Illinois home sales have been trending positive month to month since February 2011 as prices have improved up for the last 3 consecutive months, all good signs for a market working to recover in a restrictive lending environment. According to the Illinois Association of Realtors hone sales (single family and condominium) were up 13.9% in May from April 2011, although still down 16.8% from May 2010,
The trend in rising home sales and median prices is a positive direction for the housing market as a whole with high affordability conditions continuing. The rise in sales prices despite the fact that this year there is no tax incentive. Brokers across the state report that the biggest road block for getting a home loan today is that lending is too strict for even qualified buyers. A return to robust yet responsible lending will result in more sales and a stronger economy.
The economic impact of a healthy housing market cannot be discounted. Just 1 home sale generates $28,581 in direct expenditures made by both the seller and the buyer, according to a study Chicago Economic and Financial Consulting.
The resulting ripple affect across multiple industries for home improvements warehousing and others adds up to $7.9 billion a year in direct and indirect expenditures.
Some good news for the Illinois home sales market is welcome news for all.