High demand and low inventory continue to define the suburban market

by Emily Mack

A new monthly report from the Mainstreet Organization of REALTORS® shows that home sales remain strong in the Chicagoland while high prices reflect the ongoing strain of low inventory.

During January, detached single-family homes spent 29.2% less time on the market than they did last year, according to the new statistics. Attached single-family homes also spent less time on the market, year over year, though the decrease was slightly smaller: 23.8%.

Suburbs which saw the biggest decreases in days spent on the market, for detached homes, were Green Oaks-Libertyville (down 79.0%), Gurnee (down 73.5%); Hainesville-Grayslake (down 72.2%), Buffalo Grove (down 71.0%) and South Holland (down 68.8%).

Prices also rose, with detached homes going for a median price of $309,300, 4.2% higher than the median price in January 2021. Attached homes experienced an even more significant year-over-year increase of 10.7%, rising to $194,000.

“Despite the limited supply of homes and buyer fatigue from this sellers’ market, people are determined to buy,” Mainstreet Board of Directors President John LeTourneau said in the report. “In many ways, it’s like the spring market started in March 2020 and never subsided.”

Mainstreet CEO John Gormley also provided comment on the future, remarking that
rising interest rates and inflation could likely shift the market in 2022. “Buyers’ desire for homes will remain strong, but interest rate changes and inflation will put a damper on how much home they can get for their money, and sellers may have to change what they are asking in response,” he said.

The data from Mainstreet is visualized below. You can also view the map interactively here.

© 2022 Mapbox © OpenStreetMap, via Mainstreet

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