Real Estate Outcomes July2012: Chicago’s North Shore

Property Sales

North Shore real estate data compiled for July 2012, reported property sales up 70.0% from July of 2011 and -22.7% lower than sales in the month of June2012. July 2012 sales were at their highest level compared to July of 2011 and 2010. July YTD sales are running 2.4% ahead of last year’s year-to-date volume figures.

Prices

Chicago’s North Suburban Median Sales Price in July was up 83.1% based on 2011 data and down -12.3% from last month. The Average Sales Price in July2012 was up 43.1% based on 2011 reports and down -13.5% from last month. July 2012 ASP was at a mid range compared to July of 2011 and 2010.

Inventory & MSI

The Total Inventory of Properties for Chicago’s North Shore-Glencoe, available for sale as of July was 79, down -8.1% from 86 last month and down -42.3% from 137 in July of last year. July 2012 Inventory was at the lowest level compared to July of 2011 and 2010.

A comparatively lower MSI is more beneficial for North Shore sellers while a higher MSI is better for North Shore buyers. The July 2012 MSI of 4.6 months was at its lowest level compared with July of 2011 and 2010.

Market Time

The average Days On Market (DOM) shows how many days the average North Shore Property is on the Market before it sells. An upward trend in DOM tends to indicate a move towards more of a North Shore Buyer’s market, a downward trend a move towards more of a North Shore Seller’s market. The DOM for July was 120, up 25.0% from 96 days last month and up 69.0% from 71 days in July of last year. The July 2012 DOM was at its highest level compared with July of 2011 and 2010.

Inventory / New Listings / Sales

The picture above provides a view of the market combining monthly inventory of North Shore Properties for sale along with New North Shore Listings and Closed Sales. The graph shows the basic annual seasonality of the North Shore market as well as the relationship between these items. The number of new North Shore-Glencoe Listings in July 2012 was 23, down -4.2% from 24 last month and down -32.4% from 34 in July2011 of last year.

With over 45 years of reliable and unparalleled service, any of our North Suburban-Glencoe real estate agents and/or brokers can assist you. We are located in the main downtown area of Glencoe, IL-640 Vernon Ave, 60022-Coldwell Banker Residential Real Estate office.

Home Renovations That May Reduce Value: North Shore Real Estate

North Shore Spring break, vacations, and time off……optimal times for North Shore real estate renovations.  But beware, not every renovation promotes a return on investment. That old adage for North Shore  home renovations, furnishings and additions — is all well and good while you sleep under its roof, but if you plan to sell, your efforts could decrease rather than boost selling potential. The detail below will outline what may or may not be in your best interest for North Shore home renovations:

Headaches to look out for

A bright pink paint job and lawn cluttered with gnomes and flamingos is going to offer little in the way of optimal curb appeal. That koi pond you love so much may be just a headache for a new North Shore home owner.

Swimming pools can be a bonus in the minds of some North Shore home buyers, but for others, a pool can be a negative.

“Swimming pools and landscaping can both backfire,” says Brendon DeSimone, a Realtor® in California and New York and blog contributor for online real estate database Zillow who has been featured on the HGTV television shows “Curb Appeal,” “Bang for Your Buck” and “My House is Worth What?”

“They are nice to have because they show really well and will lure buyers in,” he explains. “But when buyers are assessing pros and cons of the home or comparing it to other homes, the upkeep — or safety, in the case of the pool — will factor in. Some people just may not want to sign up for having to do landscaping or pay the landscaper. So while a swimming pool or beautiful manicured lawn might reel in potential buyers, eventually those things could turn them off. Gardening and over-the-top landscaping is for a very specific buyer.”

There are always exceptions to be had if the right buyer comes along. A pool in warm-weather Arizona or Southern California is certainly more attractive than one at a home on Chicago’s North Shore where it gets only a fraction of the annual use.

Jacuzzis and whirlpools are other luxuries that can be a hit or a miss for sellers. A young couple may love the additions; a family with small children may see them as a waste of space and potential safety hazard.

Be careful when changing or updating rooms

Renovating your basement, attic or garage into an additional room? That man cave or spare bedroom may fit your lifestyle, but Chicago’s North Shore buyers may lament the lack of storage space and place to park their car. A basement or dormer apartment may run contrary to local zoning and be a red flag during a home inspection. Converting a bedroom into an office may appeal to a work-at-home buyer, but eliminating that bedroom in the eyes of local assessors will decrease your home’s value.

External additions can be problematic if your bigger and better house is out of character with the surrounding neighborhood in size and North Shore style. It can be even worse if your do-it-yourself project lacks professional polish. Even more modest improvements — such as doors, windows or awnings — can hurt if they don’t match your home’s architectural style.

The National Association of Realtors and Remodeling magazine surveys remodeling and exterior replacement projects as part of its annual Remodeling Cost vs. Value report.
Overall, the 2011-12 report estimates that homeowners would recoup an average of 57.7 percent of their investment in 35 different improvement projects, down from an average of 60 percent last year.

Returns for decking and additions can vary depending on which region of the country where the home is located. SOURCE: formanconstruction.com

Guess which has more BANG for your buck?

According to the report, seven of the top 10 most cost-effective projects — nationally, in terms of value recouped — are exterior replacement projects. It deemed fiber-cement siding replacement as the project expected to return the most value, with an estimated 78 percent of costs recouped upon resale.

• Vinyl siding projects were expected to return more than 69 percent of costs.
• Steel entry door replacement was the least expensive project in the report, costing little more than $1,200 on average, and was expected to recoup 73 percent of costs.
• Garage door replacements have seen prices fall more than 15 percent nationally and can be expected to return more than 71 percent of the cost.
• A “midrange attic bedroom” is expected to return 72.5 percent of costs upon resale, in part because it is “the least expensive way to add a bedroom and bathroom within a home’s existing footprint.”
• A minor kitchen remodel (budgeted at roughly $20,000) is expected to recoup 72.1 percent of costs.
• A wood deck addition is expected to make back 70.1 percent of its price tag.
• Among the least cost-returning projects are a sunroom addition and home office remodeling, both estimated to recoup less than 46 percent of what they cost. More info HERE

Feel free to stop by the North Shore’s top producing real estate office for guidance on homes for sale, homes for rent, housing statistics or reports. We can be found in downtown Glencoe, Illinois 60022. Coldwell Banker residential brokerage and mortgage services. The best in North Shore realtors.