As states reopen, Chicago home sales jump in June

by Timothy Inklebarger

As states reopen, Chicago home sales jump in June

Home sales hit a near-record month-over-month increase of 37% in June for RE/MAX, while inventory was at a record low of under two months, the company said in a press release.

Sales were down just 6.9% from June 2019, with all 53 of RE/MAX’s metro markets posting monthly gains.

“June home sales snapped back in a major way,” RE/MAX Holdings CEO Adam Contos said in the press release. “With historically low interest rates, stabilizing unemployment and increased mobility tied to working remotely, buyer demand remains high in most areas of the country. We’re seeing positives in several leading indicators such as pending sales and mortgage applications.”

Contos added that inventory continues to be the industry’s biggest problem. “There’s also some potential in the idea that with changing workplace dynamics, underused commercial spaces could be transformed into residential properties. Creative solutions like that may provide some relief for inventory constraints as well as affordability issues.”

Inventory dropped 27.9% from June 2019, lowering the month’s supply to 1.9 from the previous report low of 2.7 set in May.

The median sale price was $275,000, up 1.9% year over year and up 0.8% from May. That makes it the lowest year-over-year price increase since December 2018.

Transactions were up 27.8% month over month in Atlanta in June to 9,897, but down 18.7% from the previous year.

Mike Opyd, broker/owner of RE/MAX NEXT, said the jump in June sales was due to “loosening restrictions.”

“Although we saw many buyers in the market during May, the inventory was far behind the demand. As the city opened up in June, so did sellers’ thoughts on listing,” he said in a written statement. “We witnessed a surge of properties hitting the market to level off the demand. This allowed more buyers opportunities to purchase properties instead of constantly being outbid as in May. Overall, the market in June was a slower one than we normally have witnessed in previous years.”

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