Chicago 2015 Real Estate

Here are some things to look for in Chicago 2015 Real Estate

According to Skylar Olsen, a senior economist at Zillow. “Chicago is one of the five best places for first-time homebuyers,” Olsen said. “You won’t have to compete as much as in the past.”

“Compared to the East Coast and the West Coast, Chicago’s housing market is probably the best bargain in North America,” said Geoffrey J.D. Hewings, director of University of Illinois’ real economics applications laboratory. If the state would fix its fiscal problems, “it would position Chicago and Illinois to really begin to market the fact that we’re a really attractive place to live.”

Chicago 2015 Real Estate

Chicago 2015 Real Estate

Rentals Continue to Raise the Roof

Perhaps no commercial asset performed better in Chicago in 2014 than the apartment sector, especially new Class A buildings that commanded high occupancies, top rents and few, if any, concessions. Even Chicago’s suburban occupancy rate rose to its highest level in seven years in 2014, with rents predicted to rise 3 to 3.5 percent in Chicago 2015 Real Estate

Kiser Group – Lee Kiser “As long as financing for home purchasing remains conservative, there will be continued upward pressure on apartment rents in 2015,” said Lee Kiser, principal of Kiser Group, Chicago’s leading mid-market commercial real estate brokerage firm. “With likely no change in interest rates and continued compression on cap rates, apartments should remain a very appealing asset for investors.”

Kiser also notes that as coastal markets reach record low cap rates, national and international buyers will look to other U.S. markets, mainly Texas, Florida, and major Midwest cites such as Chicago, Indianapolis and Columbus, Ohio, where fundamentals are strong.

“However, as developers continue to flood the market with Class A buildings achieving record rents, properties that were delivered in the last few years will have to offer steep discounts or rent concessions just to compete,” said Kiser. “The sustainability of this market is starting to come into question.”

Away from Chicago’s downtown core, neighborhood landlords should anticipate continued rent growth for apartments, especially for units outfitted with premium finishes. “Successful landlords will add amenities and install high-end finishes in both new-construction and vintage renovations,” said Kiser. “Renters want all of the perks and top-quality finishes available, and they are willing to pay for it.”

Kiser predicts the hot Chicago neighborhoods in 2015 will be Humboldt Park, the Broadway corridor from Montrose through Loyola, Margate Park (Uptown), Hyde Park along 51st and 53rd streets, Pilsen, Logan Square, and Avondale. – See more at: http://www.rejournals.com/2014/12/11/midwest-experts-weigh-in-on-cre-trends-for-2015/#sthash.R3At55PX.dpuf

 

 

 

John Castelli, Realtor
Keller Williams Realty Partners
(773) 851-7636 Mobile 
JohnCastelli@kw.com

www.JohnCastelli.com

   

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