It’s taking a little longer to sell a home this winter, and real estate agents say one of the causes may be uncertainty over how last year’s revisions in the federal tax code will affect what individual buyers can afford to spend. […]
In Chicago and in Cook, Lake and Will counties, the average time a home is on the market before selling has been longer in the first two months of 2019 than during the same period in 2018, according to monthly data posted by the Chicago Association of Realtors on March 18.
Only in DuPage County is the average time on the market shorter than last year. The difference there is three days, to an average market time of 97 days.
The lengthening of market times has not been dramatic. In Chicago, at an average of 104 days, it’s taking six days longer to sell. In Will County, it’s taking five days longer, to an average of 90 days. But the housing market has been in delicate condition in recent months, with sales volume dropping and home prices slowing, which puts a spotlight on negative movement in any indicator.
The Washington, Dallas, New York and Chicago metro areas are experiencing increases in both new home construction and maintenance spending, according to a report by property data provider BuildFax.
“It’s yet to be seen whether housing activity in these cities will eventually slow as it has on a national level or if these will be key metros to watch as the U.S. potentially heads toward an economic slowdown,” wrote BuildFax CEO Holly Tachovsky in the report published Monday.
Chicago saw the most housing activity among the 10 largest metro areas with a 19.5 percent increase in maintenance spending and 60.2 percent climb in new construction. The growth might be related to the city’s strategic five-year housing plan to fight affordability concerns in the region, according to the report.
On a nationwide level, housing data shows a different story. Single-family housing authorizations fell 5.8 percent in February from the same time period last year. Repeat declines for this metric confirm the housing market slowdown is persisting, the report said. Existing housing maintenance and remodeling volumes also continued to decline at 5.5 percent and 10.1 percent, respectively.
Maybe it’s taking longer to sell homes because of all the new construction? I dunno. But I’m not sure you can look at these two stories and make a broad judgment.