Chicago Residential Real Estate Market

CHICAGO RESIDENTIAL MARKET MARKET

Have you ever considered investing in the Chicago

Residential Real Estate Market?

Do you know why Chicago is such a great place to invest in?

This presentation will provide you, the investor with information about Chicago and its neighborhoods using market data and

statistics from the National Association of Realtors, Midwest Real Estate Data, LLC and etc.

CHICAGO FACTS

Chicago is the 3rd largest city in the United States.

According to the 2000 census Chicago has a population of 2,896,016 people.

In 2006, there were 2,833,321 people in living in Chicago.

There was a -2.2% decrease in the population from 2000 to 2006.

Chicago is the largest city in Illinois.

Chicago is the seat of Cook County.

Cook County is the second largest county in the United States after Los Angeles County.

Chicago makes up approximately 54% of Cook County’s population.

Chicago extends :

more than 20 miles along the Lakefront stretches North to the Wisconsin border

stretches South to the industrial suburbs and to

the Indiana border

Chicago is partitioned into 4 main sections:

-Downtown -Loop -Central Business District

-North Side-South Side-West Side

Downtown

covers 33 square miles

is known as “The Loop.” The nickname refers to the area encircled by the elevated (‘L’) train tracks.

Downtown looks great from every angle whether

you are shopping, sightseeing or doing business.

Downtown has some of the largest attractions in the US and the World.

The Art Institute of Chicago has one of the largest and most extensive collections of

Impressionist and Post-Impressionist paintings in world.

The Chicago Cultural Center is the first free municipal cultural center in the U.S.

Harold Washington Library Center is the world’s largest municipal library.

The Willis Tower (formerly Sears Towers) is the tallest building in the Western

Hemisphere at 110 stories high.

McCormick Place is largest convention center in North America

Some of the largest employers have headquarters in Chicago such as :

Boeing Sara Lee CNA Financial Corp. Aon Corp. Kraft Foods Inc.

Chicago hosts several major financial and

futures exchanges :

The Chicago Stock Exchange The Chicago Board of Trade The Chicago Mercantile Exchange

South Side

Extends south of Downtown along Lake Michigan

Largest section of the encompasses 60% of the city

Most of industrial businesses are located on the

South side

West Side

Extends west of Downtown There are many parks on the West Side including Douglas Park, Garfield Park, andHumboldt Park.

Garfield Park Conservatory has one of the largest

collections of tropical plants in the U.S.

North Side

Extends north of downtown along the Lakefront

Most populated residential section of the City

Public parkland and beaches stretching for miles

along Lake Michigan to the city's northern border

Communities

There are 77 distinct communities in Chicago.

There are 228 named neighborhoods within these communities.

Chicago has some of the most diverse communities in the United States.

Every neighborhood has its own characteristics and uniqueness.

Bronzeville

A South side neighborhood with plenty of cultural history .

Many of the buildings date back to the 1920s and are currently being restored

There are plenty of beautiful old greystones with a mixture of new construction condos, townhouses and single family homes.

Bronzeville Statistics

Single Family

Condos Multi-Unit Bldg.

0

50

100

150

200

250

38

212

261035

410

51

9

ActiveSoldUnder Contract

Information obtained from Midwest Real Estate Data, LLC (MRED) as of May 3, 2009

Median Sales Price

Single Family


$0

$50,000

$100,000

$150,000

$200,000

$250,000

$300,000

$350,000



Albany Park

Albany Park is a neighborhood located on the Northwest side of Chicago.

It is both a residential and commercial neighborhood and one of the most ethnically diverse in the United States.

Albany Park Statistics

Single Family Condos Multi-Unit Bldg.

0

50

100

150

200

76

164

94

16 6 111427 25



Median Sales Price

Single Fam-ily


$0 $50,000

$100,000 $150,000 $200,000 $250,000 $300,000 $350,000 $400,000



East Garfield Park

East Garfield Park is known for the Garfield Park Conservatory which is one of the largest and most notable conservatories in the U.S.

East Garfield Park has a mixture of single-family homes and a considerable amount of multi-unit residences and condos.

East Garfield Park Statistics


020406080

100120

31

10187

5 823

3 1022



Median Sales Price

Single Fam-ily


$0

$50,000

$100,000

$150,000

$200,000

$250,000



Irving Park

Originally planned as a Chicago suburb

Irving Park is commercial district that provides a good selection of specialty shops and independent businesses.

A northwest side community which consist mostly of two- and three-flat condo buildings, single-family houses and many bungalows.

Irving Park Statistics

Single Homes Condos Multiple Unit Bldgs.

