Chicago Real Estate

Here is a PDF to download from the Chicago Association of Realtors.

http://chicagorealtor.com/associations/6001/files/AUG-SEPT09_Neighborhood_Pilsen.pdf

According to the Illinois Association of Realtors the second quarter of 2009 was an improvement over prior quarter.

The median home sale price in the Chicagoland PMSA increased 7.2 percent to $201,050 in the second quarter from $187,500 in the first quarter of 2009; year-over-year it was down 19.6 percent from $250,000 in the second quarter of 2008.

I think this is a sign of the bottom hitting in late summer of 2009… but I believe the bottom will be here until the late Spring of 2010 at least…

“The metropolitan areas in Illinois are expected to follow the patterns of the state as a whole; sales are anticipated to be up on a month-to-month basis but prices will continue to trend down over the current quarter (July, August and September),” said Dr. Geoffrey J.D. Hewings, director of the Regional Economics Applications Laboratory (REAL) of the University of Illinois. “In Peoria, Quad Cities, Champaign-Urbana, Kankakee, Metro East and Springfield, the September median prices are forecast to be higher than those recorded in September 2008.”

In the city of Chicago the median price of a home was up 7.0 percent in the second quarter of 2009 to $230,000 compared to $215,000 in the first quarter of 2009; it was down 25.8 percent from $310,000 in the second quarter of 2008.

Total home sales (single-family and condominiums) jumped 65.2 percent to 4,947 homes sold in the second quarter of 2009 compared 2,995 home sales in the first quarter; sales were down 21.3 percent from 6,287 homes sold in the second quarter of 2008.

“We continue to see two market trends, the distressed and the traditional marketplace. Sellers are still trying to determine a fair price for their property, and buyers are trying to assess the value of a home. Both parties need to compare their property to the reality of location, conditions of property, and circumstances of the sale,” said David Hanna, president of the Chicago Association of REALTORS®. “In the second quarter, we see the ongoing absorption of existing inventory by investors and smart homebuyers, and 2009 continues to be a great market of opportunity.”

Statewide total home sales (which include single-family and condominiums) increased by 61.8 percent in the second quarter of 2009 to 27,531 homes sold compared to 17,017 homes sold in the first quarter of 2009. But, sales were down 16.4 percent from second quarter 2008 sales of 32,949.

“We are moving through inventories and that’s a good sign for the Illinois housing market. Year-over-year sales are still lower, but one promising trend is the rate of decline has slowed in recent months and is now at a pace last seen in the third quarter of 2007. More first-time buyers are taking advantage of the federal tax credit while distressed properties prolong the downward pressure on prices,” said Pat Callan, president of the Illinois Association of REALTORS®. .

In the Chicagoland Primary Metropolitan Statistical Area (PMSA), total home sales (including single-family and condominiums) increased 67.7 percent in the second quarter to 17,622 homes sold compared to 10,507 home sales in the first quarter of 2009; sales were down 15.4 percent from 20,827 homes sold in the second quarter of 2008. The Chicagoland PMSA, as defined by the U.S. Census Bureau, includes the counties of Cook, DeKalb, DuPage, Grundy, Kane, Kendall, Lake, McHenry and Will.

According to the IAR report, median home sale prices comparing the second quarter of 2009 to the same period in 2008 were up in 42 of 100 Illinois counties reporting including Adams, up 9.9 percent to $100,000; Coles, up 4.7 percent to $89,000; Kankakee, up 2.8 percent to $135,500; Livingston, up 4.6 percent to $93,000; Rock Island, up 11.0 percent to $99,900; Sangamon, up 0.1 percent to $117,900; and Tazewell, up 3.3 percent to $127,000.

Sales and price information is generated from a survey of Multiple Listing Service sales reported by 37 participating Illinois REALTOR® local boards and associations.

The Illinois Association of REALTORS® is a voluntary trade association whose 50,000 members are engaged in all facets of the real estate industry. In addition to serving the professional needs of its members, the Illinois Association of REALTORS® works to protect the rights of private property owners in the state by recommending and promoting legislation that safeguards and advances the interest of real property ownership.

Detailed second quarter 2009 home sales statistics reports are available from www.illinoisrealtor.org, click on Market Stats.

