Instead of hammering you with stats, today I’ll offer a market update for the North Shore of Chicago based on my boots-on-the-ground experience. Generally speaking, it still holds that if a house is in good condition and priced correctly, it will definitely sell. But what’s the mood? What am I hearing day in and day out?
Taxes are a really big issue right now. Buyers nowadays are much smarter than they used to be it seems; they’re very aware that property taxes will continue to skyrocket here in Illinois. When they’re looking at houses, they’re factoring in taxes first. A lot of high-tax houses are sitting, and will likely continue to sit. Sellers, there’s not much you can do about this, other than cut your price.
In my opinion, it’s ridiculous that elected officials in our state can’t grasp the gravity of the situation unfolding. Let me make this clear: This isn’t intended to be a political commentary to sway Illinois voters one way or another; I’m just stating that if you keep raising property taxes in a state, people will eventually start leaving in droves, which, in turn, will decrease home values.
I had a buyer recently find a home to their liking way outside of the city for $250,000. The problem, however, was that the taxes on this property were $13,000. This blew their whole budget, and they had to pass on the home. Sadly, I just feel like the issue of exorbitant property taxes isn’t being addressed by our representatives.
You must appeal your taxes every year. If you need help with this, just let me know, as I can connect you with a trusted professional. If you know you’ll be selling and your taxes are high, you may want to give yourself a longer listing time to account for the fact that not as many buyers will be able to afford that aspect of your home.
Buyers in our market are availing themselves of all of the data available online these days, and, on average, are waiting a little longer to buy.
My overall feel of the North Shore market: Things are selling but you have to make the necessary upgrades and do things right—cross your t’s and dot your i’s. Again, with regard to the tax situation, it’s just painful for everyone. I’ve included some links to more of the statistical breakdown of the North Shore housing market below.
As always, if you have additional questions about this or any other real estate topic, feel free to give me a call or send an email. I’d love to hear from you.
North Shore Statistics:
Median Sales Price
Average Sales Price
Average Market Time
Median Price Per Square Foot
Average Price Per Square Foot