0

50

100

150

200

250

159

233

123

28 321721

3719



Median Sales Price

Condo

Sing

le F

amily

Mul

ti-Uni

t Bld

g.$0

$100,000

$200,000

$300,000

$400,000



Jefferson Park

Jefferson Park is a neighborhood where homebuyers will find an assortment of real estate from modern condominiums to Victorian houses.

Jefferson Park is a northwest neighborhood in Chicago with easy access to the Kennedy and

the Edens Expressway.

Jefferson Park Statistics


0

20

40

60

80

100

120 107

6050

235 6

2811 6



Median Sales Price

Single Fam-ily


$0 $50,000

$100,000 $150,000 $200,000 $250,000 $300,000 $350,000 $400,000 $450,000



Logan Square

Logan Square is a mixture of old mansions along Logan and Kedzie boulevards.

Logan Square located on the Northwest Side of Chicago has

one of the most diverse mixture of homeowners, shops, restaurants and real estate.

Logan Boulevard, Kedzie Boulevard and Humboldt Boulevard are lined with large brick and stone houses, old mansions and modern condominiums.

Logan Square Statistics


0

50

100

150

200

250

300

350

400

174

371

187

2652

2525

90

34


Information obtained from Midwest Real Estate Data ,LLC (MRED) as of May 3, 2009

Median Sales Price

Single Fam-ily


$0

$100,000

$200,000

$300,000

$400,000

$500,000

$600,000

$700,000

$800,000

ActiveSold Under Contract

Information obtained from Midwest Real Estate Data, LLC (MRED) as of May 3,2009

Lincoln Square

Lincoln Square is located within the Ravenswood area

Lincoln Square circles the Lawrence/Lincoln/Western commercial district.

There are more brick and stone, two- and three-flat buildings than single family homes in Lincoln

Square.

Lincoln Square Statistics


0

50

100

150

200

250

300

77

269

5214

441012

64

4



Lincoln Square Statistics

Single Fam-ily


$0 $100,000 $200,000 $300,000 $400,000 $500,000 $600,000 $700,000 $800,000



Washington Park

Washington Park is a South Side neighborhood in Chicago. It includes 372 acre of park named “Washington Park”.

The park is the proposed site of the Olympic Stadium and the Olympic Aquatics Center in Chicago bid to host the 2016 Summer Olympics.

Washington Park links Jackson Park by the Midway Plaisance which stretches along the lakefront to Hyde Park and South Shore neighborhoods.

Washington Park Statistics


0

20

40

60

80

100

5

87

25

212 7

18 7



Median Sales Price

Single Fam-ily


$0 $50,000

$100,000 $150,000 $200,000 $250,000 $300,000 $350,000 $400,000



Woodlawn

Woodlawn is a South Side community conveniently located near scenic parks, the lakefront and the University of Chicago campus.

Affordable single-family homes and

condominiums are in abundance for many University of Chicago students, couples and young families.

Woodlawn Statistics


0

40

80

120

160

27

145

89

723 25

3

33 32



Median Sales Price

Single Fam-ily


$0

$50,000

$100,000

$150,000

$200,000

$250,000


Information obtained from Midwest Real Estate Data,LLC (MRED) as of May 3, 2009

Bucktown

Bucktown is a Northwest Side neighborhood which consist of old architectural buildings

with a mix of modern housing. Bucktown has newly constructed single-family homes,

condo buildings and converted lofts found in many old factory buildings.

Bucktown has plenty of entertainment, restaurants and shopping .

Bucktown Statistics


0100200300400500600700800900

168

837

192

17

161

1921

191

3



Median Sales Price

Single Fam-ily


$0

$200,000

$400,000

$600,000

$800,000



Wicker Park

Wicker Park is a Northwest neighborhood in Chicago and located south of Bucktown. Wicker Park consist of newly constructed homes and condos as well as many renovated older homes.

This rehabilitation has led to an increase in business activity-many new bars, stores and restaurants serving the growing number of shoppers, residents and visitors

Wicker Park Statistics


0

200

400

600

800

168

837

192

17

161

1921

191

3



Median Sales Price

Single Fam-ily


$0 $100,000 $200,000 $300,000 $400,000 $500,000 $600,000 $700,000 $800,000 $900,000



Near West Side

The Near West Side is located west of the Chicago Loop

The Near West Side is a thriving neighborhood of young working adults and first-time homeowners.

New construction is taking place throughout the neighborhood due to its proximity to Downtown and the United Center

New construction is causing rapid economic expansion in the area.

Near West Side Statistics


0100200300400500600700800900

1000

33

864

367

158

78

140

7



Median Sales Price

Single Fam-ily


$0

$100,000

$200,000

$300,000

$400,000

$500,000

$600,000

$700,000



West Ridge

Is 10 miles from the Loop on the city's north side and located west of Rogers Park.

West Ridge consist mainly of single-family homes and many smaller two- and three-flat buildings.

