Market Update

Current Market Conditions
When I was a kid, I lived for hockey.
And like most kids playing sports… I wanted to be the best.

Every league had the same thing, a leaderboard.

Ours sat behind a scratched-up pane of glass in the rink lobby… right next to an old cigarette vending machine.

And every time I walked in, I’d make a beeline straight to it.

Half in my gear, running late for a game, I’d still stop and check where I stood.

Goals. Assists. Total points.

I’d start at the top and scan for my name.

But it wasn’t just after games… I thought about it all day.

I knew exactly who I was chasing. How many points they had. What they were averaging. What I needed to do to catch them.

It became everything.

When I was tired on the bench… I thought about it.
When a game felt out of reach… I thought about it.

Because back then, that leaderboard felt like the truth.

It told you who was having the best season.

And one year… I finally finished at the top.

But looking back, those numbers didn’t tell the whole story.

I wasn’t even the best player on my team.

I just had the best numbers.

And I’ve been thinking about that a lot looking at the Q1 numbers.

Because the numbers aren’t wrong…

They’re just not telling the whole story.

They give you the scoreboard, but not what’s actually happening on the ice.

If you just look at the headlines, you’d think the market is slowing down.

Higher rates. Lower closings. Mixed data across the board.

But what I’m actually seeing on the ground tells a different story.

This was one of the strongest Q1s we’ve seen, but it’s a very selective market.

The homes that are winning right now aren’t just listed… they’re positioned.

The properties getting the strongest results all have a few things in common:

– They’re priced strategically (often slightly below where they’ll trade)
– They show well
– And they create competition

That’s what’s driving outcomes right now.

Depending on how you look at these numbers…
you can make the case the market is slowing down, or that it’s getting stronger.

If you step back and just look at the numbers, the scoreboard, here’s what Q1 actually looked like:

Demand was up again this week, we’re in the final push of peak spring activity, even if the broader numbers don’t fully show it yet.

Listings picked up this week. No surprise, April is typically when sellers really start coming to market.

Rates dropped this week, which continues to support buyer activity.

Contract were up again this week, reinforcing the strength we’re seeing in demand.

Multiple offer were intense again this week, buyers are pulling out all the stops to secure something before their leases are up, even if the broader numbers don’t fully reflect that urgency.

The downtown high rise market saw a bump in demand this week, driven largely by entry-level buyers focused on move-in ready units, which is starting to improve that market.

Buyer fatigue is starting to set in, after multiple bidding wars, some buyers are stepping back or choosing to renew leases instead of continuing to compete.

The market continues to split, well-priced, move-in ready homes are moving fast, while anything even slightly off is sitting.

Inventory remains the biggest factor, limited supply is still driving pricing and competition.

Global uncertainty is starting to creep into the market, and we’re beginning to see some buyers pull back as a result.

Deal cancellations are picking up, especially with renters who want to buy, but are getting nervous once they’re under contract.

Single Family Homes 
Single families are still the hottest, most sought-after type of property in the market. We saw a good amount of new inventory hit this week, which is expected, April through August is when most of these come on. At the same time, demand is there, and bidding has been aggressive. It’s not uncommon to see $150K+ over ask, and honestly, that’s becoming the standard for homes under $1.5M. From there, it tends to scale based on price point. The exceptions are properties that came on too high or feel dated, those are the ones that struggle. Overall, this is a strong sellers’ market.

Lincoln Park, Lakeview, North Center, Roscoe Village
I wish I could say something is different here, but there really isn’t. Demand is through the roof, and this is likely the tail end of the peak. The only relief is that more inventory continues to hit, and we’re not too far off from some buyers starting to drop out. The most competitive segment right now is the entry-level, sub-$1M market. Duplex downs and townhomes are seeing the most demand and have the least inventory, which is where things are getting the most intense. For now, this remains a very strong sellers’ market.

West Town, Wicker Park, Bucktown, Logan Square, Avondale
Same as above.

West Loop
West Loop is starting to see more demand. Buyers who have been priced out of other areas are coming here to see what they can get, and we’re also seeing a good amount of relocation buyers choosing the area for convenience. The entry-level and trophy properties are performing the best. The middle price points with dated finishes are struggling the most. Overall, this is a balanced market right now.

Old Town
Old Town is still very hot, really across all segments of the market. The smaller walk-ups and duplex downs are performing the best, especially properties under $1M. This is also one of the few areas where high-rises without in-unit washer/dryers are still selling relatively quickly. Overall, this remains a strong sellers’ market.

South Loop 
South Loop is starting to pick up. We’re seeing more demand than we have over the past few weeks, and the entry-level market is beginning to move faster than it has all year. That said, properties above $1M are still struggling and taking longer here than in most other parts of the city. Dated properties are also sitting. There is improvement, though, and overall this feels like a balanced market.

New East Side & The Loop
The New East Side and Loop are starting to gain a bit of momentum. The main drivers continue to be empty nesters and out-of-state buyers. As the weather warms up, we’re seeing more of these buyers look for second homes or downsizing opportunities. They are very focused on move-in ready properties, which is why anything dated tends to sit. Buyers here are also very price conscious, if something is even slightly overpriced, it will sit much longer.Overall, this is a balanced market.

River North, Streeterville, Gold Coast
Talk about a change, we’re starting to see things heat up here, and even some multiple offer situations. The key, though, is pricing and condition. If it’s priced right and upgraded, it moves. If not, it sits. The high-end luxury segment that feels dated is still struggling. Just like above, a big driver here is empty nesters and out-of-state buyers. They are very price-conscious and looking for move-in ready properties. We’re also seeing entry-level properties perform well, as buyers who are priced out of other areas are coming here. Overall, this feels like a balanced market.

The Big Picture:

• Outskirts: It remains a seller’s market across all categories, 

• Downtown Core:  Is feeling more like a balanced market.