An increasing demand for luxury real estate in Chicago could quickly turn the market in favor of sellers, according to a recent report from the Institute for Luxury Home Marketing.
National reports indicate strong sales in the luxury real estate sector along with shrinking inventories, which is leading to shortening times on the market for for-sale properties. The total dollar value of sold properties is also on the rise, thanks to increasing consumer confidence that is driving the market as a whole.
In Chicago, the 4th quarter of 2012 saw an increase in sales paired with a decrease in a inventory among luxury sales–those priced $3 million and up.
In other words, things are looking up in the Chicago real estate market. But as the market gets more and more healthy, the less opportunity there is for buyers to negotiate a great deal.
A real estate market on the up-and-up often gives sellers the upper hand, as it.s less urgent for them to move their properties but increasingly urgent for buyers to close a deal.
Timing a Chicago Real Estate Purchase
As the last few years have shown, the real estate market is volatile. This unpredictability makes it as difficult to get the just-right timing as it is to time the stock market. It’s not possible to achieve perfect timing, or even to know if you did after the fact.
A buyer’s best bet is to keep abreast of news in the industry and the economy and keep a pulse on what’s on the market. You’ll find a window of opportunity that feels the most advantageous to you as a buyer or investor.
What every buyer wants to avoid is saying, “Coulda, woulda, shoulda,” as the market continues to recover and the buyer’s market gets increasingly competitive. Great prices, lower-than-low mortgage rates and desirable properties won’t last forever.
To see what’s available on the market now, or to discuss the timing of your own real estate purchase, contact me at (312) 498-5080 or email me at [email protected]
Lake Point Tower, at right, is one of many buildings along Lake Shore Drive that offer incredible views of Lake Michigan. Image via Chris Walker/Chicago Tribune