Sales of Illinois single-family homes and condos dropped 6.1 percent in the second quarter compared to the same period last year, while home-price growth slowed to a more normal pace, the Illinois Association of Realtors reported today.
A total of 50,867 single-family homes and condos were sold statewide in the second quarter, down from 54,194 units sold in second-quarter 2005. The Illinois median home-sale price in the second quarter rose 3 percent to $208,000, up from $202,000 a year earlier.
“Mortgage interest rates continued to edge up in the second quarter and are the major factor in slowing down home sales from their record pace a year ago. But rates in fact remain at a very favorable level for home buyers, especially when you consider they reached 16 percent in the 1980s in Illinois and averaged 7.01 percent as recently as 2001,” said Stan Sieron, president of the Illinois Association of Realtors. “The Illinois housing market continues to benefit from strong job growth and solid home-price appreciation, and the market should experience a very moderate slowdown.”
The second-quarter interest rate for 30-year, fixed-rate mortgages averaged 6.69 percent in the North Central Region, according to the Federal Home Loan Mortgage Corp.
Sales gains were reported in 47 of 100 Illinois counties reporting in the second quarter; 55 counties reported an increase in median sales price for the same period, according to IAR.
Single-family home sales for the quarter were off 7 percent to 34,728 homes sold from 37,928 in second-quarter 2005. The median price of a single-family home during second-quarter 2006 was up 1.2 percent to $203,000, compared with $200,500 last year in the same period.
In the Chicagoland Primary Metropolitan Statistical Area (PMSA), sales of single-family homes were down 12.3 percent in the second quarter to 20,386, compared with 23,246 home sales in second-quarter 2005. The median price of single-family homes sold in the Chicagoland PMSA increased 5.1 percent to $278,500 in the second quarter, compared with $265,000 in the same period one year ago. The Chicagoland PMSA includes the counties of Cook, DeKalb, DuPage, Grundy, Kane, Kendall, Lake, McHenry and Will.
A sample of the counties in the Chicagoland PMSA that reported year-to-year price appreciation for single-family homes in the second quarter include Cook, up 3.8 percent to $275,000; DeKalb County, up 4.1 percent to $190,500; Kane, up 4 percent to $260,000; Kendall, up 5.5 percent to $270,000; Lake, up 5.8 percent to $308,900; McHenry up 6.1 percent to $260,000; and Will, up 3.8 percent to $244,000.
A sample of counties around the state that saw single-family median price increases includes Adams, up 7.5 percent to $86,000; Boone, up 8.4 percent to $181,500; Champaign, up 3 percent to $144,250; Madison, up 1.2 percent to $126,500; Peoria, up 4.7 percent to $111,000; Rock Island, up 1.6 percent to $94,500; St. Clair, up 3.9 percent to $135,000; Sangamon, up 3.5 percent to $119,000; and Tazewell, up 5.2 percent to $115,750.
The Illinois condominium market reported 16,139 units sold in the second quarter, 4.2 percent below 2005 figures of 16,849 units sold for the same period. The statewide median price for condos increased 4.9 percent to $214,000, compared with $204,000 in the second quarter of 2005.
The Chicago PMSA saw a 4.5 percent decrease in condominium sales in the second quarter of 2006 to 15,474 units sold, from 16,208 in 2005. For the Chicagoland area, the median condo price rose 4.8 percent in the second quarter to $218,000, compared with $208,000 in 2005.
Sales data is generated from a survey of 36 local Realtor associations throughout the state.
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