Inventory Problems for the Chicago Real Estate Market
The Chicago region is seeing an increase in the turnover time for single family homes on the real estate market.
According to the most recent report from the Chicago Association of Realtors, it now takes an average 116 days for a home to sell on the Chicago real estate market.
This is 31 days longer than during the second quarter of 2006, and increase of almost 40 percent. It is also 16 days longer than the average turnover rate for condominiums in Chicago.
Homeowners are facing a tougher market due to problems in the credit market and high prices around the Chicago region. Fewer buyers qualify for loans due to tighter requirements for mortgages.
Banks and lenders are cracking down on subprime loans as a result of the increase in foreclosures around the city.
As inventory continues to increase due to a decrease in demand, home owners may be forced to lower their asking price.
Buyers looking a good deal on a Chicago Home should be able to find excellent deals in the short term. An increase in competition should lead to a decrease in prices over the next few months.
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