Chicago is the most popular city in the Midwest and the third-largest city in the US with a population of over 2.7 million people (following New York City and Los Angeles). At TAWANI Property Management, we manage over 300 units throughout the metro area including single-family homes, condos, multi-family, and commercial buildings. Our priority is to keep our residents happy and provide the best services, which is why each year we stay on top of the latest housing trends.
A recent real estate market report identified some 2020 predictions including what’s driving the Chicago housing market for real estate investments. If you are like us and are interested in the latest trends or if you need to brush up on your housing market trivia to impress your friends, we’ve highlighted the top five trends for you below:
1. Rental Demand Will Remain Strong – With over 1.5 million renters, traditional rentals will be in high demand around the Wind City. Generally, renting makes more financial sense for the average person since it is more affordable and maintenance is covered, which is a positive indicator for real estate investors that are looking to sell residential properties. Additionally, a large portion of Chicago’s population consists of young professionals, the majority of which prefer to rent rather than own real estate due to convenience, the ease of relocation, and various economic factors.
2. Chicago is Becoming a Buyer’s Market – After years of being a seller’s market, the Chicago housing market is expected to become a buyer’s market in 2020. An increase in construction activities, leading to a growth in inventory, is credited for this shift.
3. The Year of Airbnb – Chicago is one of the most popular tourist locations in the US for both leisure visitors and business travelers. According to residential real estate investors, this indicates high potential for the 2020 Airbnb Chicago rental business. With Airbnb opening up the lodging market and really focusing on creating memorable, one-of-a-kind experiences, it has never been easier to book affordable, short-term accommodation or to rent out a property.
4. Multifamily Homes Offer High ROI – More than other property types, multifamily homes for sale promise the highest return on investment in Chicago when considering the price per square foot. This provides an easy opportunity for investors to scale up their real estate investment portfolios.
5. Demographic Shifts – Millennials are becoming the largest group of consumers in the tenant market. This generation is the most tech-savvy, driving landlords and property management companies to ramp up their game with high tech solutions they offer. These renters appreciate the ease of using their smartphones for day-to-day tasks like paying rent and online portals to make work order requests.
If you are interested in learning more about the properties we manage and current residential spaces available, please feel free to reach us at (844) 329-2161. We are happy to answer any questions!