Winnetka, IL

Today's Chicago Tribune (November 24, 2009) front page headline proclaims: "Home Sales Surge in Area." Is it true in Winnetka, Wilmette, Kenilworth, Glencoe and Northfield? Have prices plummeted as the article claims?

Well, in a word, no. And how much of this increase can be attributed to the First Time Home Buyer Credit. Is real estate local? First the numbers:

OCTOBER 2009

Units Sold: 54

Average Market Time: 259 days

Median Price: $677,500

Average Price: $917,573

Total Volume: $49,548,952

OCTOBER 2008

Units Sold: 48

Average Market Time: 185 days

Median Price: $620,600

Average Price: $884,253

Total Volume: $42,444,125

OCTOBER 2007

Units Sold: 62

Market Time: 126 days

Median Price: $866,500

Average Price: $1,233,568

Total Volume: $74,481,238

OCTOBER 2006

Units Sold: 49

Market Time: 97 days

Median Price: $642,500

Average Price: $903,602

Total Volume: $44,276,500

The newspaper said: "It was the best October for sales in the Chicago area since 2006." Not true for the North Shore where the area sales spiked for October 2007, 62 units sold to 54. Year-over-year it has taken longer for houses to sell going from an average of 97 days in 2006 up to 259 days this year.

Some good news, some not so good: Athough sales went up, prices went down. While Chicago saw an upsurge of home sales this October over last of 28.5%, the North Shore communities also saw sales go up, but at a slower rate of 11%. As for average price, well, we've followed the national trend there with prices coming down approximately 26% in the span of two years (October 2007 to October 2009.)

My opinion is that these large city and national statistics are driven by the First Time Home Buyer Credit which allowed for an $8000 credit on the purchase of a new home by November 30 (since extended.) I had one such sale in Chicago's north side and the push was to search, buy, close, and quickly. Of course the numbers would jump - but only temporarily. It's just not something we are going to see in Winnetka or Kenilworth with average home prices being well beyond the reach of most first-time home buyers and most residents making in excess of the minimum salary requirement.

Prices have dropped record amounts in the past two years and I feel that we are getting close to the bottom - not there yet, but close. I don't see a rebound that will shock and awe, but rather a slow appreciation that might take many years to get back to 2007 prices.

If you are a seller, be realistic and price accordingly with the help of your realtor. If you are a buyer, be methodical and don't pin your hopes on one house or you might not get the best price.

If you need help buying or selling real estate in this challenging market, call me for a free market evaluation or daily list of home updates.

Winnetka's Original Log Home - the Schmidt-Burnham Log house is thought to be Winnetka's oldest home. Some fine homes are still standing that were built as early as the 1890s, but this simple design was built by the earliest settlers in the vicinity. This log house is slightly more sophisticated than the humble one-room log cabin and was intended to be permanent, having two or more rooms plus a second story.

The logs were closely fitted with a complicated system of notching. Sticks and stones were placed between the logs and covered with mud to help weatherize the home. Interestingly, the windows and doors were cut out after the home was built!

Finnish and Swedish immigrants originally introducted this simple construction style to America and this home ihas more German influences with rooms surrounding a central chimney.

The house was originally constructed on 37 acres on the present site of Indian Hill Country Club, near the corner of Winnetka Avenue and Church Road. German immigrant Peter Schmidt was the first documented owner and purchased the property in 1841 - he enlarged it to accommodate a growing family and several generaltions living within. He also stuccoed the interior and added clapboard to the exterior. He sold the house in 1870 and moved to Wisconsin.

Around 1917 a famous local artist, Anita Willets Burnham, (shown as a child in the photo below right)was on a painting excursion and walked up to the house in search of water. She fell in love with it and purchased it for $25 - but the land was not included as it had been annexed for the construction of Indian Hill Country Club in Winnetka. She spent $100 to have the house moved by horse-drawn wagon to 1407 Tower Road in Winnetka, near the intersection of Tower and Vernon. The Burnham family added a clapboard lean-to in the back to provide more space.

The Burnhams owned the home until 2001 when it was donated to the Winnetka Historical Society and moved yet again to Crow Island Woods, adjacent to Crow Island School. The Historical Society restored the home and opened it for public viewings in 2006. The present day location gives it an aura of authenticity as it sits among the prarie grasses and gardens.

Although there are no more open houses this year, group visits can be arranged in advance by contacting the Winnetka Historical Society.

