Here in Chicago, an astounding drop in median home prices over the past year, coupled with a nearly two-year-plus inventory of homes for sale in some of the outlying Chicago Neighborhoods, seems to have produced a bit of a bonanza for home buyers.
Especially interested? Those first-time buyers, with no current home or condo to market and sell. Those who can take advantage of the Federal First-Time-Homebuyer Tax Credit - a rather substantial $8,000 Tax Credit!
What has been the spark to ignite buyer interest here in Chicago, and in the surrounding suburbs?
The likelihood of finding a "Good Deal!" An Incredible Deal! That Once-In-A-Lifetime Deal! They expect it be a serviceable home, in average or above-average condition.
But, too often, what do they see when they walk through the door?
Mind-numbing clues of destroyed lives! Often, homes stripped of even the most basic appliances and fixtures. With major signs of neglect, and disrepair.
In middle-class and more affluent neighborhoods across Chicago and the Suburbs, those browsing the homes-for-sale inventory in virtually any neighborhood find left-behind children's toys. Food in the fridge, or even on the stove, in various stages of natural decay. Furniture, left behind - as if the previous occupants were facing temporary evacuation, rather than permanent eviction.
Today, our Team showed properties in the middle-income Chicago Neighborhoods of Pilsen, Albany Park, Logan Square, Irving Park, and Jefferson Park. Our Buyer's Specialist, Kathleen Weaver-Zech and I encountered formerly $300,000 homes now selling well below $200,000 - each likely requiring in excess of $50,000 to get them back into shape, we estimate.
Over the weekend, repeat the scene in several West and Northwest Chicago Suburbs - Naperville, Oswego, Palatine, Addison, Glendale Heights, Des Plaines, Elk Grove Village, Villa Park, and even the quite affluent West Chicago Suburb of Hinsdale IL. Midnight runoffs, shattered lives, and a daunting task for the new prospective homebuyer looking to start anew.
For the buyers we represent exclusively, the least expensive homes come with strings attached, both financial, and emotional. In both cases, the strings are likely long, and tangled.
Will the Chicago Housing Market Rebound? Experts, and our Team, agree - ABSOLUTELY, and within a reasonable time frame! As a matter of fact, at new, lower price points, some homes, in many Chicago Neighborhoods and Suburbs, are beginning to attract multiple bids and quick sale.
But, for now, picking up all those bargains isn't as simple as some might make it out to be! So . . . have patience! Some money saved! And a bushel full of empathy!
The Chicago Real Estate Market has started to return - and these are the "Growing Pains" of our New Market Reality!
Please see our post today via BlogChicagoHomes.com.
DEAN & DEAN'S TEAM CHICAGO