Chicago home sales declined while median prices increased slightly in November, as the market dealt with the one-two punch of a traditional seasonal slowdown and struggles with low inventory.
Chicago recorded 1,793 home sales last month, a year-over-year decline of 8.5 percent, according to data from the Illinois Association of Realtors. The median sales price in the city in November inched up 2.3 percent year over year, to $262,000 from $256,000.
“Prices are fairly stable,” said Tommy Choi, president of the Chicago Association of Realtors and broker at Keller Williams Chicago-Lincoln Park. “Market time is on par from last year and while inventory is still slightly down compared to last year, it’s evening out as well.”
Statewide, 11,608 homes sold in November, down 1.6 percent from the same time last year. The statewide median sale price in November was $190,000, up 2.7 percent year over year, according to the report.
Ed Neaves, Illinois Realtors president-elect and managing broker of Berkshire Hathaway HomeServices Snyder Real Estate in Bloomington, said the price growth occurred “against a backdrop of continued inventory contraction.”
Available inventory totaled 53,929 homes statewide, a 2.4 percent decline year over year. Inventory was at an 11-year low for single-family homes earlier this year.
“Prices continue to grow modestly, but the forecast for the next three months suggests a slowing trend,” said Geoffrey J.D. Hewings, director of the Regional Economics Applications Laboratory at the University of Illinois. “Consumer sentiment indicators suggest concerns about the short-term outlook with volatility in the stock market and rising interest rates dampening expectations.”