I’m in Chicago. It’s a mess.
Home Prices Rising Slightly
by John Burns
John explains on Fox Business News what our team is seeing:
Strength in the markets where foreign buyers are active
Weakness in the entry level, where potential buyers have almost $1 trillion more in student debt than they did one decade ago
Some overpriced situations such as San Francisco, where prices have risen much faster than incomes and the housing cost / income ratio is much higher than norm. Nonetheless, John is expecting prices to keep appreciating there this year because demand continues to exceed supply, even at these prices.
Some huge submarket differences such as Chicago, where our local office leader says downtown is doing fine and the distant suburbs are extremely soft
John was surprised to hear from the reporter that government officials believe we are having a robust housing recovery. We were having one, but it is a flattish recovery now. If there is a message to be communicated to those in DC, it is that the focus needs to be on continued job and wage growth, and better clarity for the banks on mortgage underwriting. That is what we need to get back to—— a normal level of 800K new home sales per year, which is almost double where we are at right now.
My daughter & family live in the 'burbs; I was born there & I always dream of moving back. Maybe I'll be happy w/ visiting often...
http://www.chicagomag.com/Chicago-Magazine/April-2014/chicago-neighborhoods/
Oh dear, Mayor Rahmbo’s house is not in the the good neighborhoods (marked as red). FYI, Logan Square is not safe. Edgewater just a bit safer. My area, Ravenswood is pretty safe, usually (knocking on wood, crossing fingers and getting the pepper spray out). Uptown sucks!