Home prices of both new construction and older homes are dropping.
Chicago-area buyers aren’t buying new construction based on numbers released today by Schaumburg-based Tracy Cross & Associates Inc. According to the residential consulting firm, new-construction home sales in the Chicago area only totaled 2,654 in the first quarter, a 20% drop from a year ago when 3,3138 new homes were sold.
Put another way, according to Tracy Cross, “We’re just flatter than a pancake that an 18-wheeler drove over again.”
Still, some parts of the market are faring worse than others. For one, single family home sales are doing better than those of condominiums and townhouses, sales of which dropped 27.8% from last year at this time. New construction home sales are also faring better in the suburbs as compared to Chicago, but not by much.
Overall, these are the lowest numbers for new home transactions since 2008. But in Chicago, where sales have fallen a drastic 32.5%, only 108 new homes were sold in the first quarter of 2011, the fewest amount of home sales in a whopping 17 years.
What does this mean for your average home buyer? Homes are being listed for lower than ever before, often below what home owners are paying in mortgage. The reduction in demand will drive prices down making this the perfect time to buy. Call us at 877-852-6636 to find out how you can get 20% cash back if you buy with us.
Check out CondoDomain’s listings–including those that were recently reduced in price–here.