During the past three months there were 32 homes that sold (closed) in Glencoe, according to the local MLS. Of these, three were three bank-owned properties and three were short sales - that means that over 18% of the homes sold in Glencoe in the past three months were distressed properties. All of these distressed properties were all sold for under $1 million. (See chart below)
These distressed properties will continue to cause downward pressure on prices for all homes, not just the distressed properties. For home buyers, this can be good news. However, be very careful when purchasing a distressed property. These "bargains" don't come without any problems. By the time a home is foreclosed by a lienholder, the home owner has not had sufficient funds to properly maintain the house. This can have unforeseen consequences down the road for the new homeowner. Short sales are a mixed bag - some short sales are in better condition than others. It really depends on the seller's reason for selling, and whether or not they have had the financial ability to take care of their home.
There are currently 115 homes for sale in the MLS in Glencoe. With an average of 10 - 11 homes being sold in each of the past three months, it could take about 10 months for all of these homes to sell, assuming the sales rate is the same for the next few months. Typically home sales increase during the spring months of April, May and June, so hopefully these homes will sell a faster than that.
One concern I have is that 56% of the homes for sale in Glencoe today are priced over $1 million, while the sales in the past few months suggest that there are more buyers in the lower price ranges. Only 28% of the purchases in the past three months were over $1 million. So it will probably take more time for the more expensive homes in Glencoe to sell than the less expensive ones. The luxury market is softer than the rest of the market.
To find any home for sale in Glencoe, please go to www.KarpRealEstate.com. Whether you are buying or selling, in today's market it is very important to work with a real estate agent that fully understands the dynamics of the local market!
For more information about Nancy and homes for sale on Chicago's North Shore, visit www.KarpRealEstate.com.
Thank you for reading!
nsk
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