Chicago’s market seeing a slight pickup! In the Chicagoland Primary Metropolitan Statistical Area (PMSA), year-over-year home sales were positive for the third consecutive month, up 5.9 percent to 6,862 total home sales (single-family and condominiums) sold in September 2009 compared to 6,477 homes sold in September 2008. The median home sale price for the Chicagoland PMSA was $199,000 in September 2009, down 10.8 percent from $223,000 in September 2008.

Statewide Illinois home sales increased year-over-year in the month of September for the first time since March 2006 with first-time buyers driving the rebound in sales. According to the Illinois Association of REALTORS® latest report, statewide total home sales (which include single-family and condominiums) in September 2009 reached 10,350 homes sold, up 3.3 percent from September 2008 sales of 10,018. The Illinois median price in September 2009 was $160,000 down 9.3 percent from $176,450 in September 2008. The median is a typical market price where half the homes sold for more, half sold for less.

“Buyers taking advantage of the first-time homebuyer tax credit were clearly out in force in most regions statewide in September and thus building momentum for a recovery in the housing market,” said REALTOR® Mike Onorato, president of the Illinois Association of REALTORS®. “Home sale gains this month show the tax credit is working and should be extended through 2010 as it is helping to stabilize home prices and creating thousands of jobs that rely on housing. Today’s lower prices and interest rates are very appealing to consumers, but it’s the tax credit that is attracting people to homeownership. Not renewing the tax credit could potentially jeopardize a full recovery needed to get the economy back on track.”The Illinois Association market stats in full are in the link below.

Look at market stats here.

Update on the tax Break — it looks like there’s a breakthrough that occurred this week… according to DS news.

The industry’s petition seems to have fallen on sympathetic ears in the Senate. A long-time proponent of bumping up the amount of the tax credit to $15,000, Sen. Johnny Isakson (R-Georgia) says he has reached a compromise with Senate Banking Committee Chairman Christopher Dodd (D-Connecticut), which would keep the amount of the credit at $8,000 but expand it to include more borrowers, the _Atlanta Journal-Constitution reported Tuesday.

