Downers Grove Real Estate Guide (Q3 2023) by Kelly Stetler Real Estate

Q3 2023

DOWNERS GROVE LOCAL REAL ESTATE GUIDE

METHODOLOGY Overview of Terms and Downers Grove Submarkets CLOSED: closed transaction reflecting the final sales price (does not include any seller credits) CONTRACTED: contingent or pending transaction reflecting the latest asking price

NORTH (North of Rte. 34)

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

CENTRAL WEST

CENTRAL EAST

(Rte. 34 to 55th St. /

(Rte. 34 to 55th St. / East of Main Street

West of Main Street )

SOUTHWEST (South of 55th St. / West of Main St.)

SOUTHEAST (South of 55th St. / East of Main St.)

PRICE PER SQ. FT: ratio of the median price to the median sq. footage of a closed transaction as a relative price measure Note: All figures represent detached single-family homes unless otherwise specified. Price range data based on the village of Downers Grove. Submarket figures based on the approximate areas identified on map above and may not include every home within village limits.

MARKET SUMMARY “Seller’s Market” Continues into the Fall with Very Low Home Inventory

Closed Homes (Q3)

Lower Activity

New Home Listings (Q3)

26%

Contracted Homes (Q3)

Fewer Available Homes

Home Inventory (September)

34%

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

Short Market Times

List to Contract Days (Q3)

Short market times (mostly a week or so) with home contract days slightly extending

Limited Price Discounts

Sale Price Discounts (Q3)

Majority of homes selling at or close to asking price; homes under $400K have more discounts

Higher Sale Prices

Sale Price / Price Per Sq. Ft. (Q3)

Increasing relative prices; certain price ranges and submarkets setting new records

13%

NEW LISTINGS By Price Range

Rolling Last 12 Months (YoY%)

 New listings were down over 25% for the quarter; all areas declined, especially homes priced below $600K

<$400K $600K – $799K

 Month of September was very weak with new listings down more than 45%  Listings continue to decline to multi-year lows (especially homes under $400K)

$400K – $599K $800K+

800 700 600 500

Jul. – Sept. (YoY%)

400 Price Range

'23

'22

300

<$400K

-27%

200

$400K - $599K

124

-40%

$600K - $799K

-5%

$800K+

-2%

285 (-22%) 212 (-28%) 148 (-20%) 122 (+9%)

'08 '09 '10 '11 '12 '13 '14 '15 '16 '17 '18 '19 '20 '21 '22 '23

100

By Submarket

Rolling Last 12 Months (YoY%)

 Q3 experienced lower new listing activity across submarkets, except Southwest (which is consistent with last quarter)

North Southwest

 All areas other than the Southwest showing listing declines over the last 12 months  Southwest now has the most new listings after a period where Central East had more activity

Central West Southeast

Central East

400 350 300 250

Jul. – Sept. (YoY%)

201 (+14%)

200 Submarket

'23

'22

150

North

-19%

100

Cenral West

-23%

Central East

-35%

Southwest

Southeast

-45%

138 (-16%) 124 (-39%) 112 (-16%) 103 (-23%)

'08 '09 '10 '11 '12 '13 '14 '15 '16 '17 '18 '19 '20 '21 '22 '23

CONTRACTED HOMES By Price Range

Rolling Last 12 Months (YoY%)

 Contracted homes declined nearly 15% for the quarter; homes priced $600K – $800K were the only range higher

<$400K $600K – $799K

 Alongside lower listings, home contracts slipped the most in September (down 20%+)  Contract activity limited by lack of new listings and low existing home inventory

$400K – $599K $800K+

450 375 300

Jul. – Sept. (YoY%)

225 '23

'22

<$400K

-2%

$400K - $599K

-28%

$600K - $799K

28%

$800K+

-21%

170 (-22%)

150

82 (-20%) 77 (-3%)

75 0

'08 '09 '10 '11 '12 '13 '14 '15 '16 '17 '18 '19 '20 '21 '22 '23

Price Range

205 (-21%)

