Naperville Home Sales Report – July 2011

Naperville Single Family Home Sales Report July 2011

We are finally seeing it – the end of effect of the homebuyer tax credit.  According to Dr. Geoffrey J.D. Hewings, director of the Regional Economics Applications Laboratory (REAL) of the University of Illinois, “The forecasts indicate that the housing market will reach its 2011 annual peak in July. Comparing the housing market in 2011 with 2010, the sales volume in the third quarter of 2011 is expected to surpass the third quarter of 2010 by 30 percent. This means the effect of the homebuyer tax credit will finally fade out in Illinois starting July 2011; some of the increase in the annual sales can be attributed to the significant decline that took place in 2010 when the effect of the withdrawal of the housing credit resulted in a sharp drop in housing sales for several months in a row.”  The above quotation is taken from last months housing report from the Illinois Association of Realtors and predicted an increase in activity for 2011. And, here are the numbers*…

*Source of above – MRED – Midwest Real Estate Data through July 2011.

As you can see,  Homes Sold increased by 21% to 115 units: Under Contract jumped to 110 units, an increase of 19.6%. Units Sold dropped by almost 8%. Inventory levels continue to come down, almost to a balanced market point (6 months inventory is considered a balanced market). That is the good news.

On the flip side, we are continuing to see downward pressure on pricing. Median Sold prices dropped 14.3% from the same period a year ago to $388,000. Meanwhile, Median For Sale prices remained about the same at $445,000. What this points to, in our opinion, is seller expectations of value are still higher than the market realities.

The above statistics are for single family homes in Naperville, non-bank owned. The same information is available for Lisle, Aurora, Plainfield and Oswego. Give us a call at 630-718-2305 or drop us an email with your request. Additionally, you may have reports emailed directly to you for the zip code area you want to explore.

Naperville Home Sales Activity Report June 2011

Naperville Foreclosure Report – June 2011

The foreclosure market in Naperville, especially for single family homes, continues to be tight. While we continue to hear reports of large numbers of new properties coming to the market, as of yet we are not seeing it, at least hear in Naperville.

In comparison to June 2010, activity is increasing with a smaller inventory base to chose from. Solds increased year over year by 25% – from 12 to 15. Under Contract doubled from 10 to 20. And properties For Sale dropped 19% from 152 to 123.

Here is a quick look at the numbers:

You can see that we have had a dramatic reduction in Months Supply of Inventory. A year ago it was almost 13 months. June 2011 it was down to 4.1 months. A balanced market, favoring neither buyer or sellers is considered to be six months. At the current rate, the market has tilted towards the banks. Properties they are bringing on the market are priced to sell and are moving quickly.

If you are an investor or buyer looking for a foreclosed home in Naperville, be prepared to act quickly. These properties are not staying on the market long.

If you want more detailed information or would like to discuss opportunities, please give me a call @ 630.542.7732. Want to see what is available in the foreclosure market? Sign up for our FREE Foreclosure Report.

Naperville Homes Sales Report for May 2011

Non Bank Owned Home Sales for Naperville – May 2011

This month’s numbers for homes sold in Naperville in May 2011 (non-bank owned) need to be looked at in light of what was happening in the marketplace a year ago. The federal tax cut for first time buyers expired on April 30, 2010. Since the effect of the tax cut was to pull sales forward in order to qualify, we naturally expect to see an impact on year over year numbers for the time period.

Homes Sold are down from 107 to 82. Remember, sold are those properties that closed during the period. We would expect this to be higher given the closings on last years incentive purchases. Homes Under Contract, on the other hand, are up 37.5% to 132 units. Again, May 2010 we saw a lull in the market due to the tax effect. Homes For Sale are down slightly from 1108 to 1028. This reflects the increased purchasing we are seeing in single family homes in Naperville.

Here is a summary look at the numbers.

Months Supply of Inventory continues to improve. For our purposes here we compare the number of homes For Sale to homes Under Contract. A balanced market, favoring neither buyers or sellers, is considered 6 months supply. A year ago, it was 11.5 mos. May of 2011, it is down to 7.8 months. This trend has continued since early this year when if February, it was at 11+ months. Inventory is shrinking and sales are increasing, a trend that bodes well for single family home sales in Naperville.

If you want more detailed information or would like to discuss opportunities in this market, please give me a call @ 630.542.7732. If you want to see available homes in the Naperville market, just click.

Naperville Home Sales Activity Report April 2011

Naperville Foreclosure Report – April 2011

The available pool of foreclosed homes in Naperville continues to shrink. Many industry observers are predicting a significant increase in the number of properties available in the coming months. For now, we continue to look at what is now available and what is moving.

