IL: Definite Housing Glut
This week, the Illinois Association of Realtors released data that shows the real estate slow down is deepening in Illinois. In the Chicago metropolitan area, single-family homes are selling at a pace 18.6 percent slower than last year, and 3 percent slower than in June. Nationwide, single-family sales were off about 11 percent from July 2005. The report also showed approximately 95,000 homes for sale in the Multiple Listing Service of Northern Illinois, up from 68,000 a year earlier.
Prices are being driven downward from the slowdown in sales as well. Local realtors believe median sales prices are dropping because buyer interest in higher-priced homes has declined significantly. At least for the foreseeable future, the days of 10% appreciation rates will remain a mere fond memory.