Indicators show no signs of Chicago real estate bubble

According to experts who monitor the local condo market, although 2006 unit sales were down 11% compared to 2005 (9% in volume), there is no evidence of a price bubble or even of overbuilding. One appraisal firm that tracks new construction and conversions in the downtown market reports that the number of units coming onto the market may have set a record in 2006, but is about equal to the number of such units sold in recent years.

According to experts who monitor our condo market there is no evidence of a price bubble or even overbulding. Data from the MLS of Northern Illinois (MLSNI) shows the number of condo units sold in 2006 was down 11% from 2005 (down 9% in dollar volume.) Statistics are still being compiled, but 2006 may still be the third highest year on record for units sold or dollar volume.