According to new data from Trulia, condo values are inching closer and closer to the home values of single-family homes in markets all over the country—a trend that’s not quite as relevant here in Chicago, but still interesting nonetheless.
Before diving into the numbers, however, it’s also worth noting that Trulia’s analysis is getting some push back from outside analysts and industry pros, citing an unreliable automated valuation model rather than using data that’s a little more concrete in their eyes, like comparable closed sales for example.
Regardless of which model to follow, though, it’s hard to argue that condos are starting to play a more significant role in today’s marketplace, especially in medium-to-large sized cities. And if you look at condo values over the last five years through the lens of Trulia, it’s easy to backup that claim.
According to the national website’s data, the median appreciation of condos in the nation’s 100 largest metropolitan areas from February 2012 to February 2017 has skyrocketed by 38.4%, compared to an increase of just 27.9% for single-family homes over that same timespan.
Locally, the gap in home and condo value gains is slightly different, and actually much closer by comparison. Over that five-year timeframe, median condo values in Chicago have jumped 23.3%, while median single-family home values have increased by 25.5%.
So just what does it all mean? Well, the easy answer is that both home and condo values are both on the rise no matter how you slice it, and it’s really as simple as that.