North Shore Market Report

The number of North Shore homes that went under contract in the first quarter exceeded the mark set in 2012 by 34%, and that was in spite of a much colder winter this year.   The number of homes that closed in the first quarter was up by 12% over 2012.  Market times for newly listed homes are coming down.  In Wilmette, the average market time plunged from 183 to 77 days. In the chart below are the statistics for closed single family homes.  Because closings occur about 2 months after a home sells, these statistics tell more about what was occurring in the prior quarter and, in fact, they understate the strength of the current market.  The number of homes going under contract this quarter is up significantly from the 1^st quarter of 2012 in every suburb this report covers in spite of low inventory.  (i.e. Wilmette + 18%; Evanston +63%; Winnetka +34%; Glenview +24%)

The above statistics are for detached single family homes and were compiled from data collected by the Multiple Listing Service (Midwest Real Estate Data LLC), and may not include all home sales

Prices:  Prices are rising this year.  The first quarter statistics do not clearly show this because so many sales are occurring at the lower end.  Reasonably priced homes are flying off the market.   

Inventory:  Inventory has gone from low to virtually nonexistent in some locations.  Wilmette has 68 single family homes on the market that are not under contract.  Evanston has 95 such homes.  Based on the current rate of sales, that is less than a 2 month supply in each suburb.  This is the time of year when supply should be on the high side and expanding, but that has not been occurring due to the rapid pace of sales.

Interest Rates:  Conforming loans (loans below $417,000) continue to have excellent rates with fixed rates at about 3.5% and Adjustable rates in the 2.75% area.  Jumbo loans also have good rates with the 30 year fixed rate at about 4%.

Short Sales & Foreclosures:  Short sales and foreclosures accounted for 23% of all North Shore homes sales in the first quarter.  That number has drifted up and down a little over the past 5 years, but is consistently a significant share of the market ranging from 15 to 30 percent.

The most expensive home in the North Shore to sell this quarter was in Lake Forest and went for 3.1 Million.  It has over an acre of land, 8 ½ bathrooms and was built in 1996