Dwindling Foreclosures Raise Home Prices

Foreclosures are falling as home prices rise

The number of bank-owned properties on the market has dropped 31.1% year-over-year. Illinois is right in line with a 29.7% decrease in foreclosures. Does this have a correlation with rising home prices?

After the real estate crash, bank-owned properties flooded the market. Good news for those home buyers looking for a bargain, bad news for sellers watching their property value fall.

Over the last couple of years, foreclosure numbers have been dropping and as a result, we've seen home prices rise.

Now you can't expect prices to increase to pre-crash levels as that's likely what caused problems in the first place. However, homeowners are seeing positive equity again and those selling are realizing gains compared to when prices hit bottom.

Home prices in Illinois are up 3.8% year-over-year. While this isn't as big of an increase as elsewhere in the nation, it's constant. Home prices are expected to continue this upward trend for the foreseeable future.

If you've been thinking about selling your home, maybe now would be a good time to find out what someone would be willing to pay for it. Give us a call today at (630) 488-3300 or see what local home prices are doing in your neighborhood and even get an online valuation.

This article was originally posted on Thursday, January 5th, 2017 at kombrink.com.