By Submarket

Rolling Last 12 Months (YoY%)

 Downers Grove submarkets were mostly lower in Q3 (only North increased)

North Southwest

 Central West area has turned positive for the last 12 months (only submarket)  North submarket generally has the lowest level of contract activity, which was the case for the quarter and last 12 months (even with the increase in Q3)

Central West Southeast

Central East

200

150 124 (-5%) 97 (+7%) 95 (-37%) 83 (-19%)

Jul. – Sept. (YoY%) 100 '23

'22

North

31%

Cenral West

-5%

Central East

-29%

Southwest

-3%

Southeast

-31%

67 (-20%) 50

'08 '09 '10 '11 '12 '13 '14 '15 '16 '17 '18 '19 '20 '21 '22 '23

Submarket

CLOSED HOMES By Price Range

Rolling Last 12 Months (YoY%)

 Closed homes saw a small increase for the quarter driven mostly by homes priced $600K – $800K

<$400K $600K – $799K

 Although homes under $400K had the only decline in Q3, all areas remain lower over the last 12 months

450

 Closings impacted by declines in listings and contracts with low home inventory

375

$400K – $599K $800K+

300

Jul. – Sept. (YoY%)

225 '23

'22

<$400K

-17%

$400K - $599K

$600K - $799K

35%

$800K+

168 (-27%)

150

92 (-8%) 74 (-17%)

75 0

'08 '09 '10 '11 '12 '13 '14 '15 '16 '17 '18 '19 '20 '21 '22 '23

Price Range

220 (-17%)

By Submarket

Rolling Last 12 Months (YoY%)

 Downers Grove submarkets were mixed for the quarter (three lower and two higher)

North Southwest

 Significant increase in the Central West for Q3 pushed this area higher over the last 12 months (only submarket)  Closed activity trending below pre-pandemic levels with continued declines

Central West Southeast

Central East

200

150 125 (-5%) 104 (-30%) 101 (+11%) 86 (-22%)

Jul. – Sept. (YoY%) 100 '23

'22

North

-12%

Cenral West

71%

Central East

-23%

Southwest

Southeast

-6%

66 (-31%) 50

'08 '09 '10 '11 '12 '13 '14 '15 '16 '17 '18 '19 '20 '21 '22 '23

Submarket

HOME INVENTORY By Price Range

Sept. Quarter End (YoY%)

 Available homes declined almost 35%; homes priced over $800K were flat and now represent a much higher mix of inventory

<$400K $600K – $799K

 Overall inventory is down ~65% from September 2020 and is at 15+ year lows  Scarce inventory expected to continue driving “seller’s market” conditions

$400K – $599K $800K+

225 200 175

Sept. Trends (Relative%)

150 125

75% 50% 25%

18% 13% 27% 43%

21% 20%

19% 17%

26% 14%

30%

32%

33%

29%

32%

'19 '20 <$400K $600K – $799K

'21

26%

100 40% 18% 27% 14%

'22 '23 $400K – $599K $800K+

75 50

31 (0%) 21 (-46%) 14 (-13%) 11 (-65%)

25 0

'08 '09 '10 '11 '12 '13 '14 '15 '16 '17 '18 '19 '20 '21 '22 '23

100%

By Submarket

Sept. Quarter End (YoY%)

 Home inventory is down meaningfully; only one submarket increased (Southwest) from last year

North Southwest

 West areas represent over 50% of all available home inventory  Central East inventory has seen the largest declines over the last couple years (down 85% from September 2019)

Central West Southeast

Central East

100

Sept. Trends (Relative%) 50

75%

12% 22%

50%

26%

25%

24% 16%

29%

'19

'20 '21 '22 '23 Central West Central East Southeast

North Southwest

13% 19% 23% 16%

13% 21% 27% 26% 14%

17% 17% 22% 28% 17%

17% 27% 15% 24% 17%

18 (+13%) 16 (-41%) 11 (-31%) 11 (-31%) 10 (-52%)

