The slowdown in the local housing market isn’t limited just to the city, with homeowners in a wide swath of suburbs facing challenges selling their homes.
Prices were down in half of the suburbs and the number of sales was down in two-thirds according to a Crain’s analysis of first-quarter sales data from 121 towns.
Only nine suburbs posted gains year over year in the first quarter in the three categories analyzed: number of sales, median sales price and time on market. Eighteen, meanwhile, came out losers in all three categories.
Brokers attributed the slowdown to a number of factors, including rising interest rates in the fall, which gave buyers pause and led to fewer closings in the winter.
A new Re/Max Chicagoland Housing Report this week showed home sales across the nine-county metro area fell in March by almost 10 percent year over year. The dip was even sharper in Chicago itself, where home sales dropped by more than 13 percent year over year.
Regional home inventory also skyrocketed last month.
Re/Max found about 4.4 months worth of supply available throughout the market, compared to 3.2 months worth one year earlier.
During The Real Deal’s State of the Market event Tuesday, a panel of Chicago brokers said they’re already bracing for the next recession, and the inevitable drop in selling activity that comes with it. [Crain’s] — John O’Brien