Realtors optimistic as spring house buying season starts early

MJ Seiler, owner of Century 21 Kreuser & Seiler in Libertyville, had a good feeling after he looked over a Mundelein home when it was recently listed.

The 3-bedroom, 2-bath tri-level home with granite countertops, stainless steel appliances and fireplace was listed at $229,000. Ten days later, a buyer signed a contract. Homes in that price range are generally not on the market long, compared to last year when the average market time in Mundelein was 88 days.

"I just knew it wouldn't last," Seiler said. "If something is priced right and well maintained, and in good location, it will go quickly."

Seiler isn't alone in finding that suburban homes are selling quickly. Realtors in the area are finding that their most anticipated selling season - spring - is off to a busy start and that it has kicked off sooner than usual. Pent-up demand and milder weather have helped fuel sales, leaving Realtors optimistic about the upcoming season. Agents are finding that consumer confidence is strong and apprehension about the election is finally over.

"Our spring season, for Realtors, starts after the Super Bowl, but it's been a lot busier much sooner than normal," said Catherine Terpstra, president of Downers Grove-based Mainstreet Organization of Realtors.

The residential real estate market has been recovering steadily after the 2009 recession, leading to 2016 as one of the most successful for sales. Suburban Realtors feel optimistic as they enter their busy season, real estate experts said.

Most homebuyers are eager to get a contract or move into their new home by June, so many are now getting their financing in order and setting up appointments to see homes, said Cyndy Hass, managing broker at Re/Max Suburban, based in Arlington Heights.

"Our office is busier this spring compared to years ago. There's more hustle and bustle in DuPage, Lake and Cook counties," Hass said.

There is also more demand this spring than in the past. As homebuyers hit the market, the number of homes for sale is much lower than in previous years, said Tim Binning, broker owner of Re/Max All Pro in Bloomingdale.

"We've been finding there is not enough inventory of homes selling for $400,000 and under. There's a shortage," Binning said.

Experts said there is higher demand for starter homes and those priced at the lower end. "The upper market continues to be a buyer's market," Hass said.

Seiler added, "There is not an adequate supply of homes on the market now. A normal market would have about 6 months supply of inventory in Lake County, but it now has 4 to 5 months now."

In addition, mortgage rates are expected to start going up, which may be prompting some to start shopping earlier than they otherwise would have.

"Interest rates will continue to go up, but it could just drive people more into the market place because they don't want to be priced out of the market, if those prices continue to rise. They don't want to be left behind," Seiler said.