Near South Side Summary
The median sales price for homes in Near South Side for Sep 09 to Nov 09 was $334,000. This represents a decline of 0.3%, or $1,000, compared to the prior quarter and a decrease of 14.5% compared to the prior year. Sales prices have appreciated 17.2% over the last 5 years in Near South Side, Chicago.
The median sales price of $334,000 for Near South Side is 36.33% higher than the median sales price for Chicago IL Chicago
By Fred Scovell of Chicago Viewpoint-
If you think about it, the South Loop has not been a bad real estate investment if you bought 5 years or more ago. Most real estate analysts would tell you that under normal market conditions, you can expect to break even after closing costs if you have owned your property for a minimum of 3 years and actually realize a profit if you have owned it for at least 5 years. A 17.2% appreciation for the South Loop over the last 5 years amounts to a yearly appreciation increase of 3.44% on the purchase price. If you put 5% down on a $300,000 condo ($15,000) 5 years ago and the property appreciated 17.2% it would have a value of $352,600 today. This is in fact a gross return of $52,600 on an actual cash investment of $15,000. After closing costs and commission you would net approximately $26,100. This is a $174% return on dollars actually invested. You could consider the monthly mortgage and real estate tax paid over that time period as general housing costs-costs you would have expended as rental costs without any tax benefit had you not owned.