In comparison to April 2010, activity is up. Properties Sold are up 64.3%, from 14 to 23. Properties Under Contract jumped from 17 to 24, an increase of 41.2%. An interesting comparison is that while Sold totals rose for the 3rd consecutive month, Under Contract dropped to a 3 month low. And properties For Sale? They dropped from 146 to 102, down 30.1%.

Here is a quick look at the numbers:

Again this month the MSI (Months Supply of Inventory) dropped. A balanced market, favoring neither buyers or sellers is 6 months. At 2.1 months, demand clearly is swinging towards sellers (banks). If you are an investor or buyer looking for a foreclosed home in Naperville, be prepared to act quickly. These properties are not staying on the market long.

If you want more detailed information or would like to discuss opportunities, please give me a call @ 630.542.7732. Want to see what is available in the foreclosure market? Sign up for our Foreclosure Report.

Next Up – Naperville Single Family Homes – Non Bank Owned

Naperville Home Sales Activity Report March 2011

Naperville Foreclosure March 2011 vs March 2010

This is an extremely active market segment and the pace is picking up! Home Sold in this segment increased by 57% over same period one year ago and Homes Under Contract jumped 100%.  Foreclosed homes for sale? These are also increases from February 2011 activity. They dropped by 74%. The table below shows these accelerating trends.

Most telling is the continued drop in MSI (Months Supply of Inventory). March dropped to 2.1 months from 8.1 a year ago. Remember, a MSI of 6 indicates a balanced market – under 6 favors sellers. If you are an investor in Naperville or a buyer looking for a Foreclosed home, be prepared to act quickly when the properties hit the market. They are not lasting long!

If you want more detailed information or would like to discuss opportunities, please give me a call @ 630.542.7732. Want to see what is available in the foreclosure market? Sign up for our Foreclosure Report.

Next Up – Naperville Single Family Homes – Non Bank Owned

Naperville Foreclosure Activity February 2011 – Condo & Townhome

Naperville Foreclosure Activity Report

Last post we looked at Naperville Single Family activity for February 2011 vs the same period this year.  This post we will address bank owned (REO) Naperville, condo and townhome, February 2011 vs February 2010. Again, our goal is to be able to see the trends in each market segment and what, if any, impact one segment has on the other.

Naperville Condo & Townhome Sales February 2011 vs February 2010

February in this segment was mixed compared to the same period a year ago.

• Units Sold were down sharply from 12 to 5. Remember that a year ago the tax credit for first time buyers was in full swing and condos or townhomes are the market entry point for most.
• Homes that went Under Contract were up from 11 to 13 or 18.2%.  Of the total number of units that went under contract during the month, 41% were bank owned. This measure is up considerably from the 34.5%  a year ago.
• And homes for sale? This measure dropped, same month vs same month,  by almost 17% to 90. Approximately 19% of the homes for sale are bank owned.

Months Supply of Inventory (MSI) has dropped to 5.5. Over all for this segment in Naperville, MSI is at 13 months. A neutral market, one that favors neither buyer or seller, is generally considered to be at 6 months.So what we are seeing here is a tighter market for bank owned condos and townhomes. If you are a buyer in this market, be prepared for potential multiple offer situations on these type of properties.

If you want more detailed information or would like to discuss opportunities, please give me a call @ 630.542.7732. Want to see what is available now in Naperville. Simply click here.

The statistics used in this report are from multiple listing service reports as provided by Terradatum, Ica

Naperville Home Sales Activity Report February 2011 – Single Family

Naperville Home Sales Activity Report

Last post we looked at Naperville Foreclosure activity for February 2010 vs the same period this year. The focus was single family homes. This post we will address non-bank, Naperville, single family, February 2011 vs February 2010. Again, our goal is to be able to see the trends in each market segment and what, if any, impact one segment has on the other.

Naperville Home Sales February 2011 vs February 2010

February was pretty much a flat month over the same period a year ago in this segment. Homes sold were up 2, or 5.1%. Interestingly, of total homes sold in the month, 82% were traditional ownership, not bank-owned. Homes that went Under Contract were down to 65 from 83, a decrease of 21.7%. Seven out of 10 homes put under contract were traditionally owned. And homes for sale? This measure dropped, same month vs same month,  by over 17% to 666. Approximately 85% of the homes for sale are non-bank owned.

Bottom line? The reduction in inventory is a positive and should have some impact on choices for buyers. Months Supply of Inventory (MSI) has actually bumped up  to 8.5%. Over all for the total sinagle family market in Naperville, MSI is at 6.8%. A neutral market, one that favors neither buyer or seller, is generally considered to be at 6 months.

