Lombard Real Estate Guide (Q1 2022)

Q1 2022

LOMBARD

LOCAL REAL ESTATE GUIDE

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OPENING NOTE

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As a leading real estate team, we typically focus on just that and related areas of interest; however, there are some topics beyond this scope we are compelled to address. We felt this way about the pandemic and encouraged digging deep to support local like never before. Now, we hope Lombard will continue to rally behind the people of/from Ukraine. Please consider donating to relief efforts!

In developing this quarterly report, we wanted to provide a unique depth of local analysis with current insights and historical context. Now may be the best time in many years to consider selling your home. Please reach out if a customized home evaluation would be helpful.

For the cover we chose an image of our Paradise Bay Water Park. We can’t wait to enjoy the warm weather!

The facility plans to open on Saturday, May 28.

All my best,

630.750.9551 kelly.stetler@compass.com www.kellystetlerrealestate.com 2

METHODOLOGY Overview of Terms and Lombard Submarkets CLOSED: closed transaction reflecting the final sales price (does not include any seller credits) NORTH

CONTRACTED: contingent or pending transaction reflecting the latest asking price CONTRACT TIME: number of days between the first list date and the contracted date (does not include time from contract to close) HOME INVENTORY: number of homes currently available for sale MEDIAN: middle value of a given dataset (all report values are medians, which are less impacted by outliers than averages) PRICE DISCOUNTS: percentage difference between the initial list and recorded sale price PRICE PER SQ. FT: ratio of the price to the square footage of a closed transaction as a relative price measure (factors in home size)

(North Ave. to St. Charles Rd. and Rte. 53 to Grace Ave.)

WEST

EAST

(St. Charles Rd. to Roosevelt Rd. and Hwy. 355 to Main St.)

(North Ave. to Roosevelt Rd. and Grace Ave. / Fairview Ave. to Villa Park)

CENTRAL (St. Charles Rd. to Roosevelt Rd. and Main St. to Grace Ave. / Fairview Ave.

SOUTH (South of Roosevelt Rd. to Butterfield Rd.)

Note: All figures represent detached single-family homes unless otherwise specified. Price range data based on the village of Lombard. Submarket figures based on the approximate areas identified on map above.

3

MARKET SUMMARY “Seller’s Market” Remains During Strong Spring Market

Lower Activity

Fewer Available Homes

New Home Listings (Q1)

Home Inventory (March)

Short Market Times

List to Contract Days (Q1)

Narrow Price Discounts

Sale Price Discounts (Q1)

Higher Sale Prices

Sale Price / Price Per Sq. Ft. (Q1)

26%

Contracted Homes (Q1)

33%

“Seller’s market” with 15+ year low of available homes this time of year

33%

Closed Homes (Q1)

24%

Mostly less than 3 weeks across submarkets and price points; some homes much quicker

Tight discounts of less than 2%; houses selling near or above full price

Higher prices across submarkets and price ranges 4

COMPASS UPDATE Revolutionizing Real Estate with the Industry’s Most Innovative Technology and Top Talent

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Led by the Brightest Minds in Technology Compass is led by experts across engineering, design, and strategy with backgrounds at Amazon, Airbnb, McKinsey, Microsoft, Twitter and others

Brokerage of Unparalleled Agents Compass Chicagoland agents were the most productive agents of any of the top 5 brokerages

$6.6M

Highest average volume produced by agent**

11.9

Highest average volume units per agent**

$554K

Highest average sales price**

**Broker Metrics, MRED LLC, 1-1-21 through 12-31-21, all property types when compared to @properties, Baird & Warner, Jameson Sotheby’s Intl Realty, Coldwell Banker Realty, Berkshire Hathaway HomeServices Chicago in all MLS.

