Home Prices Bounce Back
Home prices across a wide swath of the city and suburbs still have not bounced back from the recession and remain below year 2000 levels.
But in five submarkets on the North and South sides prices have spiked nearly 30 percent over the last 12 years, according to the DePaul Institute for Housing Studies’ fourth quarter 2012 Cook County House Price Index.
Leading the way is the Loop, where home prices have increased 36 percent, followed by West Town/Logan Square (34.8 percent), and Lakeview/Lincoln Park (33.4 percent), according to the index.
The next two submarkets sit on the South Side – Bridgeport/Brighton Park, up 29.8 percent, and Bronzeville/Hyde Park, up 29.5 percent. Also posting strong gains were Lincoln Square/North Center, up 19.6 percent and Uptown/Rogers Park, up 11.4 percent, according the index.
On the flip side, four submarkets have seen prices fall by more than a quarter over the same span. Homeowners in Chatham/Woodlawn/South Shore have seen prices declined by 45.9 percent, followed by South Chicago/Hegewisch, down 44.5 percent, Garfield Park/Humboldt Park, down 40.6 percent and Austin, down 34.4 percent, according to the index.
Those submarkets were among the hardest hit by the foreclosure crisis, the reason for the dramatic declines.
But there’s a ray of sunshine in those areas, too.
Prices are finally starting to inch higher. In the Humboldt Park/Garfield Park submarket, for example, prices increased by nearly three percent in the fourth quarter, compared to the previous period, according to the institute.
The report says other hard hit submarkets reporting recent price gains include the Englewood/Auburn Gresham and Pilsen/Little Village submarkets.