All American Homes® Builds Near Zero Energy Use Duplex and Zero Energy Single Family Home as Test Homes for the Boulder County Housing Authority Paradigm Project Larger project of 153 units planned for 2010 based on these results Elkhart, Ind. – All American Homes, LLC announced today that it is nearing completion of the Boulder Colorado Housing Authority’s (BCHA) Paradigm Project. The Paradigm Project is a collaborative effort of the BCHA, All American Homes, National Renewable Energy Laboratory (NREL), Workforce Boulder County, and other key supply contractors to develop affordable housing with near zero and potentially zero net energy consumption in Lafayette, Colorado. “We are extremely proud to be involved in the Paradigm Project” stated Rick Bedell, President of All American Homes. “This project fits perfectly with our corporate vision to be the industry leader in providing affordable, eco-friendly homes to the nation,” he concluded. Scott Simkus, Development Manager for the BCHA stated, “This project has many goals, one of which is testing multiple levels of technology to determine what works best. The team at All American Homes did a fantastic job of working with us to value engineer these homes to make them affordable,” noted Simkus. “When you add the fact that these homes will operate at near net zero energy consumption, you quickly realize we have a model here that can be used by any community in the country,” he concluded. All American Homes constructed the home and Boulder County’s Green Jobs crew built the insulated concrete form foundations and the covered entrances for a single family home and a duplex on a half acre parcel to serve as “test homes” for the construction methods and energy saving features specified. What is learned in this phase will be carried forward to the larger 153-unit community planned for next year. Simkus stated, “The green jobs field training program is called TIGRE and stands for Training Innovative Green Renewable Energy. This is the first time such a combination of renewable energy job training with systems built technology has ever been accomplished in the country. The total design, zoning and entitlement planning and construction to occupancy took only eight months”. Each living unit of the duplex is 1,560 square feet with three bedrooms and two baths. It features many eco and energy friendly building components: Icynene® foam insulation, engineered hardwood floors, Energy Star® appliances and light fixtures, water efficient plumbing fixtures, high-performance Low-E windows and a Energy Recovery Ventilation system to introduce tempered fresh air into the home. It also boasts an impressive list of renewable energy features such as: · 2.22KW Solar panel system, · Geo Thermal heating and cooling · Solar thermal hot water and supplemental heating · On-demand (tankless) hot water system, · Insulated Concrete Foundation (ICF) · Clerestory construction that allows the unit to function as a thermal-chimney, venting warm air out of automated windows at the top of the structure keeping the home naturally cool—so cool in fact that no air conditioner is required. The single-family home is 906 square feet with two bedrooms and one bath. Because this is a test home the mechanical features in the home are different from the duplex. This home is all electric with a 2.22 KW solar panel system to support the ground source heat pump (geothermal) heating and cooling system with a planned solar carport brining the PV energy created to about 4.8KW. This same carport will serve as a charging station for testing a plug in hybrid electric vehicle (PHEV). The rest of the home has the same features as the duplex. “Curb appeal was also very important,” said Doug Stimpson, General Manager for All American Homes of Colorado. “These homes not only have to perform at near zero net energy consumption but they also have to look great. BCHA, HB & A architectural firm and our engineers at All American, worked together to create a contemporary design and a warm feel. A clever mix of textures and shades of earth tones on the exterior provide the perfect curb appeal to these modern and energy efficient homes,” Stimpson concluded. Simkus noted that there was quite a bit of skepticism concerning using systems-built (modular) construction for this project. “All it took to overcome any concerns on quality or construction methods was a trip to the All American Homes facility in Milliken, Colorado. Once our Chief Building Official saw the construction process, the tolerances, workmanship and benefits from building out of the weather in a controlled environment, he was sold on the idea as well,” stated Simkus. The target price range for these near zero homes is between $105 and $125 per square foot. Coachmen Industries, Inc., doing business as All American Group™ is one of America’s premier systems-built construction companies under the ALL AMERICAN BUILDING SYSTEMS®, ALL AMERICAN HOMES® and MOD-U-KRAF® brands, as well as a manufacturer of specialty vehicles. All American Group is a publicly held company with stock quoted and traded on the over-the-counter markets under the ticker COHM.PK. This release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Investors are cautioned not to place undue reliance on forward-looking statements, which are inherently uncertain. Actual results may differ materially from that projected or suggested due to certain risks and uncertainties including, but not limited to, liquidity, the ability of the Company to bond major government contracts, availability of working capital, availability of credit to the Company and its customers, the depth and duration of the recession, the ability to produce buses to meet demand, the potential fluctuations in the Company’s operating results, price volatility of raw materials used in production, the availability and cost of real estate for residential housing, the supply of existing homes within the company’s markets, government regulations, dependence on significant customers within certain product types, consolidation of distribution channels, consumer confidence, uncertainties of matters in litigation, and other risks identified in the Company’s SEC filings. For more information contact: Bill Martin Director of Marketing All American Homes, LLC 2831 Dexter Dr. Elkhart, IN 46514 Phone: (574) 266-2534 Fax: (574) 266-3304 Email: bmartin@allamericanhomes.com For investor or financial information: James T. Holden Corporate Secretary and Assistant General Counsel (574) 266-2500 Boulder County Project.JPG Boulder County Project.JPG 1501K Vi

For a good write up on the n’hoods of Wicker Park and Bucktown check out this link. Our association produced this 4 page pamphlet on the n’hoods.

http://www.chicagorealtor.com/associations/6001/files/BUCKTOWN-WP.pdf

WASHINGTON — Democratic Congressional leaders are working with the White House to extend an expiring $8,000 tax credit for first-time home buyers, and aides said Wednesday that they were considering making it available to current homeowners who purchase a new residence.

Extending and possibly expanding the popular home-buyers credit, which is due to expire after November, is high among options for further stimulating the economy and creating jobs, Congressional aides said, though a White House official said it was only briefly mentioned on Wednesday in an Oval Office meeting between President Obama, Speaker Nancy Pelosi of California and Senator Harry Reid of Nevada, the Senate majority leader.

The Democratic leaders met with the president to discuss a broad range of options to combat persistent high unemployment, officials say. The existing credit for first-time home buyers will expire at the end of next month if not extended, and two other components of the economic safety net — unemployment compensation and health care benefits for those who have been out of work for long periods — will expire at the end of the year.

