There’s a growing trend among American home buyers, and in Chicago, it’s particularly relevant. Years ago, finding a home with ample square footage, lots of yard space, and perhaps even a quiet suburban location would have been the ideal situation for most buyers looking for a new place to live. Today however, things are much different. Home buyers, both young and old, now say they’d much rather live closer to city centers or what’s considered the “heart” of downtown in order to enjoy a much shorter commute, more diversity, and all kinds of restaurants, entertainment, and various other amenities and attractions that define a particular city or town.
Prior to 2008, what drove the residential construction industry were subdivision developments featuring many of those quintessential suburban elements; but nowadays, home builders and construction crews alike are being forced to build up, rather than out. Along with this dramatic housing shift have come significantly increased land costs in major cities, meaning newly built homes are more expensive, no matter where you look. In fact, the average price of a newly built home in the United States has now reached over $320,000—an astounding 20.5% increase just since the beginning of 2012.
Here in Chicago, a near-perfect example of today’s altered real estate market is being seen over at the former Calbrini-Green site, just blocks from Chicago’s trendiest neighborhood—River North. A former housing project known much more for gang violence than luxury real estate, Calbrini-Green is now the site of what will be Chicago’s newest and hottest place to live in downtown, with all kinds of residential, commercial, and retail development already underway. Construction crews even broke ground on a high-end, 47-unit rowhome development last month, and despite its entry-level pricing of $562,900, every home was sold prior to any digging, largely because of location and the project's close proximity to everything that makes Chicago great.
It’s a different world out there when it comes to real estate, and if you’re in the market for a new home or condo in downtown Chicago, just know that you’re certainly not the only one and the competition for securing the home of your dreams has only just begun to heat up.
Call Leo Clark at Gold Coast Realty today for up-to-the-minute real estate news, updates, and where to find ALL the hottest deals in and around Chicago’s best downtown neighborhoods!