Illinois Home Sales Increase for Sixth Consecutive Month

The hombuyer tax credit and buyers' market conditions continue to move the Illinois housing market toward stability. According to a report released Monday by the ""Illinois Association of Realtors"":http://www.illinoisrealtor.org/ (IAR), February marked the sixth consecutive month of growth in year-over-year home sales in the state.

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In February 2010, statewide home sales--including single-family homes and condominiums--totaled 6,068 transactions, up 15.7 percent from sales in February 2009. On a year-over-year basis, total home sales were up in 41 of 98 Illinois counties, including Kane, up 43.6 percent; Lake, up 43.4 percent; Cook, up 37.5 percent; Peoria, up 35.9 percent; and DuPage, up 33 percent.

In the Chicagoland primary metropolitan statistical area (PMSA), homes sales were up 32 percent from a year ago, representing the eighth straight month of gains. In the city of Chicago itself, February home sales were up 41.5 percent from 12 months earlier. [COLUMN_BREAK]

""We are encouraged by more signs of improvement in the Illinois housing market spurred by the tremendous buyer market conditions with sales increases for six months in a row statewide and eight months running in the Chicagoland nine-county region,"" said Mike Onorato, IAR president.

The report on Illinois' median home prices wasn't as positive. In January, the statewide median price logged it first move upward since September 2007, but prices slid back down in February.

According to the IAR report, the statewide median price in February 2010 was $135,000, down 3.6 percent from February 2009. In the Chicagoland PMSA, the median home price fell 10.3 percent, and in the city of Chicago, the median price plummeted 19.3 percent.

""Price declines have moderated statewide although the more urban areas are still affected by foreclosures and short sales, which hopefully will move through the system more effectively with the new federal guidelines of the Home Affordable Foreclosure Alternatives Program taking effect in early April,"" Onorato said.

Looking forward, Dr. Geoffrey J.D. Hewings, director of the ""Regional Economics Applications Laboratory of the University of Illinois"":http://www.real.illinois.edu/, said a continuation of increased home sales is expected for the next three months, although at a more modest rate. However, he said prices will continue to trend down in the 4 percent to 6 percent range.