Illinois homebuyers surged into the market in July, lifting home sales back into positive territory while sellers saw strengthening median prices, data from Illinois REALTORS® show.
Statewide home sales (including single-family homes and condominiums) in July totaled 16,357 homes sold, up 0.3 percent from 16,310 in July 2018.
The statewide median price in July was $219,348, up 2.6 percent from July 2018, when the median price was $213,825. The median is a typical market price where half the homes sold for more and half sold for less.
“The warm-weather selling season appears to be ending with a flourish as sales picked up statewide from what we saw in June,” said Ed Neaves, president-elect of Illinois REALTORS® and managing broker of Berkshire Hathaway HomeServices Snyder Real Estate in Bloomington. “Consumers are well positioned in this more balanced market where buyers still stand to reap modest gains, and sellers benefit from more stable pricing. Plus, interest rates continue to be attractive, making it easier for the on-the-fence buyer to justify looking for a home.”
The time it took to sell a home in July averaged 43 days, down 2.3 percent from a year ago. Available inventory totaled 59,600 homes for sale, a 4.2 percent decline from 62,218 homes in July 2018.
According to the data, home sales in the Carbondale-Marion MSA (Jackson and Williamson counties) totaled 135 units, a 1.5 percent increase while the median price was up 11.8 percent to $123,000; home sales in the Metro East MSA (Bond, Calhoun, Clinton, Jersey, Macoupin, Madison, Monroe and St. Clair counties) totaled 885, a 9.5 percent increase while the median price increased 9.2 percent to $155,000.
The monthly average commitment rate for a 30-year, fixed-rate mortgage was 3.77 percent in
July, a decrease from 3.80 percent the previous month, according to the Federal Home Loan Mortgage Corp. In July 2018, it averaged 4.53 percent.
In the nine-county Chicago Metro Area, home sales (single-family and condominiums) in July totaled 11,697, up 0.2 percent from July 2018 sales of 11,672 homes. The median price in July was $259,000 in the Chicago Metro Area, an increase of 3.5 percent from $250,151 in July 2018.
“The gyrations in the stock market and the constant discussion about the possibility of a recession are likely to affect consumer confidence in the months ahead,” said Geoffrey J.D. Hewings, director of the Regional Economics Applications Laboratory at the University of Illinois. “Low interest rates and only modest price increases would normally be expected to boost sales, but there appears to be hesitation stemming from limited supply and the market turmoil.”
According to the data, forty-eight (48) Illinois counties reported sales gains for July over previous-year numbers, including Madison County, up 23.5 percent with 400 units sold; and Sangamon County, up 11.3 percent with 295 units sold. Fifty-nine (59) counties showed year-over-year median price increases including St. Clair County, up 15.3 percent to $168,000; and Cook County, up 1.9 percent to $265,000.
The city of Chicago saw year-over-year home sales decrease 5.3 percent with 2,655 sales in July, compared to 2,803 a year ago. The median price of a home in the city of Chicago in July was $306,250 up 0.4 percent compared to July 2018 when it was $305,000.
“The same trends we’ve been seeing in the market lately continue to persist,” said Tommy Choi, president of the Chicago Association of REALTORS® and broker at Keller Williams Chicago – Lincoln Park. “The market is in a stabilizing period. Days on the market remain low and prices are steady, so inventory is moving and demand is there. We expect this to continue, particularly on the heels of the Federal Reserve’s rate cut.”
Sales and price information are generated by Multiple Listing Service closed sales reported by 27 participating Illinois REALTOR® local boards and associations including Midwest Real Estate Data LLC data as of Aug. 7, 2019 for the period July 1 through July 31, 2019. The Chicago Metro Area, as defined by the U.S. Census Bureau, includes the counties of Cook, DeKalb, DuPage, Grundy, Kane, Kendall, Lake, McHenry and Will.
Illinois REALTORS® is a voluntary trade association whose more than 50,000 members are engaged in all facets of the real estate industry. In addition to serving the professional needs of its members, Illinois REALTORS® works to protect the rights of private property owners in the state by recommending and promoting legislation to safeguard and advance the interest of real property ownership.
Find Illinois housing stats, data, the University of Illinois REAL forecast and more at https://www.illinoisrealtors.org/marketstats.