5

NEW LISTINGS

By Price Range

Rolling Last 12 Months (YoY%)

 New listings were down YoY for the quarter, except homes priced $400K – $500K  Each month in the quarter showed declines ranging from approx. 15% – 30%  Listings less than $300K continue to decrease significantly from 2015 / 2016

700

 Mixed listing activity with most price ranges currently trending lower

600

<$300K

$300K – $399K

$400K – $499K

$500K+

500

Jan. – Mar. (YoY%)

400 343 (+11%)

Price Range

'22

'21

%

300

<$300K

31

58

-47%

200

$300K - $399K

58

77

-25%

$400K - $499K

24

20

20%

$500K+

17

20

-15%

237 (-32%) 124 (+75%) 101 (+28%)

0

'08 '09 '10 '11 '12 '13 '14 '15 '16 '17 '18 '19 '20 '21 '22

100

6

By Submarket

Rolling Last 12 Months (YoY%)

 Q1 showed mostly lower listing activity across submarkets, except in the East  West and Central experienced significant declines (~50% each) for the quarter

Jan. – Mar. (YoY%) Submarket

'22

'21

%

North

27

32

-16%

West

15

30

-50%

Central

21

40

-48%

East

41

36

14%

South

18

21

-14%

West

Central

East

South

300

200

192 (+7%) 154 (+24%) 148 (-2%) 135 (-11%)

100

103 (-7%)

0

'08 '09 '10 '11 '12 '13 '14 '15 '16 '17 '18 '19 '20 '21 '22

 West and East are the only submarkets with more listings over the last 12 months

North

7

CONTRACTED HOMES

By Price Range

Rolling Last 12 Months (YoY%)

 Contracted homes were down 30%+ YoY driven by homes priced below $400K  While contracts were up slightly in February, they were down 30%+ in January and ~50% in March  Declining contracted homes are trending consistently with lower listing activity

<$300K

$300K – $399K

$400K – $499K

$500K+

450 375 300

Jan. – Mar. (YoY%)

262 (+7%) 225

'22

'21

%

<$300K

28

58

-52%

$300K - $399K

54

79

-32%

$400K - $499K

16

16

0%

$500K+

15

13

15%

197 (-31%)

150 85 (+67%) 51 (+19%)

75 0

'08 '09 '10 '11 '12 '13 '14 '15 '16 '17 '18 '19 '20 '21 '22

Price Range

8

By Submarket

Rolling Last 12 Months (YoY%)

 Contracted activity was lower across submarkets in Q1  West and Central submarkets experienced the largest declines for the quarter  Eastern Lombard has the most contract activity generally over the last decade

North

West

Central

East

South

200

150

145 (+3%)

100

115 (-1%) 107 (+15%) 96 (-14%) 82 (-9%)

Jan. – Mar. (YoY%) '22

'21

%

North

27

33

-18%

West

13

23

-43%

Central

19

35

-46%

East

30

34

-12%

South

17

23

-26%

50

0

'08 '09 '10 '11 '12 '13 '14 '15 '16 '17 '18 '19 '20 '21 '22

Submarket

9

CLOSED HOME SALES

By Price Range

Rolling Last 12 Months (YoY%)

 Closed homes were down 24% YoY driven mostly by homes priced below $400K  Closing activity continued to grow for homes priced $400K – $500K during the quarter and the last 12 months  Closed homes likely to continue declines with lower listings and fewer contracts

<$300K

$300K – $399K

$400K – $499K

$500K+

500

400

Jan. – Mar. (YoY%)

300

'22

'21

%

<$300K

24

52

-54%

$300K - $399K

38

54

-30%

$400K - $499K

15

8

88%

$500K+

8

10

-20%

215 (-28%)

200

100

0

87 (+98%) 53 (+43%) '08 '09 '10 '11 '12 '13 '14 '15 '16 '17 '18 '19 '20 '21 '22

Price Range

282 (+32%)

10

By Submarket

Rolling Last 12 Months (YoY%)

 Closed activity was lower across submarkets in Q1  West and East submarkets were down the most for the quarter, but have increased the most over the last 12 months  Closed home sales remain higher generally than pre-pandemic levels

