What’s Hot And What’s Not In Chicago Real Estate?

By Author: Law Offices of Marc J. Blumenthal, Ltd.
Total Articles: 1
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Stability in the Market
Despite concerns over a possible recession and crime in the area, the Chicago housing market remains stable. With a population of over 2.7 million residents, a diverse economy, and a steady tourism stream, the area has historically been one of the most favorable real estate investment destinations; a trend predicted to continue. According to Chicago Magazine, buyers are incentivized by low mortgage rates and ample inventory.

Hot: Mid-Priced and Midsized Homes
Demand for mid-priced and midsized homes remains high, a trend expected to continue moving into 2020. The standing inventory of homes priced under $325,000 and of less than 3,000 square feet remains on the healthy side; boasting enough to feed approximately three months of sales given the market’s current pace.

Not: Larger, More Expensive Residences
The sale of larger, more expensive homes has slowed. Homes priced at over $325,000 are currently averaging more than 100 days on the market before selling. The standing inventory of homes priced over $325,000 is twice that of lower-priced homes. Likewise, the inventory ...
... of homes at more than 3,000 square feet are backlogged and taking as many as eight months to sell.

Hot: Million-Dollar West Loop Condos
Those looking for higher-end properties are increasingly investing in the condominium developments along formerly dilapidated areas along the West Loop. Selling for $1 million and up, the purchase of these properties has largely replaced those of other, larger properties.

Not: Short-term Rental Property Investments
Chicago is one of many cities to implement laws regulating short-term home rentals, which may lead to fewer people investing in properties in the area for that purpose. A recently established city ordinance makes long-distance real estate investment unfeasible.

Hot: The Suburbs
More and more millennial buyers are choosing to start households in the Chicago suburbs, boosting the housing market in the five outer-ring suburbs areas. Sales of homes in the Chicago suburbs priced at between $250,000 and $300,000 are up 15% as compared to last year. Experts suggest purchasing in these areas will remain a sensible investment choice for buyers going into 2020.

Law Offices of Marc J. Blumenthal, Ltd.