If you want more detailed information or would like to discuss opportunities, please give me a call @ 630.542.7732. Want to see what is available now in Naperville. Simply click here.

Next Up – Naperville Bank Owned Condos & Townhomes

Naperville Home Sales Activity Report February 2011

Naperville Home Sales Activity Report

Over the next few weeks we will be breaking down the Naperville housing market in a little more detail than we have in the past. We will be looking at

• Single Family homes and Attached Homes (Condos & Townhomes)
• Bank Owned (Foreclosure) properties
• Non-Bank Owned homes

Our goal is to be able to see the trends in each market segment and what if any impact one segment has on another. Why is this important? If you are contemplating selling, price trends and inventories as well as market volatility will impact or influence how and where you list your home. If you are buying, supply of available properties definitely influences what you may have to pay or want to pay for any given property.

Naperville Foreclosures February 2011 vs February 2010

If you are working with banks as sellers, or investor type buyers, you have noticed a shift in this market lately in Naperville. It has become very active! As you can see from the table below, inventory over the same month last year has dropped by over 15%! And months supply of inventory (MSI) has plummeted to 2.7 months. The “neutral” market level is typically considered 6 months, so to be at this level, the leverage has moved to the seller. Total of Sold and Under Contract  has climbed by 50% over February 2010.

This is a significant change in the market and should have a positive impact on pricing as well as moving buyers into more traditional properties. If you want more detailed information or would like to discuss opportunities, please give me a call @ 630.542.7732. Want to see what is available in the foreclosure market? Sign up for our Foreclosure Report.

Next Up – Naperville Single Family Homes- Non-Bank Owned

2010 Naperville Single Family Home Report

2010 vs 2009 Naperville Single Family Home Activity

The numbers are in and, as usual, we have some good and some not so good. You’ve probably heard numerous reports on the national numbers, but what we are looking at are Naperville Single Family Homes. December 2008 numbers are included as a reference point and not used in the % change calculation. All data in the table comes from Terrradatum Corp which pulls its numbers directly from the Multiple Listing Service that serves northern Illinois.

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What we see first is that homes For Sale are down 4.5% over the same period last year. A reduction in inventory is usually viewed as positive for sellers in that it means less competition. At the same time, homes Under Contract increased 18% – again, more homes off the market.

Pricing continues to struggle, with sold homes decreasing 2.3%. Homes New to Market entered the market at 1.8% lower than a year ago reflecting a more accurate understanding of the new marketplace reality.

The last significant number to pay attention to is MSI – Months Supply of Inventory. This is a measure of how many months it would take the market to absorb the homes for sale at the current sales rate. At 11.6 months, it is down significantly from the 24+ month level of 2 years ago and continues to improve from the 14+ month level of last year.

Overall, a slight decline in pricing but improvements in inventory levels. From a personal perspective, both buying and listing activity started picking up in December and have continued into January. It will be interesting to see if this continues. If you need or want additional detail or to look at the numbers for a smaller sample, Check out the data under the Market Reports tab above or just drop me an email. Thanks for your time!

Are Naperville Single Family Home Prices Improving?

Recent Naperville Trends

How has 2010 been for the Naperville single family housing market? Based on the latest numbers I have seen from MRED (the multiple listing service for our area), they are looking positive for single family Naperville home sales. And here is why -

Sold Median Price / Sold Average Price

In January , there was a gap of 16.3 % between these numbers. If you follow the Naperville market, we know that typically this gap is about 12%: In July it was 11.6% and has been improving since February. In dollars it looks like this: Average Jan/10 = $444,261. July/10 = $510,481, or an increase of 14.9%. Median Jan/10 = $371,750. July/10 = $451,500, up 21.5%.  These are strong numbers from my perspective.

Under Contract Price

Under Contract prices reflect the list price of homes that are currently under contract – not the selling price for those homes. It is a more narrow snapshot of where the market is at the current moment and is not necessarily indicative of an overall trend. For the record, prices for homes Under Contract have gone fro and average of $411,950 in Jan/10 to $429,900 in July/10 – an increase of 4.4%.

Supply & Demand

The changing numbers in this analytic seem to indicate positives for home sellers – as a general rule. Units under contract are up 73% since Jan/10 and units sold up 131.8. Outside of the spike we saw at the end of the tax credit window, this has generally been an improving number. Months Supply of Inventory continues to decline from 11.0 in Jan/10 to 8.0 in July/10. If it gets to 6, some experts consider that a balanced market!