Leslie_worksamples

KEY OBSERVATIONS
2012 yielded the best price versus the costs of rent in history. rents have
skyrocketed, making the prospect of home buying more attractive. Chicago
has one of the most affordable housing inventories in the nation, compared
to people’s income. a highlight of 2012 was the reduction of inventory.
we are finally feeling the lack of new construction and the absorption
of excess inventory. Multiple bid situations and very low market times
on appropriately priced homes in desirable neighborhoods were the key
indicators.
32 460 # 10
SWEET HOME CHICAGO
Chicagoland is home to an impressive 32
Fortune 500 companies.
Source: CityofChicago.org
GROSS DOMESTIC PRODUCT
Chicago ranks 4th worldwide among cities
with the largest Gross Domestic Product.
ENTREPRENEURIAL HOTSPOTS
Chicago is #10 in the world’s entrepreneurial
hot spots in startup activity; providing a vital
component of job creation and venture capital
funding. Source: Crain’s Chicago Business 11.23.2012
Over $1 Billion in Volume for 2012
as tabulated internally as of December 31, 2012, utilizing a standardized accounting system. the stated volume represents all transactions at all Jameson real estate LLC offices, and includes residential transactions as well as commercial.
35,000
8.5
30,000
25,000
20,000
15,000
10,000
5,000
0
‘94 ‘96 ‘98 ‘00 ‘02 ‘04 ‘06 ‘08 ‘10 ‘12
Metropolitan Area
Includes 10 counties in
IL & Kenosha Co, Wi
Suburbs
Chicago
3,445
2,859
586
LUXURY LISTINGS
Chicago offers buyers incredible luxury real
estate. 461 West Superior in River North sold
for $8,545,000 in 2012.
NEW CONSTRUCTION SALES
Local new home sales rose 18% in 2012, the first increase since 2005.
Source: ChicagoRealEstateDaily.com
2012
RESIDENTIAL
YEAR IN REVIEW
A stable Chicago market has 4 months of inventory; a sellers’ market less than that and a buyers’
market has more. By the end of 2012 we had 3.4 months of inventory which created a
strong seller market. This number is down 73% from 2011. Concurrently, prices are still down
approximately 35% from their peak in 2006, so this creates a strong value for buyers.
Inventory levels have been shrinking rapidly; including the “shadow market” (these are the
properties that are in distress and will most likely have to be sold). Investors have been
gobbling these properties up either one at a time or buying large packages from major
national banks.
The lack of inventory in the market, both locally and nationally, is helping to push home prices
back up. Most U.S. major cities have already experienced fairly strong Real Estate rebounds.
Chicago is lagging behind this trend, but we see the same factors in our market that created
these increases in other cities. Some neighborhoods, such as Lincoln Park and River North, did
experience price increases in 2012.
A much larger group of sellers have had enough time to accept the current market value of
their home, which is down considerably. Banks have gotten more efficient with their ever
changing requirements for loans. Realtors ® have had enough experience with this “new
market” to help buyers and sellers navigate the negotiations and closing of a sale.
The spring market in 2013 seems to have arrived early in Chicago. Our January sales numbers
are up 21% from 2012. Jameson Real Estate had an increase in transaction volume of 55%
from 2011, which pushed us just above $1 Billion for the year in residential and commercial
transactions.
2012 at a Glance: Chicago
Year-end 2012 home sales in the city of Chicago totaled 22,333, up 22.4 REALTORS ® are encouraged by positive trends across the Chicago market.
percent from 2011 home sales. The year-end median home sale price in The trends continue statewide; Illinois home sales increased 30.6 percent
Chicago was $185,000, up 5.7 percent from 2011. Year-end 2012 home over previous-year levels in November and median prices increased 7.7
sales totaled 90,365 in the greater nine-county Chicago metro region, up percent, according to the Illinois Association of Realtors ® . Additionally, a
26.7 percent from 2011. Looking specifically at the city’s condo market, decrease in days-on-the-market for Chicago homes signals greater
November 2012 enjoyed a sales increase of 36.2 percent to 1,047 units confidence among buyers who are picking up attractively priced homes
sold, compared to November 2011.The year-end 2012 median home while they still can. Looking ahead to 2013, we see promise for industry’s
sale price in the region reached $160,000, down 1.5 percent from 2011. progress toward recovery. Source: Chicago Association of Realtors ®
SHRINKING INVENTORY:
CHICAGO HOMES
The number of Chicago homes for
sale shrunk by 20.9% from 2010 to
2011. Between 2011 and 2012, the
number shrunk by 42.4%.
Source: Chicago Association of Realtors ®
2012 2011 2010
5,000 10,000 15,000
16
CLOSED SALES
The one year change in Closed Sales for all
properties is up 16%.
Source: Chicago Association of Realtors ®
19.4
MEDIAN SALES PRICE
Over the past year Median Sales Price for all
properties is up 19.4%.
Source: Chicago Association of Realtors ®
MONTH
AVERAGE TIME ON MARKET
In 2012, the average time a residential property spent on the market went from 161 days to 136
days for a total shift of -15.1%
Source: Chicago Association of Realtors®
ChiC agO O ffiC e
312.751.0300
evanstO n O ffiC e
847.869.7300
winnetka O ffiC e
847.716.5152
Chris feurer, CeO
JAMESON SOTHEBY’S INTERNATIONAL REALTY
425 w nO rth avenue
C hiC agO i L, 60610
2934 C entraL street
evanstO n iL , 60201
586 L inCOLn avenue
winnetka i L, 60093
Jameson Sotheby’s International Realty
2012 Annual Report. Click here for the 2012 Report.