Chicago Suburbs Real Estate (Naperville, Evanston: university, live in, beaches)

[Justabystander]

Originally Posted by Hiruko

Why you think that Southeast Hinsdale and multimillion-dollar homes are representative of the suburban Chicago market is beyond me. Wealthy people build homes all the time. Look at how many estate homes were built in the late '20s and '30s. Look at how many homes continued to be constructed during the most recent financial crisis. You get to a certain price point and they're unaffected by economic turmoil. These people do not see their homes as their primary investment. The U.S. housing market has broadly been doing well this year, but Hinsdale and the other communities you mentioned are far from representative of suburban Chicago in any way.

So you are saying the lack of inventory, and a huge rise in sales, in almost every suburb is not representative of the market? Try the Homes by Marco tool I provided.

[mwj119]

Originally Posted by Justabystander

So you are saying the lack of inventory, and a huge rise in sales, in almost every suburb is not representative of the market? Try the Homes by Marco tool I provided.

I mean, Zillow aggregates this data. As does Realtor. They are market intel platforms as much as they are listing outlets.

I don't think there is any doubt that inventory is down, and it does look like there has been a slight uptick in median list/sold prices around Chicagoland. But from what I can tell, and from looking at other outlets for data, it's nowhere near the dramatic swing like that Marco site would lead you to believe. What I would say, is that entering a late summer/early fall market, it feels more like entering a spring market.. So if this continues, I think we can all be a little more bullish.

I'll use Hinsdale as the guinea pig as it's been mentioned quite a bit..

Zillow: https://www.zillow.com/hinsdale-il/home-values/
Realtor: https://www.realtor.com/realestatean...housing-market

Just look at the historical data, be it zestimate, median list, median sale, ppsqft, time on market. Zillow tells a more ominous story.. Could very well be driven by condo sales. Realtor seems more realistic, when you separate SFH data. It looks like we are seeing an uptick in list/sales prices YoY, though it's not really up as compared to 17/18.

We've done this exercise on various thread. This entire conversation can be supported and/or refuted by data. It seems like some people (not you Justabystander) continuously want to use anecdotal notes and emotion as fact, but it doesn't need to be that way.

I just think we are finally experiencing some type of healthy balance around here.. Demand is up in the suburbs, and inventory is lower. Days to sell is a bit down. This feels more like where Chicagoland SHOULD be. Do I think the housing market at large will remain this way, Chicago or not? Highly doubt it. But at the very least, it's a better time to be a homeowner in Chicagoland than any time since 2007... For now.

[Justabystander]

Originally Posted by mwj119

I mean, Zillow aggregates this data. As does Realtor. They are market intel platforms as much as they are listing outlets.

I don't think there is any doubt that inventory is down, and it does look like there has been a slight uptick in median list/sold prices around Chicagoland. But from what I can tell, and from looking at other outlets for data, it's nowhere near the dramatic swing like that Marco site would lead you to believe. What I would say, is that entering a late summer/early fall market, it feels more like entering a spring market.. So if this continues, I think we can all be a little more bullish.

I'll use Hinsdale as the guinea pig as it's been mentioned quite a bit..

Zillow: https://www.zillow.com/hinsdale-il/home-values/
Realtor: https://www.realtor.com/realestatean...housing-market

Just look at the historical data, be it zestimate, median list, median sale, ppsqft, time on market. Zillow tells a more ominous story.. Could very well be driven by condo sales. Realtor seems more realistic, when you separate SFH data. It looks like we are seeing an uptick in list/sales prices YoY, though it's not really up as compared to 17/18.

We've done this exercise on various thread. This entire conversation can be supported and/or refuted by data. It seems like some people (not you Justabystander) continuously want to use anecdotal notes and emotion as fact, but it doesn't need to be that way.

This is a well worn path, but Zillow is a horrible tool for suburbs like Hinsdale, where home values are not uniform, and vary wildly. To give you an example, a house down the street from me was listed at $1.85 M and just sold within a week of being listed. Its value on Zillow was $1.3 M. Zillow is a great tool for towns with uniform subdivisions, not with unique homes.

To Hirukos point, on Homes by Marco, Oak Lawn, price up 5.2%, sales up 44%; Niles price up 5.9%, sales up 18.9%; Burbank, sales up 11.2%, prices up 24.4%, Lemont, sales up 22.8%, prices up 36%. Normal enough towns?

[Hiruko]

Originally Posted by Justabystander

So you are saying the lack of inventory, and a huge rise in sales, in almost every suburb is not representative of the market? Try the Homes by Marco tool I provided.

"Huge rise in sales"? Existing homes sales were very very slow nationally in April, May, and June. In April, they plunged to 2009 lows. July looks more like pent up demand than anything. Accompany that with a drop in inventory due to COVID (I actually took my Evanston property off the market in April), increased interest in suburban properties, and record low interest rates, it makes sense that it would look like the market is particularly hot to someone whose perspective is just this year. The stats in aggregate, however, don't indicate that we are experiencing significantly increased demand. Comparing August 2019 with August 2020 isn't very useful in light of COVID and the absence of the traditional Spring market this year.

[My Kind Of Town]

Originally Posted by mwj119

I mean, Zillow aggregates this data. As does Realtor. They are market intel platforms as much as they are listing outlets.

