By Peter Ricci
June was a great month in real estate for the nine-county Chicago Primary Metropolitan Statistical Area, with sales rising 22.4 percent year-over-year and median price increasing 1.7 percent, the second month in a row for positive prices in the area.
Specifically, the city of Chicago also had a strong month, with June sales up 22.0 percent year-0ver-year, median price up 4.7 percent and total units sold year-to-date in 2012 up 16.8 percent from the same period in 2011.
Zeke Morris, the president of the Chicago Association of Realtors, said interest rates and sellers are the source for June’s positive numbers.
“Compelling interest rates and motivated sellers are helping move the market,” Morris said. “With both affordable and high-end properties attracting offers across the spectrum, we are seeing more buyers come off the fence and make decisions today about their investment in homeownership. We will continue to monitor closely the impact of distressed properties as well as continue to service our clients in the return of multiple offers in home buying.”
Statewide, sales were also positive:
- Illinois home sales in June were 18 percent above last year’s totals.
- Counting single-family homes and condominiums, 13,111 homes were sold in June, the best June for Illinois since 2010.
- Like Chicago, median prices rose in the state, increasing by 3.3 percent; it was the fourth straight month of median price increases for Illinois.
- Apropos to Morris’ comments, the average interest rate for 30-year FRM was way down from May to June, falling from 3.83 percent to 3.67 percent.
- Overall, 57 of Illinois’ 101 counties showed year-over-year home sales increases in June 2012, and 53 showed median price increases, with Cook County’s prices rising 1.1 percent and DuPage’s by 3.1 percent.
Loretta Alonzo, the Illinois Association of Realtors president, also mentioned the important of interest rates on buyer behavior.
“The combination of low prices and even lower interest rates in June far outweighed any lingering concerns on the part of prospective homebuyers about the broader economy,” Alonzo said.. “This year’s spring selling season clearly marked a promising turn in the housing market in Illinois.”