Naperville Condo & Townhome Market Report – January 2012

In our post last December, we reported on mixed results for the condo and townhome market in Naperville. After looking at the January 2012 numbers, there is cause for optimism, provided the trend continues. Let’s take a quick look at the numbers* versus January 2011:

• Bank owned properties as a % of all sold is at 27%, down from 52%
• Months Supply of inventory (MSI) – Bank Owned at 5.2 months vs 18.5 months
• Months Supply of inventory (MSI)  - Traditional at 7.2 months vs 29.9 months
• Months Supply of inventory (MSI)   – Overall at 6.6 months vs 18.5 months

Remember, in balanced market (one that favors neither buyers or sellers) there is about 6 months of inventory.

• Units Sold Bank Owned – down 4%, Under Contract – flat
• Units Sold Traditional – up 50%, Under Contract – up 200%
• Units Sold Overall – up 23.5%, Under Contract – up 95.7%

Finally, how about pricing? For this metric we are looking at those properties that are Under Contract as they normally reflect the most recent purchases. Prices are based on the Median.

• Bank Owned – up 36.2%
• Traditional – up 7.6%
• Overall – up 27.9%

In summary, Inventories in this market segment are at what is traditionally viewed as a balance point, Units Sold and Under Contract are up significantly over a year ago, and Median Prices are up. And, as a final measure, the percentage of Bank Owned properties is down significantly.

*Numbers are taken from Terradatum and are based on closed MLS statistics.

The table below shows key measures as of January 27, 2012.

The above statistics are for attached properties in Naperville. The numbers and trends can and do vary for different areas in the same town (zip code). The same information is also 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 Attached Homes Market Analysis

Trends in Attached Housing in 2011

I suppose the analogy of how you look at a 1/2 glass of water is appropriate when one looks at the Attached Home (Condos & Townhomes) in Naperville in 2011: Is your glass half full or half empty? Here is our review of the numbers and perspective how we interpret them.

Months Supply of Inventory – (the measure of how long it would take the market to absorb all properties on the market at the current sales rate). This metric has shown steady improvement this year. January it was at 18.9 months – November saw it down to 11.9 months,  a 36% decrease. The trend is  similar for both bank owned and non-bank owned properties. Bank owned are at 7.1 months and non-bank 14.6. In a balanced market, favoring neither buyer or seller, we look for around 6 months inventory.

Sold Properties – Closely tied to MSI above, is Sold Properties. While the number of non-bank owned properties sold each month has increased by 75% from the start of the year, bank owned numbers have remained relatively flat at around 5/month.

Median Sold Price – Bank owned properties have seen a rise in median sale price over the  past 11 months: From $115k to almost $144k. This is positive considering the volume of properties available. On the other hand, non-bank owned have dropped about 10% in median sale price – $182.5k to $163.5k. Overall, median price has risen 6.2% to $154,000.

Median List Price- This measurement has remained flat for both bank owned and non-bank owned units. Median List for bank owned has remained at around $120k while non-bank owned has increased 3% to $175,000. As you can see, comparing to the numbers in theparagraph above, expectations of sale price and realities of sold price are quite different.

The above statistics are for attached properties in Naperville. The numbers and trends can and do vary for different areas in the same town (zip code). The same information is also 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.

Aurora IL Real Estate Market Conditions condos & townhomes zip 60503

Median Price for homes in AURORA, IL 60503 as of September 23, 2011 is $145,000	Total Inventory for homes in AURORA, IL 60503 as of September 23, 2011 is 93
Average Days on Market for homes in AURORA, IL 60503 as of September 23, 2011 is 207	Median MAI for homes in AURORA, IL 60503 as of September 23, 2011 is 12.49

Aurora, IL Real Estate Market Conditions: Condos and Townhomes, zip 60504

Median Price for homes in AURORA, IL 60504 as of December 10, 2010 is $129,650	Inventory for homes in AURORA, IL 60504 as of December 10, 2010 is 148
Average Days on Market for homes in AURORA, IL 60504 as of December 10, 2010 is 185	Median MAI for homes in AURORA, IL 60504 as of December 10, 2010 is 33.26

Aurora, IL Real Estate Market Conditions: Condos and Townhomes, zip 60502

Median Price for homes in AURORA, IL 60502 as of January 7, 2011 is $175,000	Inventory for homes in AURORA, IL 60502 as of January 7, 2011 is 95
Average Days on Market for homes in AURORA, IL 60502 as of January 7, 2011 is 225	Median MAI for homes in AURORA, IL 60502 as of January 7, 2011 is 13.01

Mixed numbers for Naperville townhomes and condos

The numbers for attached homes in Naperville over the last 12 weeks have some positives in them: Units For Sale dropped 10% while units Sold climbed 17%. Obviously the decrease in inventory and increased sales bodes well for those who have their condos or townhomes on the market.

From a dollar perspective, prices for units Sold and Under Contract are down sharply -14% and -15% respectively. Some of this average decline in median prices could just be variations in the what units have sold (lower priced units vs higher priced units) and the seasonal nature of the market,  but some may also be reflective of a continued resetting of prices.