North

West

Central

East

South

200

150

151 (+14%)

100

123 (+5%) 110 (+18%) 103 (-1%) 86 (0%)

Jan. – Mar. (YoY%) '22

'21

%

North

21

22

-5%

West

11

20

-45%

Central

18

23

-22%

East

16

24

-33%

South

15

22

-32%

50

0

'08 '09 '10 '11 '12 '13 '14 '15 '16 '17 '18 '19 '20 '21 '22

Submarket

11

COMPASS CONTRACTED Selected Compass Lombard Listings Under Contract

119 South Edgewood Ave.

1127 East Division St.

$615K

~2,900

4 / 2.1

2

$227K

~1,000

2/1

2

LIST PRICE

SQ. FT.

BEDS / BATHS

CAR GARAGE

LIST PRICE

SQ. FT.

BEDS / BATHS

CAR GARAGE

18W234 West 16th St. $155K

~1,200

3 / 1.1

1

LIST PRICE

SQ. FT.

BEDS / BATHS

CAR SPACE

12

HIGHLIGHTED HOME Recently Closed East Lombard Transaction

Bought By: $412,100 SALE PRICE

100%+ SALE / LIST PRICE

$292 PRICE PER SQ. FT.

4/2 BEDS / BATHS

1,412 SQ. FT.

Beautifully updated home with open floor plan in great location near Lombard Commons. Helped buyer win in competitive multiple offer scenario 13

HIGHLIGHTED HOME Recently Closed Central Lombard Transaction

Bought By: $354,000 SALE PRICE

96% SALE / LIST PRICE

$254 PRICE PER SQ. FT.

4/3 BEDS / BATHS

1,396 SQ. FT.

Adorable cottage home close to Hammerschmidt Elementary with charming features throughout and great outdoor entertaining area 14

HIGHLIGHTED HOME Recently Closed East Lombard Transaction

Bought By: $325,000 SALE PRICE

100%+ SALE / LIST PRICE

$183 PRICE PER SQ. FT.

3/2 BEDS / BATHS

1,773 SQ. FT.

Light and bright home updated throughout with a large great room addition.

Helped buyer win in competitive multiple offer scenario.

15

HOME INVENTORY

By Price Range

Mar. Quarter End (YoY%)

 Available homes declined overall 33% and remains at 15+ year lows  Inventory is particularly limited for homes priced <$300K  Homes priced $500K+ are 35% of inventory

<$300K

$300K – $399K

$400K – $499K

$500K+

200

 Scarce inventory expected to continue driving “seller’s market” conditions 150

Mar. Trends (Relative%) 100 23% 11% 30%

22% 14%

50%

16% 14% 27%

31%

27% 13% 25%

25%

43%

36%

33%

35%

'18 '19 <$300K $400K – $499K

'20

75%

0%

35% 24%

50

24% 16%

'21 '22 $300K – $399K $500K+

0

'08 '09 '10 '11 '12 '13 '14 '15 '16 '17 '18 '19 '20 '21 '22

100%

13 (-13%) 9 (-36%) 9 (+29%) 6 (-68%) 16

By Submarket

Mar. Quarter End (YoY%)

 Home inventory is meaningfully lower  All submarkets have less than a dozen homes available

North

 North and West comprise slightly more relative inventory compared to years prior to the pandemic

75

Mar. Trends (Relative%)

50

75% 50% 25% 0% North

12% 26%

16% 17%

11% 15%

27%

28% 20%

12% 18% 15% 21%

18% 19%

16% 18% 18% 18%

26%

30%

22% 18%

26%

33%

'18

'19

'20

'21

'22

West

Central

East

South

Central

East

South

25

0

11 (-8%) 7 (-22%) 6 (-14%) 5 (-62%) 4 (-20%) '08 '09 '10 '11 '12 '13 '14 '15 '16 '17 '18 '19 '20 '21 '22

