While Chicago’s housing market as a whole has recently performed well with prices trending upwards with supply staying relatively low, it’s getting increasingly crowded in the over $2 million segment as more properties come to market and are take longer to sell, according to a new report by Crain’s Chicago.
Though high prices have incentivized existing home owners and new property developers to put a growing number of high-end homes up for sale, the most recent figures are showing that these luxury homes are not selling as quickly as in years past. At the end of February 2015, Chicago had an inventory of homes priced at $2 million or more that could feed market demand for 10.7 months. The supply this February showed 12.3 months worth of future sales — a change that represents the first year-over-year increase since 2010.
These numbers may suggest a slowdown or cooling of the luxury market, it is by no means in crisis. For example, the sales of homes priced at and above $2 million rose 2.5 percent year-over-year through February, according to the same Crain’s report. But with the market flush with so many luxury options and these properties moving more slowly than before, shoppers in the cramped high-end home sector can expect a better price should they decide to buy in 2016.
·Report: Chicago Home Sale Prices Up Amid Rising Competition [Curbed Chicago]
·Market Report archive [Curbed Chicago]