I don't think there is any doubt that inventory is down, and it does look like there has been a slight uptick in median list/sold prices around Chicagoland. But from what I can tell, and from looking at other outlets for data, it's nowhere near the dramatic swing like that Marco site would lead you to believe. What I would say, is that entering a late summer/early fall market, it feels more like entering a spring market.. So if this continues, I think we can all be a little more bullish.

I'll use Hinsdale as the guinea pig as it's been mentioned quite a bit..

Zillow: https://www.zillow.com/hinsdale-il/home-values/
Realtor: https://www.realtor.com/realestatean...housing-market

Just look at the historical data, be it zestimate, median list, median sale, ppsqft, time on market. Zillow tells a more ominous story.. Could very well be driven by condo sales. Realtor seems more realistic, when you separate SFH data. It looks like we are seeing an uptick in list/sales prices YoY, though it's not really up as compared to 17/18.

We've done this exercise on various thread. This entire conversation can be supported and/or refuted by data. It seems like some people (not you Justabystander) continuously want to use anecdotal notes and emotion as fact, but it doesn't need to be that way.

I just think we are finally experiencing some type of healthy balance around here.. Demand is up in the suburbs, and inventory is lower. Days to sell is a bit down. This feels more like where Chicagoland SHOULD be. Do I think the housing market at large will remain this way, Chicago or not? Highly doubt it. But at the very least, it's a better time to be a homeowner in Chicagoland than any time since 2007... For now.

Zillow hasn’t updated that info for months. Trust me, I’ve checked several times since June when I saw LinkedIn posts from local realtors that showed sales/price data through the roof over the summer. I don’t know about realtor.com but I’ve checked Redfin several times throughout the summer and the y-o-y appreciation values appear more in line with that Marco site.

https://www.redfin.com/city/29486/IL...housing-market

https://www.redfin.com/city/29479/IL...housing-market

I also have personal experience from recently buying a home in the area. Bought a home in Elmhurst in January. Had an appraisal last month because I am already refinancing and the appraisal is reporting a ~10% gain. Now I know sometimes appraised values can be inflated a little but I think it’s fair to say that the home (and surrounding area) has appreciated at least 5% this year. I don’t think 5-15% appreciation values y-o-y are that unrealistic from what I’ve seen. I’m skeptical it will last beyond this year (not just here but throughout the entire country) but there’s little question values were up significantly this summer compared to last.

[Grlzrl]

Originally Posted by Hiruko

"Huge rise in sales"? Existing homes sales were very very slow nationally in April, May, and June. In April, they plunged to 2009 lows. July looks more like pent up demand than anything. Accompany that with a drop in inventory due to COVID (I actually took my Evanston property off the market in April), increased interest in suburban properties, and record low interest rates, it makes sense that it would look like the market is particularly hot to someone whose perspective is just this year. The stats in aggregate, however, don't indicate that we are experiencing significantly increased demand. Comparing August 2019 with August 2020 isn't very useful in light of COVID and the absence of the traditional Spring market this year.

It's not hot because of pent up demand. It's not hot because of low interest rates. The market has been slow since 2016 when they had huge increases in property tax and then 2017 when they raised the state tax. 2016 was the peak. What is driving the hot suburban market is people climbing over each other to get out of the city after two bouts of rioting and looting.

[My Kind Of Town]

Originally Posted by Grlzrl

It's not hot because of pent up demand. It's not hot because of low interest rates. The market has been slow since 2016 when they had huge increases in property tax and then 2017 when they raised the state tax. 2016 was the peak. What is driving the hot suburban market is people climbing over each other to get out of the city after two bouts of rioting and looting.

Nah

https://www.redfin.com/city/29470/IL...housing-market

https://www.teambowersrealtors.com/r...-market-doing/

[Chicagoisthebest]

Originally Posted by Hiruko

That's highly localized. Home value is hard to determine, because it's based on what inventory is actually moving. Most of the higher-end locations (Evanston, Winnetka, Hinsdale, etc.) are down year-over-year.

Evanston is not high-end at ALL!

[Hiruko]

Originally Posted by Chicagoisthebest

Evanston is not high-end at ALL!

Is your entire purpose on this forum to denigrate Naperville and Evanston? Dredging up old threads. You don't like Naperville or Evanston. Nobody cares. Based on your misperceptions, it doesn't seem like you've even ever been to either location.

Evanston is a major destination for well-heeled home buyers. Several major national publications have cited it as a trendy location for affluent Millennials. Part of the City is listed in the Higley 1000. The City is routinely in the top 10 Chicago suburbs for $1mil+ home sales—more than 85 in the past 12 months alone. You are certainly entitled to your opinion that Evanston isn't "high-end." But, objectively, it is a top-tier destination for high-end home buyers, and has many features that most people would regard as consistent with upscale communities.

[Master Jay]

Hiruko, you're in the suburbs forums, too?

In another topic, I had a pleasant dialogue with Chicagoisthebest, which I appreciated.

Hiruko, I am with you in I also am a Naperville fan. I have not been there for 2 + years, however.

Evanston, a lot of it, reminds me of a typical college town. Nice downtown. I like their library and Barnes and Noble. I like their American Indian Museum. They have very nice parks and beaches. I like to look at the houses, as well. A couple of times I rode the entire Northshore bike trail which begins at Green Bay Road.

Neither town is my usual stomping grounds, but certainly nice to visit for me.