100%

West

17

CONTRACT TIME

By Price Range

Rolling Last 12 Months (YoY%)

 Days between listing date and contract signing have been low (mostly less than a month) for several years  Homes went under contract in less than two weeks generally over the last 12 months  Expect contract times to remain short given buyer demand and limited inventory

<$300K

$300K – $399K

$400K – $499K

$500K+

225

150

Price Range

'22

'21

%

<$300K

13

9

44%

$300K - $399K

19

21

-10%

$400K - $499K

8

23

-65%

$500K+

8

34

-76%

75

0

'08 '09 '10 '11 '12 '13 '14 '15 '16 '17 '18 '19 '20 '21 '22

Jan. – Mar. (YoY%)

11 (+10%) 10 (0%) 8 (0%) 6 (-25%) 18

By Submarket

Rolling Last 12 Months (YoY%)

 Contract time in Q1 remained fast, although the North and West saw meaningful increases from a low number of days in the prior quarter

North

West

Central

East

South

 Buyers are reviewing new listings quickly  Homes on the market for 3 weeks or longer are likely overpriced or have other factors impacting time / interest

100

75

Jan. – Mar. (YoY%) 50 '22

'21

%

North

38

13

192%

West

16

11

45%

Central

7

9

-22%

East

6

12

-50%

South

23

23

0%

25

0

'08 '09 '10 '11 '12 '13 '14 '15 '16 '17 '18 '19 '20 '21 '22

Submarket

11 (0%) 8 (+14%) 8 (+14%) 8 (-27%) 5 (-38%) 19

PRICE DISCOUNTS

By Price Range

Rolling Last 12 Months (YoY%)

 Sales closed at 98% – 99% of original list price for Q1 as homes continued to sell for near and above ask  Multiple offers should be expected for properties priced fairly and in good condition  Price discounts are narrow and expected to remain that way near-term

<$300K

$300K – $399K

$400K – $499K

$500K+

100%

100% (+1%) 99% (+2%) 99% (0%) 98% (+1%)

95%

Jan. – Mar. (YoY%)

90%

'22

'21

%

<$300K

98%

98%

0%

$300K - $399K

99%

98%

1%

$400K - $499K

98%

97%

1%

$500K+

98%

97%

1%

85%

80%

75%

'08 '09 '10 '11 '12 '13 '14 '15 '16 '17 '18 '19 '20 '21 '22

Price Range

20

By Submarket

Rolling Last 12 Months (YoY%)

 Price discounts have been mostly consistent across submarkets  Limited differences reflect appeal of Lombard overall  Discounts remain tight across submarkets

North

West

Central

East

South 100% (+2%) 100% (+1%) 100% (+1%) 100% (+2%) 99% (+1%)

100%

 Buyers and sellers mostly meeting at 1% – 2% discount to original price 95%

Submarket

'22

'21

%

North

98%

98%

0%

West

97%

98%

-1%

Central

100%

98%

2%

East

100%

100%

0%

South

99%

96%

2%

90%

85%

'08 '09 '10 '11 '12 '13 '14 '15 '16 '17 '18 '19 '20 '21 '22

Jan. – Mar. (YoY%)

21

PRICE PER SQ. FT.

By Price Range

Rolling Last 12 Months (YoY%)

 Price per sq. ft. trend was significantly higher across all prices ranges in Q1  Price ranges below $400K set new records over the last 12 months  Pricing continues to be strong based on low home inventory and continued buyer demand

<$300K

$300K – $399K

$400K – $499K

$500K+

$250

$205 (+6%) $202 (+12%) $200 (+6%) $187 (-4%)

$200

Price Range

'22

'21

%

<$300K

$210

$177

19%

$300K - $399K

$217

$193

12%

$400K - $499K

$223

$186

20%

$500K+

$210

$179

17%

$150

$100

'08 '09 '10 '11 '12 '13 '14 '15 '16 '17 '18 '19 '20 '21 '22

Jan. – Mar. (YoY%)

