The number of North Shore homes sales in the 3rd quarter of 2022 was down 33% as compared to the 3rd quarter of 2021. Market time was down 27% and median prices were up 10%. Overall, it was an exceptional quarter for North Shore home sellers. While the number of sales was down 33%, that was due to the small inventory. Last year’s record low market time went even lower, and prices went higher.
Here are the 3rd Quarter Statistics:
|Number of Homes Sales||Average Market Time|
|3rd Q 21||3rd Q 22||3rd Q 21||3rd Q 22|
|Average Home Price (in thousands)||Median Home Price (in thousands)|
|3rd Q 21||3rd Q 22||% Change||3rd Q 21||3rd Q 22||% Change|
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: Prices in the 3rd quarter remained strong as they have been throughout this year. The median price for the North Shore was up 10% from last year. As is typical when pulling just one quarter of sales, the price changes in individual suburbs varied greatly with Wilmette’s statistical increase being 5% and Winnetka’s 26%. Neither of those numbers is what happened in reality—one is too low, and one is too high. This once again proves that the sample size of one suburb for one quarter is too small to get a reliable number. The North Shore statistical increase is closer to what actually happened in all of these suburbs.
Inventory: Inventory at this time last year had decreased throughout the year to historic lows by this time. It has remained at those historic low numbers, although it is up some from the winter and spring of this year when it hit bottom. Wilmette has 51 single-family homes on the market that are not under contract. Last year at this time there were 50 active homes. Evanston has 85 active homes currently. It had 59 last year. Winnetka has 37 active homes, which is a drop from the 46 that were on last year. Glenview also has had an inventory decrease going from 142 to 117 homes. The North Shore as a whole saw a decrease, going from 936 to 908. I would also note that in April of this year the North Shore had 689 active homes so it has gone up from the all-time low we hit this past spring and winter. My numbers this year also include active properties in the Private Network which was not the case last year so the decrease from last year is in fact larger than these statistics indicate.
Interest Rates: Interest Rates this year have risen steadily. They are currently around 6.9% for a 30-year fixed rate conforming loan. That is more than double the interest rate from this time last year. The jumbo rate is lower at around 6.25% . The 15-year conforming fixed is about 6.25%. While from a long-term historic perspective these are not high interest rates, that is hard to swallow given the years of extremely low rates we have had ever since the great recession.
The highest sale price in the North Shore in the 3rd quarter was $12,750,000 for a 1905 home on the Winnetka Lakefront. This home had not been updated in many decades and was apparently sold for the nearly 2 acres of prime Winnetka lakefront land.