May Update on the State of the Chicago Market

When the COVID-19 pandemic hit in March, there was a frenzy in the market and most activity came to a screeching halt. March numbers were down year over year, but we wouldn’t see what was really happening in each neighborhood until we got the full month of April in.

Well, as the month went on, on a weekly basis we saw new listings dropping year over year by 40%, 50% and even 60%. Written contracts followed a similar pattern. Meaning both supply and demand were down. Sellers and buyers got extremely cautious, waiting to see what happened. Then in the second to last week of April, the numbers started changing. We saw that difference in year over year start to climb back up. I personally had clients start reaching out again on both sides of transactions. Were we headed back to a spring market?

While we aren’t there, it definitely is starting to feel like it’s headed to a cooled down spring market. There are multiple offers happening, buyers are scrambling to get under contract, I’ve had a few deals take place, and in general there is activity, albeit still depressed.

Don’t take it from me though, take a look at the data for Chicago, week by week:

Year-over-Year Change
New Listings Detached New Listings Attached Under Contract Detached Under Contract Attached Homes for Sale Detached Homes for Sale Attached
Week ending
March 7th 4.3% 5.6% 32.9% 16.4% -16.9% -4.7%
March 14th -8.1% -0.5% 39.3% -3.2% -17.1% -3.9%
March 21st -34.0% -33.9% -2.0% -25.8% -17.2% -2.9%
March 28th -48.0% -55.5% -30.3% -45.4% -18.8% -5.4%
April 4th -51.8% -64.0% -37.2% -58.3% -19.1% -8.3%
April 11th -62.6% -61.2% -44.9% -64.7% -20.0% -11.8%
April 18th -37.9% -47.5% -30.9% -65.2% -22.4% -13.0%
April 25th -47.0% -59.6% -22.4% -40.1% -22.2% -13.5%
May 2nd -39.2% -40.7% -23.0% -40.0% -23.7% -15.4%
May 9th -25.5% -30.1% -16.8% -24.9% -24.4% -16.8%

Key takeaways from this: New listings aren’t getting back to “normal” spring levels as fast as contracts being written. The year over year change for homes for sale is steadily declining. Meaning the market inventory levels are getting squeezed even more and prices should be going up over the next few months.

What does this mean for you if you’re in the market? If you’re selling, get it on the market ASAP. Take advantage of this. June is going to be nuts. If you’re buying, you need to be ready to pull the trigger on a place the first day. Get in touch with me too. Every day I’m looking at pre-market inventory to send to my buyers. I recently checked out a place for my fiance and myself before anyone else. We could’ve secured it if we wanted. We saw it on a Wednesday evening, it went live on a Friday morning, and was under contract by Sunday. Seriously, this is the state of things right now.

If you’re looking for more information, feel free to call me at 847.373.8114 or email at andrew@andrewhasdal.com. I’m always wanting to help as many people as possible find their home in Chicago, so share my contact info with someone you know looking to get into the market.

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