Prices Improve! ~Update on Area Prices Year to Date

Price Change Year to Date ~November 31 2008 from the MLS Stats: (Median Sale Price)

Clarendon Hills Real Estate -21.9%
Darien Real Estate -8.8%
Downers Grove Real Estate -7.6%
Hinsdale Real Estate -9.1%
Lemont Real Estate -5.1%
Lisle Real Estate -1.9%
Naperville Real Estate -6.7%
Plainfield Real Estate -7.5%
Western Springs Real Estate -4.1%
Westmont Real Estate -0.6%
Woodridge Real Estate -1.6%

The prices have declines from July have retreated. There were improvements in most areas.

Sincerely
Denis J Sharkey

Mortgage Rates hit 5.5% and most likely going lower!

This is in the rate realm of now being a second catalyst for the housing market. The first being the affordable prices that haven't been seen for years. Even the most pessimistic of critics see house sales transaction picking up drastically in early 2009. These transactions in real estate are a major driver in the economy. For every homes sold there are moving companies, mortgage companies, title companies, home improvements stores, home improvement contractors and Real Estate agents all earning a living. Real Estate helped get us into this mess and it will help get us out. This coupled with the economic stimulus from Uncle Sam will help get us through this rough patch in the economy. Naperville Real Estate and Downers Grove Real Estate have held up pretty well through this period with drops of only about 7% year to date. The price declines have started to retreat. From July 31 2008 to November 30 2008 almost all the surrounding areas showed improvements. The real deals and bargains have come from the short sales and foreclosures. When these start to subside this will halt the downward price adjustment we have seen in most areas. Fortunately we are not the "Sand States" (AZ,CA,FL,NV as they have now become known as) with 20% to 40% drops in prices. They do seem to be bottoming now.

Pending home sales index falls 3.2% in July ~NOT in the Midwest we are up 2.8%

This goes hand in hand with how busy I am with buyer traffic right now.
There are tons of Bargains out there and with the GOV just taking over
Freddie Mac and Fannie May the 30 Mortgage rate dropped to 5.88%!
It is under 6% again. So lock in while you can. If the inflation numbers
don't moderate then the fed may have to raise rates which will have a
negative effect on the overall mortgage market.

So how is your area holding up in this buyer's market?

Price Change Year to Date (July 2008) from the MLS Stats:
(Median Sale Price)

• Clarendon Hills Real Estate -19.7%
• Darien Real Estate -1.2%
• Downers Grove Real Estate -8.4%
• Hinsdale Real Estate -6.1%
• Lemont Real Estate -0.0%
• Lisle Real Estate -1.7%
• Naperville Real Estate -6.4%
• Plainfield Real Estate -7.2%
• Western Springs Real Estate -4.5%
• Westmont Real Estate -9.3%
• Woodridge Real Estate -2.7%

The prices have moderated over the last year but as you can see we are not in the same camp as Florida, California, and Nevada where they have dropped 20% to 40%. These areas in some instances were logging 15% to 30% increases Year over Year in their peak. They were bound for a big price correction. Where as the suburbs of Chicago were getting more modest increases of 7% to 13%. So we are not faring that bad. According to Case-Shiller price index the Chicago area is going to drop (peak through trough) 16%. I believe we are pretty much through this correction now. Buyers are coming out of the woodwork to start browsing the bargains. I had four new buyers on Wednesday contact me for home showings. We have a lot of pent up demand for housing and sooner or later those flood gates are going to break. People are just trying to make sure the waters are safe!

Denis J Sharkey

Denis J Sharkey Broker/Owner

The Real Estate Market is Alive in the Midwest!

I am currently handling more clients than I can almost handle efficiently. There are buyers out there and there are sellers that are selling. Prices are moderating a bit but nothing to go crying to momma about. If you are selling and buying (stepping up) YOU ARE IN GREAT SHAPE! The money you lose having to lower you price on your current home in order to get it to sell will be more than made up for in most instances when you buy. There will be a large net gain! You just need to make sure you real estate agent
does their job when negotiating the sale price on your replacement home!
There are a lot of bargains out there currently.