22

By Submarket

Rolling Last 12 Months (YoY%)

 Submarkets saw higher prices for the quarter with all areas increasing  Each submarket was $200+ price per sq. ft. in Q1 and values for the last 12 months have returned to pre-recession levels  With continued increases in South Lombard, this region is catching up to others after trailing since 2017

North

West

Central

East

South

$250

$212 (+5%) $205 (+3%) $202 (+5%) $197 (0%) $191 (+9%)

$200

Submarket

'22

'21

%

North

$210

$205

2%

West

$240

$183

31%

Central

$222

$204

9%

East

$223

$182

23%

South

$204

$176

16%

$150

$100

'08 '09 '10 '11 '12 '13 '14 '15 '16 '17 '18 '19 '20 '21 '22

Jan. – Mar. (YoY%)

23

CLOSED SALE PRICES

By Submarket  Sale prices were higher during Q1 (these values are influenced by relative prices and the size of the homes sold)  Tight band of closed sale prices for the last 12 months with a range across all areas of only ~$30K  Limited homes available and remodeled homes expected to push prices higher

Rolling Last 12 Months (YoY%) North

West

Central

East

$400K $350K $300K

Jan. – Mar. (YoY%)

South

$356 K (+9%) $331 K (+3%) $325 K (+8%) $325 K (+14%) $323K (+13%)

$250K '22

'21

%

North

$390K

$292K

34%

West

$350K

$327K

7%

Central

$339K

$333K

2%

East

$325K

$300K

9%

South

$348K

$323K

8%

$200K $150K $100K

'08 '09 '10 '11 '12 '13 '14 '15 '16 '17 '18 '19 '20 '21 '22

Submarket

24

COMPARING HOME TYPES Analyzing Lombard Home Types

Home Type

Single Family

Town Houses

Condos

New Listings

130

22

63

Contracted Homes

113

21

60

Closed Homes

85

14

49

Home Inventory

37

5

15

Contract Time

14 days

4 days

7 days

Price Discounts

98.2%

100.0%

98.5%

Price per. Sq. Ft.

$216

$184

$151

Closed Sale Price

$348K

$269K

$170K 25

SEEN AROUND LOMBARD Our Recent and Upcoming Lombard Community Involvement in Q2

Saturday, April 9 (Under Age 3 Begins at 10:40am)

Saturday, May 14 (Races Begin at 8am)

Event Sponsor

Event Sponsor

Saturday, June 11 (9 – 11am)

Movie: Wednesday, June 15 (Sunset): Raya and The Last Dragon (PG)

Premier Event Sponsor

Concert: Wednesday, June 29 (7pm): Wild Daisy Premier Event Sponsor

26

COMPARING SUBURBS Analyzing Western Suburb Markets

Suburb

Median Price

Q1 YoY%

Price / Sq. Ft.

Q1 YoY% Contract Time Q1 YoY%

Clarendon Hills

$720K

31%

$281

10%

9

-67%

Downers Grove

$445K

11%

$233

14%

9

-25%

Elmhurst

$497K

5%

$263

7%

13

-35%

Glen Ellyn

$508K

12%

$238

10%

12

-33%

Hinsdale

$1,060K

19%

$283

4%

24

-31%

La Grange

$535K

-5%

$254

3%

7

-50%

Lombard

$349K

12%

$216

17%

13

-19%

Oak Brook

$800K

2%

$220

8%

47

-15%

Western Springs

$600K

-11%

$312

13%

23

15%

Wheaton

$423K

6%

$217

7%

15

15% 27

Compass is a licensed real estate broker and abides by federal, state and local equal housing opportunity laws. All material presented herein is intended for informational purposes only, is compiled from sources deemed reliable but is subject to errors, omissions, and changes without notice. Sources include Midwest Real Estate Data LLC. This is not intended to solicit property already listed.

www.compass.com 630.750.9551 kelly.stetler@compass.com www.kellystetlerrealestate.com