There has been a recent surge of homeowners renovating bungalows and other types of single family homes in this area.

West Ridge Statistics


0

20

40

60

80

100

120

140117 117

72

22

61

1424

80

3



Median Sales Price

Single Fam-ily


$0 $50,000

$100,000 $150,000 $200,000 $250,000 $300,000 $350,000 $400,000 $450,000 $500,000



Chatham

Chatham is a South side neighborhood that is easily accessible from the Dan Ryan Expressway.

Chatham has a large number of long-time residents and seniors who enjoy the many types of single- family homes, business and parks.

Chatham has a mixture of Victorians, Georgians, Tudors, older bungalows and custom-built townhomes and single-family homes. There are a few apartment buildings and condo conversions.

Chatham Statistics

SingleFamily Condo Multi-Unit Bldg.

0

20

40

60

80

100 93

32

63

28

2

15

30

717



Median Sale Price

Single Family Condo Multi-Unit Bldg.

020,00040,00060,00080,000

100,000120,000140,000160,000180,000200,000



Chicago Lawn

Chicago Lawn is a Southwest side neighborhood with a small residential area surrounded by busy commercial streets.

The neighborhood consist mostly of single –family homes with a few low-rise apartment buildings.

Chicago Lawn is known for its affordable housing Chicago Lawn is close to Midway Airport and is 20

minutes away from Downtown Chicago by public transportation, the Orange Line.

Chicago Lawn Statistics


0

50

100

150

200

250 225

14

111

65

035

69

2

43



Median Sale Price

Single Fam-ily

Condo Multi-Unit Bldg.

0

50,000

100,000

150,000

200,000

250,000



North Park

North Park is located on the North side of Chicago. It is home to Northeastern Illinois University.

Most of the homes in the area are either

historic homes or bungalows. A few condos and townhomes attract local college students and young working professionals.

North Park Statistics


01020304050607080

45

72

138 6 8

179 10



Median Sale Price

Single Fam-ily


0

50,000

100,000

150,000

200,000

250,000

300,000

350,000

400,000

450,000



North Center

North Center has become increasing popular due to a mixture of dining, shopping and live

entertainment in the area.

North Center is a North side neighborhood in Chicago. North Center neighborhood has many historic homes and newly constructed houses along the Chicago river.

North Center Statistics


0

50

100

150

200

250

132

233

77

3757

1129

58

5



Median Sale Price

Sing

le F

amily

Condo

Mul

ti-Fa

mily

Bld

g.0

400,000

800,000

1,200,000


Information obtained from Midwest Real Estate Data,LLC (MRED) as of May 3,2009

Avondale Avondale is located on the Northwest side of Chicago and the home of DeVry Institute

Avondale is easily accessible by the Kennedy Expressway and it located directly north of Logan Square .

Avondale consist of mostly framed single family homes with some 2 flat apartment buildings

and condos that are located near a variety of businesses.

Avondale Statistics

Single Fam-ily


020406080

100120140160

57

139 134

8 15 2120 25 28

ActiveSoldUnder ContractLinear (Under Con-tract)


Median Sale Price

Single Fam-ily


0

50,000

100,000

150,000

200,000

250,000

300,000

350,000



Single Family Condo Multi-Family Bldgs.

2008 322250 224092 391750

2009 235949 108135 310460

25,00075,000

125,000175,000225,000275,000325,000375,000425,000

West Ridge Year-to Year Average Sale Price

Information obtained from the National Association of Realtors (NAR)


