Crain’s reports that Midwestern new home sales increased in August over the previous month by 20.5%. This is in contrast to the national decline of new home sales. Year over year, however, new home sales in the Mid-west are down 11.2%. Existing home sales in Chicago are down for the 17th month in a row, with a 20.1% decrease in August. NPR’s <em>Marketplace</em> reports that nationally there is a 10 month supply of residential inventory that needs to be soaked up before we will see a return to stronger market conditions.

This dovetails with a prediction by Diane Swonk, Senior Managing Director & Chief Economist for Mesirow Financial, who said at Rubloff’s Fall All Company meeting that we should look for an upswing in housing by next summer. The business sector is strong, interest rates are low, inflation seems to be in check, and consumer spending is healthy. Housing suffers from an oversupply.

The ups and downs of statistics seem a bit confusing. Uncertainty is the biggest factor in the real estate market now. But the one fact you can glean from these numbers is that if you are buying or selling a home, find an experienced agent and listen to their advice. Pricing to the market is crucial. When your agent tells you a lower price will sell your home faster, you need to listen to them. It is times like these where experienced real estate agents prove their worth.