Although the weather was somewhat less desirable, the end of 2017 proved stronger for Chicago real estate than the end of 2016. Home sales rose 1.7 percent year-over-year in December. Chicago home price gains were even more dramatic, up 2.9 percent year-over-year to a median $267,500 (Illinois REALTORS®).
However, in terms of inventory – an ever-present concern for aspiring homeowners – sellers were far less lively this past December than they were in 2016. The number of homes for sale in Chicago dropped 10.5 percent year-over-year. Meanwhile, time on the market remained flat at 48 days.
Because December was the last month of the year, we can also see how the entire 12-month period performed compared to 2016. First, Chicago home sales rose 1.8 percent – from 28,104 total in 2016 to 28,621 total in 2017. The year-end median sales price in Chicago was $285,000, up a whopping 4.8 percent compared to 2016. Time on the market was significantly less (down 8.9 percent) in 2017 compared to 2016.
All things considered, it’s evident that 2017 was a more competitive year for homebuyers in Chicago.
Month-to-month changes by neighborhood
Compared to November, December condo sales fell in River North, South Loop, Lakeview and Logan Square. But in West Loop, Lincoln Park, the Loop, Avondale, Wicker Park/West Town, December was stronger than November. North Center saw the same number of closed sales (25) in both months.
The median condo price rose in nearly every major downtown Chicago neighborhood except for West Loop (down 9.8 percent) and North Center (down 2.3 percent). Lincoln Park and Logan Square condo prices rose drastically – up nearly 20 percent ($115,000) and 21.2 percent ($99,375), respectively.
Unsurprisingly, there were far fewer new listings closer to the holidays. The number of new listings in River North/Gold Coast/Old Town dropped 37 percent – 284 in November compared to 178 in December. New West Loop condos for sale also tapered off by 40 percent during the same two-month period.
Chicago condo prices – 2017 vs. 2016
West Loop condos were a hot topic in 2017 – and rightfully so. With the new McDonald’s corporate headquarters nearing completion and countless construction projects proposed, the West Loop continued its unprecedented demand and development boom. Over the course of the year, West Loop condos held a median price of $367,500, which is 8.6 percent more expensive than in 2016. And, the number of condos sold in the West Loop rose 5.2 percent compared to the year prior.
Lincoln Park condos had a similarly strong run in 2017. The median sales price was 8.4 percent higher than it was in 2016. Additionally, closed sales for Lincoln Park condos rose 5.1 percent.
West Town/Wicker Park condo sales rose 3.6 percent in 2017, while prices jumped 5.9 percent to a median $450,000.
But, condos in the Loop did not perform as well this past year. The median sales price ($340,000 in 2017) and closed sales for the year both dropped 2.7 percent.
River North’s median condo price also dropped 1.2 percent to $405,000, but closed condo sales jumped 3.2 percent. The South Loop condo market had the opposite problem – a higher median sales price ($375,000, up 3.8 percent), but fewer closed sales (down 5.8 percent).