Besides the likelihood of extending those measures, which were part of the $787 billion stimulus law earlier this year, the president and Congress were also weighing additional steps, given projections that jobs will continue to be lost into the middle of next year despite signs of economic recovery, possibly driving the unemployment rate above 10 percent. But they insist that any package will not add up to a second stimulus package, a prospect that would invite Republicans’ attacks on the effectiveness of the first.

Keeping the home-buyers credit and broadening it has been a priority for real estate agents and the home builders lobbies, and for Mr. Reid, who faces a tough re-election race next year in a state that has been among the hardest hit by the housing crisis since mid-2007. In a statement after the White House meeting, Mr. Reid said the government should “continue efforts to strengthen the housing market by extending the home-buyer tax credit.”

By the time it is scheduled to expire, for home purchases that close before Dec. 1, the home-buyers credit will be responsible for nearly 400,000 sales of new and existing homes, out of total sales of 1.4 million, said Mark Zandi, chief economist at Moody’s Economy.com. That is roughly in line with estimates from the National Association of Realtors.

Mr. Zandi, who formerly advised Senator John McCain, Republican of Arizona, and is now consulted by Democrats in the administration and in Congress, has advocated extending the credit through next August and making it available to all home buyers.

Allowing the credit to expire this year would result in a decline in sales of homes that are not facing foreclosure just as sales of foreclosed homes are expected to pick up, Mr. Zandi said in an interview, “putting further downward pressure on house prices.”

“The economic recovery will not evolve into a self-sustaining economic expansion and risks unraveling back into recession until house prices stop falling,” he added.

But the tax break is not cheap. Congressional analysts put the cost in lost tax revenues at about $1 billion a month. Mr. Zandi said that expanding the availability of the credit to more home buyers through August would cost perhaps $30 billion. While some in the housing industry have proposed nearly doubling the credit to $15,000, Mr. Zandi said $8,000 “seems to have been a sufficiently powerful incentive.”

While Democrats in Congress and the White House emphasize that no decisions have been made about the home buyers credit or any other measures, two officials said that the cost of extending the credit could be covered by redirecting money in the two-year $787 billion stimulus package that was scheduled to be spent after this year.

The current credit is limited to buyers who earn up to $75,000 a year, or couples who make $150,000; in gradually smaller amounts the credit is available to individuals with income from $75,000 to $95,000 and to couples making from $150,000 to $170,000. While the housing industry supports lifting the income caps so that even wealthy home buyers are eligible, White House and Congressional aides say that is not under discussion.

On Thursday, the House is expected to pass legislation from Representative Charles B. Rangel, Democrat of New York and chairman of the House Ways and Means Committee, to extend the credit through 2010 for people who have been out of the country this year in the military or intelligence or foreign services.

Mr. Reid is a co-sponsor of a bipartisan Senate bill that would extend the existing credit for six months, through May.

The home-buyers credit has come in for criticism similar to that lodged against another popular stimulus program, the “Cash for Clunkers” subsidy that went to people who traded in vehicles for more fuel-efficient models — that the credit persuades people to act faster on purchases, depressing activity later.

Industry officials counter that expediting home sales helps to stabilize home values now, which is essential for sustaining economic growth. And unlike car sales, home sales have a multiplier effect that spurs job-creating growth throughout the economy. Lawrence Yun, chief economist for the National Association of Realtors, said each house sale on average yielded $63,000 spent on goods and services, like moving vans and furniture.

After hearing the heated discussion of the Friday meeting Sept 21st on NPR/WBEZ I tuned into the Pulaski school conversation. Pulaski school… being just blocks away from the wonderful pool at Holstein Park sits in the Northwestern pocket of Bucktown just east of Western. The el is walkable from here. There are a dozen or so single family homes in the +1 Mil range at the market at any time… and plentiful options of two flats and single families in the $400 to $800k range. So for a family who wants to stay close to the loop, and the el… and have a park nearby and the retail of Damen ave and all the Wicker Park energy nearby this is a good option. Checking out the Pulaski school could be the beginning of that commitment to a n’hood. The International Bach. program (IB) is a great curriculum that is recognized internationally. This effort to change over to IB- if it gets going-could create a new school with energy and challenge.

I pulled this from a CPS blog… to forward the conversation.

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Monday, August 10, 2009
What’s Going On At Bucktown’s Pulaski Elementary?