A Spring Thaw Indeed!
Traditionally, Chicagoans could count on two springtime occurrences: an early April snowstorm and a ramp-up in real estate sales. The former came right on schedule this year, socking the Windy City with up to 5 inches of the fluffy white stuff. But the latter? Well, many Chicagoans weren't so sure. However a number of recent data points, including @properties' own sales figures, do indeed point to a spring thaw in the real estate market. And the news is as welcome as the season's first tulips peeking through the soil in Grant Park.
First comes word from the National Association of Realtors® that pending home sales rose 2.1 percent between January and February. The leading indicator is a sign that sales activity is due to pick up in the coming months. Contributing to this theory is another NAR report from late March that shows housing affordability at its highest level EVER. According to NAR, "The Housing Affordability Index shows that the relationship between home prices, mortgage interest rates and family income is the most favorable since tracking began in 1970."
Yes, it is literally the best time to buy a home in 40 years.
At least that's the view from 30,000 feet. But what's happening on the ground? At @properties, we've been experiencing a steady increase in web traffic, showings and most importantly sales. In fact, sales have increased week by week throughout the spring, climbing from $14.8 million for the last week of February to $29.8 million for the last week of March.
In addition, first-time buyers seem to be warming up to the $8,000 federal tax credit, which requires that a home purchase be made within the next seven and a half months — by Nov. 30. According to the National Association of Home Builders, 1.5 million visitors logged onto the government web site (http://www.federalhousingtaxcredit.com) between February and March.
Yes, it's springtime in Chicago, and after a long, long winter, things are finally beginning to heat up. For more information about today's real estate market or any other questions on buying or selling a home, please contact me anytime.
(@properties April 2009 Newsletter)
Dave Straub 773.255.3180
