Homes in Illinois sold at a rapid pace in September as inventory remained low and median price increases slowed, according to data from Illinois REALTORS®.
Homes sold in an average of 25 days statewide in September 2021, compared to averages of 24, 25 and 26 during the previous three months. In September 2020, homes sold in an average of 45 days statewide.
Statewide home sales (including single-family homes and condominiums) in September 2021 totaled 16,782 homes sold, down 6.7 percent from 17,988 in September 2020.
Although the statewide median price went up 6.0 percent in September 2021 when compared to September 2020, it was the third consecutive month that year-over-year percentages decreased. The trend began in July 2021, when the median price went up 12.4 percent when compared to the year before but was lower than the 22.7 percent increase in June 2021. And in August 2021, the median price rose 8.4 percent compared to August 2020. The median is a typical market price where half the homes sold for more and half sold for less.
The number of homes for sale declined to 31,049, a 27.8 percent drop compared to September 2020 when 43,025 homes were on the market.
“While fewer when compared to last year, the homes that were on the market last month were snapped up quickly,” says Ezekiel “Zeke” Morris, President of Illinois REALTORS® and designated managing broker of EXIT Strategy Realty/EMA Management on the South Side of Chicago. “Sellers throughout the state continue to benefit from multiple offer situations. It will remain a seller’s market until median prices level out more.”
According to the data, home sales in the Rockford MSA (Boone, Ogle, Stephenson and Winnebago counties) totaled 552 sales, a 3.4 percent increase while the median price rose 10.3 percent to $160,000. In the Metro East MSA (Clinton, Jersey, Madison, St. Clair and parts of Bond, Calhoun, Macoupin and Monroe counties) home sales totaled 975, a 0.6 percent increase. The median price decreased 1.1 percent to $164,000.
“Again, this month the market exhibits positive growth in prices with a decline in the number of sales,” said Dr. Daniel McMillen, head of the Stuart Handler Department of Real Estate at the University of Illinois at Chicago College of Business Administration. “While high prices are beginning to deter buyers and surveys suggest that people are not currently optimistic about the economy, consumers continue to feel that it is a good time to sell a home. Prices are expected to continue to increase through the rest of the year while the number of sales is expected to decrease.”
Last month, 11,653 homes (single-family and condominiums) were sold in the nine-county Chicago Metro Area, a 7.8 percent decrease from the 12,643 homes sold in September 2020.
In the Chicago Metro Area, the median home sale price in September 2021 was $290,000, an increase of 5.5 percent from $275,000 in September 2020.
In the city of Chicago, home sales (single-family and condominiums) in September 2021 totaled 2,611 homes sold, down 0.9 percent from September 2020 sales of 2,635 homes.
The median price of a home in Chicago in September 2021 was $320,000, down 0.7 percent compared to September 2020 when it was $322,350.
“The market feels like it’s starting to take a breath after a breakneck pace all year, which is great news for buyers,” Antje Gehrken, president of the Chicago Association of REALTORS® and president and designated managing broker of A.R.E. Partners, said. “The year-to-date data reflects how strong of a year it’s been for sellers thus far. Both positives for the months ahead!”
Sales and price information are generated by Multiple Listing Service closed sales reported by 23 participating Illinois REALTORS® local boards and associations including Midwest Real Estate Data LLC data as of Oct. 7, 2021, for the period Sept. 1 through Sept. 30, 2021. The Chicago Metro Area, as defined by the U.S. Census Bureau, includes the counties of Cook, DeKalb, DuPage, Grundy, Kane, Kendall, Lake, McHenry and Will.
Based on the Federal Home Loan Mortgage Corp. data, the monthly average commitment rate for a 30-year, fixed-rate mortgage was 2.90 percent in September 2021, an increase from 2.84 percent the previous month. The average was 2.89 percent in September 2020.