'08 '09 '10 '11 '12 '13 '14 '15 '16 '17 '18 '19 '20 '21 '22 '23

100%

CONTRACT TIME By Price Range

Rolling Last 12 Months (YoY%)

 Days between listing date and contract signing are low, less than a week at price ranges above $400K for the quarter

<$400K $600K – $799K

 Very low contract times showing large percentage moves with small changes  Contract times likely to remain short with limited inventory and buyer demand

$400K – $599K $800K+

150

100

Price Range

'23

'22

<$400K

100%

$400K - $599K

20%

$600K - $799K

-17%

$800K+

-33%

'08 '09 '10 '11 '12 '13 '14 '15 '16 '17 '18 '19 '20 '21 '22 '23

Jul. – Sept. (YoY%)

15 (+88%) 8 (+33%) 7 (-22%) 7 (0%) 12

By Submarket

Rolling Last 12 Months (YoY%)

 Downers Grove submarkets experienced mixed, but fast contract times in Q3  Central East was the only area with longer times in the quarter; only the Central West had shorter times over the last 12 months  Homes on the market for more than 2 weeks could be overpriced or have other factors impacting time / interest

Jul. – Sept. (YoY%)

North Southwest

Central West Southeast

Central East

125

100

'23

'22

North

-22%

Cenral West

-68%

Central East

100%

Southwest

Southeast

'08 '09 '10 '11 '12 '13 '14 '15 '16 '17 '18 '19 '20 '21 '22 '23

Submarket

11 (+38%) 10 (+67%) 9 (+50%) 8 (-20%) 7 (+17%) 13

PRICE DISCOUNTS By Price Range

Rolling Last 12 Months (YoY%)

 Price discounts were limited across price ranges in Q3; only homes under $400K showed a discount to asking price

<$400K $600K – $799K

 All price ranges matched their third quarter results over the last 12 months  Price discounts expected to remain narrow (if any) with limited home inventory

$400K – $599K $800K+ 100% (0%) 100% (0%) 100% (0%)

100%

97% (-1%) 95%

Jul. – Sept. (YoY%) 90% '23

'22

<$400K

97%

$400K - $599K

100%

$600K - $799K

100%

101%

-1%

$800K+

100%

85%

80%

'08 '09 '10 '11 '12 '13 '14 '15 '16 '17 '18 '19 '20 '21 '22 '23

Price Range

By Submarket

Rolling Last 12 Months (YoY%)

 Most submarkets sold around asking price for the quarter; North and Central East saw a small discount  Downers Grove is generally consistent across areas (small range of difference between submarkets)

North Southwest

Central West Southeast

Central East 100% (0%) 99% (-1%) 99% (-1%) 99% (+1%) 98% (-1%)

100%

 Southeast premium in Q3 kept the area at full price over the last 12 months 95%

Jul. – Sept. (YoY%) 90% '23

'22

North

98%

-1%

Cenral West

100%

98%

Central East

99%

100%

-1%

Southwest

100%

99%

Southeast

101%

85%

80%

'08 '09 '10 '11 '12 '13 '14 '15 '16 '17 '18 '19 '20 '21 '22 '23

Submarket

PRICE PER SQ. FT. By Price Range

Rolling Last 12 Months (YoY%)

 Price per sq. ft. increased in Q3 overall; under $400K and $600K – $800K were generally flat  Homes priced $400K – $600K showed the largest increase for the quarter and set a new high over the last 12 months

<$400K $600K – $799K

$400K – $599K $800K+

$300 $288 (+6%)

 Relative prices have moved up meaningfully and remain near summer highs $250

$238 (+9%) $229 (+4%) $227 (-5%)

Jul. – Sept. (YoY%) $200 '23

'22

<$400K

$220

$400K - $599K

$254

$218

17%

$600K - $799K

$239

$242

-1%

$800K+

$288

$283

$150

$100

'08 '09 '10 '11 '12 '13 '14 '15 '16 '17 '18 '19 '20 '21 '22 '23

Price Range

By Submarket

Rolling Last 12 Months (YoY%)

