Chicago Condo Directory

March 8, 2010 - Everyone has been talking about the effect that the shadow market, which refers to the high number of Chicago condos that are currently being offered for rent, has had on both condo sales and apartment leasing. Now we have some statistics from Appraisal Research Counselors to mull over and digest.

Appraisal Research Counselors has stated that for 2009, there was an all-time high number of condos and townhomes leased in the Chicago real estate market since the firm has been keeping track of statistics. In 2005 and 2006 between 300 and 600 units were listed for rent during each quarter. By the year 2007 there was an increase to over 700 condos and townhomes listed for rent each quarter.

When 2008 rolled around, the decline in condo sales and increase in investors feeling the pinch of fewer buyers pushed up the number of units available for rent by the middle of the year to around 1,000. The second quarter of 2009 showed 1,375 downtown units listed for rent, but the third quarter topped that with 1,507 units leased. The amount decreased to around 900 by the last quarter of 2009. In all, around 3,449 downtown units were rented during 2008 and about 4,483 during 2009.

Now, the total amount of units up for lease is over 1,700, and that is a 43% increase from the fourth quarter of 2008. ARC puts the number of occupied downtown rental units during the fourth quarter of 2009 at 1,739 more than there were in the last quarter of 2008. Ron DeVries of ARC was quoted in the Chicago Journal as saying that the increase was, “The highest year over year gain since we began formally tracking the downtown rental market.” He also reminded us that 2,234 new units in six new rental towers downtown will hit the market this year.

Be sure to check back with us here at the Chicago real estate blog for all the latest information on leasing trends for Chicago apartments and Chicago condos.

Technorati Tags: Chicago Apartments, Chicago Condos, Chicago Real Estate Blog