Springfield Illinois Housing Market 2007

The consistency in the number of home sales withinhomes vastly outnumbering buyers. A record 2362
the local housing market should be the envy of thehome listings expired, and 1174 withdrew without a
state and nation. Considering that 2003, 2004, andsale. There were 367 more pending contracts that
2005 were seller's markets, and 2006, 2007 werefailed to close than in 2006, resulting in 1554 home
buyer's markets; look at the consistent number oflistings returning to the market.
home sales as reported by member brokers to TheThe great news to begin 2008 is that interest rates
Capital Area Association of Realtors (CAAR) MLS:fell below 6% for only the second time this decade.
2003 3996That should provide motivation for indecisive home
2004 4005buyers to purchase. Caar also reported closed home
2005 4197*sales were up in December, however pending sales
2006 4175were down which will be reflected in January closings.
2007 3998It may have been a struggle for home sellers in 2007
*CAAR record highdue to excessive numbers of homes for sale,
The rise in the median sale price of a home in thehowever overall it was a good year in the local
face of an oversupply of homes for sale defies thehousing market. There are hundreds of markets that
laws of supply and demand as witnessed below:would trade places in a New York second, proving
2003 $90,500once again that real estate is local. In spite of the
2004 $92,750negative psychology within the housing market
2005 $100,000created by the media, flat job growth, incompetent
2006 $99,000state government, a tax and spend governor, and
2007 $104,500*the highest interest rates in two years throughout
*CAAR record highmost of the year, 2007 in Springfield Illinois turned
The only reason 2006, and 2007 were buyer'sout pretty darn good.
markets was due to the record number of homesJust imagine how good the local housing market could
for sale. Although demand remained steady, supplyhave been, and would be if there were; responsible
skyrocketed. The number of home listings increasedreporting in the media, there was a functional state
from 6213 in 2003 to a record 8082 in 2006, and fellgovernment, and there was a governor with policies
slightly to 7960 in 2007.that encouraged business growth along with lower
There's more to the story from 2007. A recordtaxes; which creates jobs.
number of listings did not sell with the supply of