Anyone who has followed residential real estate news in the past year has certainly heard about the pandemic-fueled migration out of densely populated cities and into larger homes in suburban and rural markets. But does the buzz match reality?
Not quite. While suburban housing markets are indeed booming, the relationship between the city and the ‘burbs isn’t a zero-sum game. In fact, many urban markets are experiencing notable increases in both buying activity and home prices. Chicago is one such market.
Closed sales data* in the city of Chicago from the first quarter of 2021 compared to the same period last year tell the story:
- Residential transactions increased by 22.3% on a unit basis, and the median price was up 12.7%;
- In the core city market areas of the Loop, West Loop, South Loop and Near North, closed sales increased by even more, 24.2%, while the median price rose 6.6% – not quite as strong as the city overall but still robust;
- Condo sales in the city – including smaller one- and two-bedroom plans – also experienced year over year gains.
Watch the latest episode of @The Market, as @properties co-founders Thad Wong and Mike Golden, and special guests Dr. Sam Kling of the Chicago Council on Global Affairs and Dr. Geoffrey J.D. Hewings of the Regional Economics Applications Laboratory at the University of Illinois dive into these recent findings and what they mean for both city and suburban markets post-pandemic.
Being in the thick of raising a family in the city of Chicago, it is still a fantastic place to live. We sure are here to stay… What has changed is how we view our home, our 4 walls and what’s immediately outside of them. Many of my clients, neighbors and friends have said they are looking for more outdoor space, more rooms, and just more overall space. That doesn’t necessarily mean moving to the burbs, you can expand right here in the city.
Looking for an in-depth analysis of local market conditions, or considering a move? Contact the Yeager Team, or visit our website for more information.
*Source: Broker Metrics / MRED LLC – Closed residential sales, 1/1/20 to 3/31/20 vs. 1/1/21 to 3/31/21. @/the market, Chicago Real Estate, urban areasAPRIL 30, 2021BY @PROPERTIES
WRITTEN BY @PROPERTIES At @properties, our goal is to provide you with expert, caring, and candid advice throughout one of the most important transactions you will ever make.
EDITED BY: Juliana Yeager