Emily Sachs Wong, Matt Laricy and Jeff Lowe ( ESW Chicago, The Laricy Team, Lowe Group Chicago, Getty Images)
Chicago’s top residential agents and brokers pulled in $2.72 billion of sales in the past year — and are making plans to deal with a market that’s finally tilting back toward buyers.
Jeff Lowe’s group at Compass topped TRD’s first residential broker ranking list, with $381.42 million. Lowe was followed by the Matt Laricy Team at Americorp, at $303.74 million and @properties Christies International Real Estate’s ESW Chicago group at $287.08 million.
While a hot sellers’ market created plenty of opportunities for agents and brokers, the limitations were clear. The high-rise condo market made up more than half of Laricy’s business, meaning he spent most of the pandemic facing a challenging market as Chicagoans fled for more space in the suburbs.
If anything, Laricy says a recession might provide stability for a downtown condo market that’s struggled as buyers seek more space in single-family homes. A weaker economy and layoffs could reduce employee leverage to work from home, boosting the market as workers tire of long commutes.
“It’s been the tale of two cities,” Laricy said.” You’ve got the single-single homes and the smaller buildings on the outskirts that have been performing, and you have the heart of the city, which has been underperforming.”
Chicago’s condo market has struggled as units sit on the market longer and sell for less than single-family homes. Many of Chicago’s highest-priced condos are still selling below asking prices. Even the record-setting penthouse at Trump Tower Chicago that sold for $20 million had originally asked for $10 million more.
On average, condos also spend more time on the market than detached single-family homes. In the first three months of the year, Chicago houses sold after an average of 61 days, compared with 99 for condos.
The list is the first of its kind by TRD in the Chicago market. The source is publicly available figures from MRED – Midwest Real Estate Data and information submitted by firms. It includes only closed transactions from June 16, 2021 to June 16, 2022. Deals include both buy side and sell side.
Neither Laricy nor Lowe are panicking about the state of the market, saying they expect the market to normalize and become less favorable for sellers.
Laricy compared concern about returning to offices to the aftermath of the 2008 recession, when some analysts worried that the U.S. would turn into a nation of renters – speculation that proved unfounded.
“Offices will exist, cities will exist,” Laricy said. “I think everyone you know will be back in an office in the next three to four years.”
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