 Mixed relative prices across submarkets for the quarter (3 higher / 2 lower)  Strong relative increases in the West areas in Q3; Central West set a record despite lower overall closed sale prices (driven by home size mix)  Central submarkets continue to hold the highest relative prices even with a slight decline in the Central East

North Southwest

Central West Southeast

Central East

$300 $275 (+3%) $267 (-1%) $250

$232 (+6%) $231 (+11%) $214 (-5%)

Jul. – Sept. (YoY%) $200 '23

'22

North

$229

$244

-6%

Cenral West

$285

$244

17%

Central East

$260

$270

-4%

Southwest

$247

$211

17%

Southeast

$234

$214

$150

$100

'08 '09 '10 '11 '12 '13 '14 '15 '16 '17 '18 '19 '20 '21 '22 '23

Submarket

CLOSED SALE PRICES By Submarket  Overall sale prices were higher overall due to the large North increase (although this area had the fewest Q3 closings)

Rolling Last 12 Months (YoY%) North Southwest

 Central West and Southeast were both lower in the quarter and are the only areas down over the last 12 months

$700 K

 Limited home inventory and more new / updated homes driving increases

$600 K

Central West Southeast

Central East

$500 K

Jul. – Sept. (YoY%)

$400 K '23

'22

North

$610K

$408K

50%

Cenral West

$600K

$685K

-12%

Central East

$535K

$550K

-3%

Southwest

$475K

$440K

Southeast

$437K

$450K

-3%

$500K (+6%) $493K (+3%) $456K (+9%) $430K (-2%)

$300 K $200 K $100 K

'08 '09 '10 '11 '12 '13 '14 '15 '16 '17 '18 '19 '20 '21 '22 '23

Submarket

$630K (-2%)

CLOSED SALE VOLUME By Submarket  Overall closed sale volume for Downers Grove was up ~5% for the quarter, but down nearly 15% over the last 12 months

Rolling Last 12 Months (YoY%) North Southwest

 Increases in two of the largest areas (Central West and Southwest) pushing Q3 higher  Central areas remain the largest sale volume submarkets in Downers Grove

Central West Southeast

Central East

$125M

$100M

Jul. – Sept. (YoY%)

$75M

'23

'22

North

$9M

$8M

Cenral West

$21M

$13M

67%

Central East

$23M

$29M

-21%

Southwest

$21M

$19M

13%

Southeast

$16M

$17M

-3%

$50M

$66M (-24%) $59 M (0%) $43 M (-20%) $34M (-35%)

$25M

$0M

'08 '09 '10 '11 '12 '13 '14 '15 '16 '17 '18 '19 '20 '21 '22 '23

Submarket

$78 M (+19%)

COMPARING HOME TYPES Analyzing Downers Grove Home Types for Q3 2023

Home Type

Single Family

Town Houses

Condos

New Listings

209

26%

59%

Contracted Homes

133

13%

50%

Closed Homes

168

62%

Home Inventory

34%

73%

Contract Time

7 days

17%

4 days

43%

5 days

50%

Price Discounts

100%

102%

100%

Price per Sq. Ft.

$252

$216

$185

10%

Closed Sale Price

$513K

12%

$428K

48%

$170K

0% 20

COMPARING SUBURBS Analyzing Western Suburb Markets

Suburb

Median Price

Q3 YoY%

Price / Sq. Ft.

Q3 YoY% Contract Days Q3 YoY%

Clarendon Hills

$750K

16%

$318

25%

-17%

Downers Grove

$513K

12%

$252

17%

Elmhurst

$511K

-16%

$299

-36%

Glen Ellyn

$550K

16%

$281

10%

-43%

Hinsdale

$1.4M

25%

$327

10%

Lisle

$461K

$226

11%

-30%

Naperville (60540)

$628K

$256

11%

-25%

Western Springs

$803K

20%

$304

-2%

33%

Westmont

$385K

$221

60%

Wheaton

$500K

$241

-38% 21

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. #1 Compass team in DuPage County based on MRED BrokerMetrics for closed transaction volume dates 1/1/23 – 9/30/23 across all residential property types.