The Chicago real estate market appears to be moving at its natural seasonal pace, with prices dipping in October from the month prior. However, home prices in Chicago were higher this October compared to last, indicating that demand for Chicago real estate is still relatively strong in 2019.
Chicago’s median overall home price reached $275,000 in October, an increase of 1.5% from last year. For condominiums, prices are up even higher – 7.5% year-over-year – and cost a median $317,000 in October.
Chicago home sales may have been down 2.2% compared to a year ago, but October still had more 3.4% more sales than September. Typically, the market tends to slow down closer to winter, but demand clearly picked up in mid-September which caused an uptick in October closings. For reference, the average time to close on a home is 30 to 45 days, usually dependent on the type of financing on the buyer’s end and what contingencies need to be met before loan approval.
Although prices and sales are still holding steady, if not increasing, the current market does require a bit more patience on the seller’s end than what we have become accustomed to in recent years. The average time to sell a home in Chicago last month hit 49 days compared to 41 days in September and 43 days last October.
Which Chicago neighborhoods have the most expensive residential real estate?
Right now, the most expensive neighborhood in Chicago for homebuyers, in general, is Lincoln Park with a median price of $623,750 based on homes sold in October. Number two is West Town and Wicker Park with a median price of $537,000, followed by Logan Square and Bucktown at a median price of $500,000.
The most expensive neighborhood to buy a condo in Chicago specifically is West Town and Wicker Park with a median price of $514,500. The next most expensive neighborhoods in Chicago for condos are Lincoln Park and River North at $479,000 and $435,000, respectively.
Exactly half of the downtown neighborhood ZIPs are less expensive compared to a year ago, while half are more expensive. The former includes home prices in River North (up 7.6%), Gold Coast (up 22.4%), Lincoln Park (up 16%), Logan Square/Bucktown (up 12.4%) and Wicker Park/West Town (up 12.6%).
On the other hand, homes for sale in West Loop (down 13.1%), the Loop (down 4.3%), South Loop (down 12.2%), Old Town (down 4.7%), Lakeview (down 1.8%), and Avondale (down 14.2%) are less expensive than last year based on October sales.
Where are the most homes selling in Chicago?
Lincoln Park had the most home sales in October (98), while Gold Coast/Streeterville (86) and Avondale/North Center (85) rounded out the top three. The most condo sales occurred in Gold Coast/Streeterville (86), then Lincoln Park (71) and, finally, a tie between Old Town and West Town/Wicker Park (55 each). It’s worth noting that Gold Coast/Streeterville’s market activity last month was entirely based on condo sales, whereas Lincoln Park had 27 sales that weren’t condo specific – i.e., single-family homes, townhomes, or multifamily sales.
The number of closed sales can ultimately be swayed by the geographical size of the neighborhood and the density of homes – i.e. a neighborhood of high-rise condos will have far more inventory compared to a neighborhood of single-family homes because there are more homes per lot in a high-rise landscape.
To better gauge each individual neighborhood’s market health, consider their sales activity this October compared to last. River North, Gold Coast/Streeterville, Logan Square/Bucktown, West Town/Wicker Park, and Avondale/North Center all had more sales this October than last October. River North (up 32.4%), Gold Coast (21.1%) and Avondale (up 19.7%) saw the biggest increase in monthly sales.
Meanwhile, sales in the Loop, West Loop, South Loop, Old Town, Lincoln Park, and Lakeview fell year-over-year. Old Town (down 18.1%), Lakeview (down 17.6%) and West Loop (down 17.2%) saw the biggest drop in monthly sales.
How long does it take to sell a home in Chicago right now?
Last month, homes of all types sold fastest in Logan Square and Bucktown with a median market time of 28 days. Homes also sold relatively swiftly in Avondale at 41 days and Old Town at 47 days.
That being said, homes don’t go under contract nearly as quickly as they used to. In almost every downtown neighborhood, homes took longer to sell this October compared to last. Some of the biggest increases in market time occurred in Lincoln Park (up 137.8%), West Town/Wicker Park (up 103.1%) and South Loop (up 95.7%).
Meanwhile, homes sold faster this October in Old Town only – market time was down 17.5% compared to a year ago. Logan Square’s market time remained flat year-over-year.