I think I heard what I want to hear about housing prices?

By
Real Estate Agent with RE/MAX Suburban - Schaumburg IL Real Estate - Northwest Suburbs of Chicago
http://actvra.in/H4w

Are housing prices in our area on the rise?

Yes and no.  Based on our area's median sales price we are doing better than 2 years ago with the prices now at $170,000.  As you can see from the graph we are just now reaching the past prices of 2009.  I think what most people are misunderstanding in the media is 'my home is now increasing'.  That's maybe what 'you wanna' hear but it is not anywhere near reality.

northwest suburbs,
 
Prices are no longer decreasing and it makes a difference in each subdivision how prices are being impacted.  Live in a community where there are many first time home buyers or starter homes and you are definitely getting beat up with foreclosures pulling down the overall prices.  

The more foreclosures
in your area you can see this lowering effect with each one that pops on the market.  Banks want to get rid of properties quickly and only think of overall market time.  They want that 30 day price and that home under contract as soon as possible.  If your home is competing during that time with a foreclosure, buyers will gravitate to those foreclosures like bees to honey. Everyone wants that deal!

foreclosures,If you are a buyer wondering what prices are doing I will explain what I've noticed so far.  Multiple offers!  Every foreclosure that comes on the market usually has multiple offers where the prices are getting bid upwards.  

So that nice 'starting price' is a great attraction (you're like that bumble bee) but it's probably not what the house is going to close for!  I have buyers currently losing out on 6 different homes and are being outbid with each contract.  There are now problems that buyers are just bidding high for the sake of winning only to find out that the property might not appraise out.  

So in that respect with buyers under the $125,000 price range, you are going to be in a bidding war which will indeed make prices rise in the near future.  You might as well just jump in the fray, fight like hell for a house you like and hope that you win!

Source:  MRED June Historical (not hysterical) Median Sales Price

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Topic:
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Illinois Cook County Schaumburg
Groups:
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Tags:
schaumburg il real estate
chicago northwest suburbs

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Ambassador
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Debbie Reynolds
Berkshire Hathaway HomeServices PenFed Realty, Your Clarksville Real Estate Professional, 931-920-6730 - Clarksville, TN
Your Dedicated Clarksville TN Real Estate Agent

Lyn, I dislike bidding wars and multiple offer situations. So many people get hyped up and then fall flat with disappointment.

Aug 30, 2012 08:45 AM #1
Rainer
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Jennifer Prestwich
Henderson, Thornton, Broomfield and Westminster - Henderson, CO
Your Castle RE Colorado

This is great infromation, Lyn.  So many buyers see a listing that seems too good to be true, then find out that it nearly IS too good to be true after the bidding war is over!  This is why buyers in Schaumburg need a dedicated Realtor like Lyn Sims to help them make an educated decision when buying a home.

Aug 30, 2012 10:51 AM #2
Rainmaker
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Carla Muss-Jacobs, Principal Broker/Owner
BuyersAgentPortland.com | (503) 810-7192 Portland Metro Exclusive Buyers Agent | 100% Buyer Representation ~ 100% o... - Portland, OR
Buyer Focused ~ Buyer Results

There goes the media again, generalizing everything.  That's why buyers and sellers in the Schaumburg need to turn to you for advice, counsel and representation.

Aug 30, 2012 11:49 AM #3
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Bryan Robertson
Catarra Real Estate, Inc - Los Altos, CA
Broker, Author, Speaker

Bidding wars have been driving up prices substantially in my area for a while now.  It's gotten a bit out of hand and putting some buyers out of the market.

Aug 30, 2012 01:11 PM #4
Rainmaker
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Maureen Bray Portland OR Home Stager ~ Room Solutions Staging
Room Solutions Staging, Portland OR - Portland, OR
"Staging that Sells Portland Homes"

Lyn it sounds like a real battle is waging in your area by buyers!  How frustrating to find a house you like only to be outbid repeatedly.  We've seen that happen here in Portland, too ... multiple offers over asking price, in the first day or two on the market.  Quite a change over the past couple of years!

Aug 30, 2012 09:03 PM #5
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Rainmaker
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Lyn Sims

Schaumburg Homes
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