORTH - Down 3.6%

LINCOLN PARK -Up 14.6%

LAKEVIEW - Down 2.7%

NORTH CENTER - Down 11.2%

By Price Point :

Over $1,000,000 - Down 3.1%

$500,000 to $1,000,000 - Up 1.7%

Under $500,000 - Up 0.4%




DAYS ON THE MARKET

May 2019 vs 2018 - Cumulative Market Time - Up 12.8%

By Neighborhood

NEAR NORTH - Up 32.2%

LINCOLN PARK - Up 1.4%

LAKEVIEW - Up 41.5%

NORTH CENTER - Down 11.5%

By Price Point :

Over $1,000,000 - Up 33.6%

$500,000 to $1,000,000 - Up 15.4%

Under $500,000 - Up 4.5%


YOUR HOME

A logical question would be “how does all of this 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.

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 you home’s value, use algorithms that are often wildly inaccurate, as are many market analyses from real estate agents that have not taken the time to personally tour the home.

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.