2008 709807 292437 558667

2009 554257 240307 339667

50,000

150,000

250,000

350,000

450,000

550,000

650,000

750,000

Lincoln Square Year-to Year Average Sale Price



2008 803983 359967 474167

2009 707036 361191 497230

50,000150,000250,000350,000450,000550,000650,000750,000850,000

North Center Year-to Year Average Sale Price



2008 317500 324000 476000

2009 245000 172500 200000

25,00075,000

125,000175,000225,000275,000325,000375,000425,000475,000

Jefferson Park Year-to Year Average Sale Price



2008 230000 160000 0

2009 281167 255000 269750

25,000

75,000

125,000

175,000

225,000

275,000

North Park Year-to Year Average Sale Price



2008 405500 220947 434000

2009 240933 72000 230600

25,00075,000

125,000175,000225,000275,000325,000375,000425,000475,000

Albany Park Year-to Year Average Sale Price



2008 384333 213765 337475

2009 305618 209827 178600

25,00075,000

125,000175,000225,000275,000325,000375,000425,000

Irving Park Year-to Year Average Sale Price



2008 251250 278918 337475

2009 322167 293100 178600

25,00075,000

125,000175,000225,000275,000325,000375,000

Avondale Year-to Year Average Sale Price



2008 710878 325626 223900

2009 811250 293615 274500

50,000150,000250,000350,000450,000550,000650,000750,000850,000

Logan Square Year-to Year Average Sale Price



2008 729477 388762 451150

2009 652389 372225 300556

50,000

150,000

250,000

350,000

450,000

550,000

650,000

750,000

West Town Year-to Year Average Sale Price



2008 20500 244250 182750

2009 183000 40042 87693

25,000

75,000

125,000

175,000

225,000

275,000

East Garfield Park Year-to Year Average Sale Price



2008 731770 358324 0

2009 190000 333779 350000

50,000

150,000

250,000

350,000

450,000

550,000

650,000

750,000

Near West Side Year-to Year Average Sale Price

Information of the National Association of Realtors (NAR)


2008 0 163429 0

2009 105000 103382 38000

10,00030,00050,00070,00090,000

110,000130,000150,000170,000

Washington Park Year-to Year Average Sale Price

Information obtained by the National Association of Realtors (NAR)


2008 35000 121883 133500

2009 119000 96465 36986

10,000

30,000

50,000

70,000

90,000

110,000

130,000

150,000

Woodlawn Year-to Year Average Sale Price



2008 173251 31000 190000

2009 90586 12000 162814

10,00030,00050,00070,00090,000

110,000130,000150,000170,000190,000

Chatham Year-to Year Average Sale Price



2008 173251 0 125494

2009 90586 0 71313

10,00030,00050,00070,00090,000

110,000130,000150,000170,000190,000

Chicago Lawn Year-to Year Average Sale Price



2008 161667 181334 0

2009 394333 172000 0

25,00075,000

125,000175,000225,000275,000325,000375,000425,000

Bronzeville Year-to Year Average Sale Price


Mortgage Indicators

53%

32%

9%

6%

Homeownership

PrimeFree & ClearSubprimeFHA + VA

Information obtained from the National Association of Realtors

Nationally:

32% of homeowners have their homes paid in full

53% have a prime mortgage

9% financed their home with a subprime loan

6% of homeowners have either a FHA or VAloan

37%

54%

9%

Foreclosures by Loan

PrimeSubprimeFHA + VA


Foreclosures by Loan:

Subprime exposure is relatively small but yet

subprime loans make up a substantial portion

of foreclosure

Subprime loans account for only 9% of homeowner mortgages, but they comprise54% of foreclosure

Subprime loan exposure is decreasing

Subprime Loan Exposure

55%

9%

6%

30%

Illinois

PrimeSubprimeFHA + VAFree & Clear Homes


Foreclosed Homes

55%36%

9%

Illinois

SubprimePrimeFHA + VA

Information provided from the National Association of Realtors

Foreclosure rate up 58% over last year

“According to Pew Charitable Trust predict that in the next 2 years, 1 in every 33 homes will be in foreclosure because of subprime loans made in

2005 and 2006”

Defaulting Subprime and Alt-A loans drove the first stage of the mortgage crisis

The next stage of the mortgage crisis will be driven by defaulting Option ARMs and

prime home loans

Information obtained from Credit Suisse by WSJ

25%

40%

48%

65%

Types Of Loans Severely Under Water (as 09/08)

Prime JumboAlt-ASubprimeOption ARM

Information provided by Credit Suisse from WSJ

Housing Affordability Index

Median Priced Existing Single Family Home

MortgageRate

Monthly P & IPayment

Payment as a % of Income

Median Family Income

QualifyingIncome **

Northeast

237,000 5.56 1,085 18.9 68,914 52,080

Midwest 138,400 5.62 637 12.3 61,978 30,576

South 159,300 5.56 728 15.7 55,553 34,944

West 159,300 5.60 998 18.8 63,806 47,904

2006 221,900 6.58 1,131 236 57,612 54,288

2007 217,900 6.52 1,104 22.4 59,224 52,992

2008 197,100 6.15 961 19.4 59,339 46,128

**Based on a 25% qualifying ratio for monthly housing expense to gross monthly income with a 20% down payment

Pending Home Sales

Consumer Confidence Index74

76

78

80

82

84

86

88

90

92

86.5285.63

80.4

82.00

84.6

90.3

Nov. 2008Dec. 2008Jan. 2009Feb. 2009 Mar. 2009Apr. 2009

About Miller Realty Services

Miller Realty Services is a real estate company that offers commercial and residential real estate services to individuals and companies. The mission of Miller Realty Services is to make real estate services as hassle-free as possible while maintaining the highest level of customer service and ethics. Miller Realty Services provides the most accurate and current market data, expert market analysis and unparalleled real estate advice to its clients. Miller Realty Services strives to explore the most current technology and marketing ideas to make our company the best while maintaining industry standards.

Contact Us at (866)808-0023 or send an email to [email protected]