Elmhurst,IL February 2012 Real Estate Market Trends

Monday, April 02, 2012

by Thomas Makinney

Elmhurst, IL February 2012 Real Estate Market Trends

Year-To-Date February, 2012 vs. Year-To-Date February, 2011, the average price in the Elmhurst Area was down 18.47%. The YTD average price was down from $392,206 to $319,772. The YTD median price increased .7%, from $259,000 to $261,000. As of March 28, 2012 there were 395 active listings in the MLS, representing a 13.94 month supply of inventory (MSI). Remember, 5.5 months is considered a "balanced" market by most. Year-To-Date average Days on Market (DOM) was up from 141 thru February, 2011 to 148 thru February 2012.

The statistics presented in Market Tracker are compiled monthly based on figures and data generated by MRED for detached single family and attached single family properties. Due to possible reporting inconsistencies, Days on Market (DOM), average prices, and rates of change should be used to analyze trends only. Property and statistical data sourced from MLS is solely for your personal, non-commercial use in buying or selling a property and is deemed reliable but not guaranteed and should be verified. All representations and warranties regarding the information are disclaimed. Reproduction or any other use is prohibited.

Spring Market

Interest rates on 30-year fixed rate mortgages have been below 4% for three months but now could be trending up. Last month's positive employment numbers lifted rates from their historic lows. Still, rates are roughly three-quarters of a point below their year-ago levels, making now a great time to take advantage of "cheap money." The combination of today's low rates and low prices give qualified buyers exponentially more purchasing power than they had a few years ago. So far that's translating into much greater showing activity this spring market.

Investing in Real Estate

Today's low interest rates and stabilized home prices have created some great investment opportunities! Investing in real estate has unique advantages over other types of investments:

Interest in mortgage loans are tax-deductable. Investors can lower their tax liability while increasing their equity.
Renters pay down your mortgage loan. Investors reap the benefits of rental income, which offsets your mortgage cost and build equity.
Real Estate values increase over the long term. Real Estate is limited and will always be in demand.
1031 exchanges are available to defer taxable income when you are ready to sell.

Many investors are taking advantage of these great market conditions. Have questions? Give us a call. We are happy to help!