IAR: Chicago Sales Continue To Decline Year Over Year But Prices Edge Up
The Illinois Association of Realtors just released the September numbers.
Sales were down statewide and also for the Chicagoland area. From the press release:
The median home price for the Chicagoland Primary Metropolitan Statistical Area (PMSA) was $257,500 in September, up 5.1 percent from $245,000 in September 2006. The average home sale price for Chicagoland was $327,855, up 5.9 percent from $309,710 in September 2006. In the Chicagoland PMSA, home sales totaled 6,794 in September 2007, down 27.0 percent from 9,307 home sales in the same month last year.
Sales were down in August year over year as well.
But the IAR remains ever optimistic about the longterm market:
“Most Illinois homeowners are experiencing very healthy long-term gains in the value of their homes, and real estate remains the single best investment over the long term providing wealth accumulation especially for those who keep the home for a typical holding period of six to 10 years,” said REALTOR Kay Wirth, president of the Illinois Association of REALTORS. “Market basics are solid and with low mortgage interest rates, strong household formation and job creation—moving forward these factors should bode well for a recovery in the housing economy.”
The average price continues to inch higher meaning either that sellers continue to hold onto boom prices (hence why sales are down) and/or the higher end is selling more briskly than the lower end which pushes up the average sales price.
No talk in the press release about foreclosures or other distress among homeowners. Also no talk about when the “bottom” might be reached. But if you’re holding for the longterm, according to the IAR, it will be your “best investment.” They give no guidance about whether or not you should be buying right now.