Although the Chicago-area economy has seen 8 months of increasing unemployment, the city’s housing market showed some signs of optimism in the third quarter of 2011. Data covering July, August, and September showed a spike in single-family home sales and the third straight quarter of condominium price and sales velocity increases.
The third quarter is typically a strong quarter, especially in stable family-oriented neighborhoods, as families with children move before the school year. Even by this standard, however, this year’s third quarter was strong, with a higher increase in sales and prices than in recent years.
This marked the third consecutive quarter of increasing selling prices and increasing sales velocity among condominiums. For houses, the third quarter saw the second-largest spike in sales velocity in the last five years. The largest was coming off the disastrous first quarter of 2009.
Jeff Baird is a real estate valuation consultant based in Chicago. He founded Lakeshore Analytics to bring comprehensive, understandable housing data and analysis to Chicago-area readers. The site features a blog with free market news and charts, summary data on 20 top neighborhoods, and quarterly data subscriptions.