With the Omicron variant of the Coronavirus now spreading across large parts of the United States (including confirmed cases in Chicago and Cook County), homeowners, buyers, and investors are wondering how the resurgence will impact real estate as we enter the 2022 Spring market.
Where We Are Now
As we approach the end of the year, one thing is clear: we are in a seller’s market. As of the date of publication, current inventory levels here in the city and surrounding Chicagoland area are at 10-year lows. Meaning, buyers have fewer options available when looking to enter the market while sellers are able to demand top dollar. If the new variant has a similar impact on the market as the original virus, it stands to reason we can see inventory levels drop even further. If another lockdown is ordered at the state, county, or city level, it’s hard to imagine a situation where inventory levels will rise.
What Hope is There For Buyers?
Despite the lack of inventory for buyers, we are seeing a record number of closed sales happening all across the city and surrounding areas. What does this mean? It means that opportunities ARE popping up regularly, but buyers are now required to act swiftly in order to land the deal. Additionally, working with the right real estate agent can award you access to properties that have yet to hit the market. Having that early access to potential properties is a game changer for buyers. When you work alongside me and the Mary Lusk Group at Compass, you get early access to FOUR different pre and off-market sites that allows us to play matchmaker early before the masses get their eyes and offers on properties. From our own experience, about 60% of our buyers find deals through these early access sites. That is huge!
What Does This All Mean?
With all of that said, it’s unlikely that inventory levels will remain this low past the first quarter of 2022. As people come back from the holiday break, it’s expected that a lot of sellers are simply “waiting it out” with intentions of re-entering the market as we approach early Spring 2022. Prices still may remain high – but buyers may enjoy a little bit more flexibility in their search and offer approach.
