Last year at this time my market report showed record breaking statistics for North Shore single family home sales as the market in 2023 was exceptionally strong. This year the market has again been exceptionally strong in the first half of the year. In fact, the average market time dropped to just 42 days. Median prices went up 11% this year after significant rises in 2 of the last 3 years. However, the number of North Shore single family home sales dropped 8% this year, and that was after dropping 29% last year. This drop was in large measure a result of the record low inventory that we have had for the past 3 years.
Here are the first half statistics.
| Number of Homes Sales | Average Market Time | |||||||
| 1/2 yr-23 | 1/2 yr-24 | 1/2 yr-23 | 1/2 yr-24 | |||||
| Wilmette | 149 | 144 | 28 | 32 | ||||
| Evanston | 179 | 152 | 45 | 48 | ||||
| Winnetka | 101 | 72 | 37 | 40 | ||||
| Glenview | 234 | 196 | 50 | 35 | ||||
| North Shore | 1767 | 1620 | 49 | 42 | ||||
| Average Home Price (in thousands) | Median Home Price (in thousands) | |||||||
| 1/2 yr-23 | 1/2 yr-24 | % Change | 1/2 yr-23 | 1/2 yr-24 | % Change | |||
| Wilmette | 1192 | 1274 | 7% | 1054 | 1120 | 6% | ||
| Evanston | 785 | 818 | 4% | 710 | 698 | -2% | ||
| Winnetka | 1836 | 1974 | 8% | 1563 | 1705 | 9% | ||
| Glenview | 833 | 984 | 18% | 725 | 865 | 19% | ||
| North Shore | 922 | 1001 | 9% | 714 | 795 | 11% | ||
The above statistics are for detached single-family homes and were compiled from data collected by the Multiple Listing Service (Midwest Real Estate Data LLC), and may not include all home sales.
Prices: In 2021 and 2022 North Shore home prices rose significantly after 7 years of a flat market (2014 to 2020). Last year the price rise was a modest 2% increase for the North Shore. This year we had a large 11% increase, but it did vary among the suburbs with Glenview’s median rising 19% and Evanston’s dropping 2%. However, as I always point out, the sample size from one suburb in half a year is not enough to give a reliable number, so I look mostly at the entire North Shore.
Inventory: Inventory has now dropped for 5 years in a row. Last year we saw record low inventory and this year it dropped even further. I am now including homes on the Realtor private network in my inventory numbers since many homes are selling while listed there. Inventory is down about 5% from last year and is only about 25% of a typical inventory. Wilmette currently has 41 active detached single-family homes on the market that are not under contract. In a typical year, that number would be between 150 and 200. The North Shore as a whole has 664 such homes on the market and in a typical year that number would be between 2500 and 3000.
Interest Rates: A 30-year conforming fixed rate loan is about 7% currently. Last year at this time the rate was also around 7%. In 2022 the rate was 5.5% and in 2021 it was 3%. Moreover, after 2 years of increasing rates in 2021 and 2022, we have been moving essentially sideways in the past year. Hopefully rates have now stabilized and may even dip down some. However, predicting future rates, just like predicting future prices, is very difficult.
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