To read more:

Winnetka Historic Homes Part 1

(Two black and white photos above and left are courtesy of the Winnetka Historical Society)

Moving Day 2003

Winnetka, Wilmette, Kenilworth, Northfield October Home Sales - homes sales are down for the month of October compared to September and August. But that's not unusual, given the usual end of the year slowdown. Prices continue to dip and houses on the market for the longest period of time sustained the greatest loss. But prices are just beginning to stabilize I think, or at least the decline has markedly slowed down.

Winnetka - 12 total sales - Average Sale Price: $1,318,750

1487 Tower, $480,000 sold price, 86 days on market, 84% of asking price

1010 Oak, $565,000 sold price, 420 days on market, 76% of asking

1146 Cherry, $680,000 sold price, 64 days on market, 91% of asking

206 Green Bay, $700,000 sold price, 872 days on market, 78% of asking

1025 Elm, $1,145,000 sold price, 153 days on market, 80% of asking

1044 Cherry, $1,180,452 sold price, 1 day on market, 100 of asking

597 Oak, $1,240,000 sold price, 167 days on market, 82%

799 Lincoln, $1,260,000 sold price, 677 days on market, 43% of asking (REO property)

561 Cherry, $1,275,000 sold price, 27 days on market, 91% of asking

898 Ash, $1,300,000 sold price, 14 days on market, 93% of asking

717 Locust, $2,200,000 sold price, 219 days on market, 92% of asking

645 Maple, $3,800,000 sold price, 288 days on market, 96% of asking

Northfield - 5 Total Sales - Average Sale Price: $668,000

263 Bristol, $300,000 sold price, 151 days on market, 75% of asking price

269 Dickens, $370,000 sold price, 42 days on market, 84% of asking

4 Country Lane, $690,000 sold price, 137 days on market, 73% of asking

353 Eaton, $920,000 sold price, 732 days on market, 63% of asking

4 Bridlewood, $1,060,000 sold price, 529 days on market, 71% of asking

Wilmette - 15 Total Sales - Average Sale Price: $732,000

2525 Wilmette, $329,000 sold price, 54 days on market, 90% of asking price

238 N. Kilpatrick, $365,000 sold price, 149 days on market, 87% of asking

304 W. Wilshire, $389,000 sold price, 111 days on market, 87% of asking

817 Westwood, $525,000 sold price, 101 days on market, 82% of asking

219 Dupee, $540,000 sold price, 76 days on market, 86% of asking

2112 Thornwood, $545,000 sold price, 138 days on market, 78% of asking

2016 Birchwood, $559,500 sold price, 127 days on market, 90% of asking

736 Park, $575,000 sold price, 17 days on market, 93% of asking

2445 Kenilworth, $870,000 sold price, 126 days on market, 86% of asking

1306 Greenwood, $925,000 sold price, 131 days on market, 73% of asking

1007 Linden, $936,000 sold price, 108 days on market,

1014 Pontiac, $945,000 sold price, 136 days on market, 90% of asking

2537 Laurel, $1,080,000 sold price, 203 days on market, 80% of asking

1000 Chestnut, $1,125,000 sold price, 202 days on market, 76% of asking

511 Greenleaf, $1,285,000 sold price, 11 days on market, 95% of asking\

Kenilworth - 1 Total Sale

234 Leicester, $1,285,000 sold price, 611 days on market, 61% of asking price

Glencoe - 12 Total Sales - Average Sale Price $1,167,160 (skewed by one high sale)

416 Madison, $412,500 sold price, 308 days on market, 83% of asking price

566 Dundee, $415,000 sold price, 323 days on market, 76% of asking

229 Sylvan, $482,500 sold price, 12 days on market, 96% of asking

459 Drexel, $590,000 sold price, 120 days on market, 87% of asking

480 Westley, $590,000 sold price, 59 days on market, 85% of asking

258 Dennis, $610,000 sold price, 86 days on market, 85% of asking

737 Elder, $675,000sold price, 115 days on market, 84% of asking

130 Euclid, $950,000 sold price, 508 days on market, 60% of asking

260 Wentworth, $1,240,000 sold price, 1172 days on market, 52% of asking

944 Skokie Ridge, $1,250,000, 323 days on market, 81% of asking

1010 Sheridan, $1,592,500 sold price, 10 days on market, 94% of asking

443 Sheridan, $5,200,000 sold price, 1696 days on market, 37% of asking price

After reading about the tragic death of a young folk singer in Canada from an attack by two coyotes, I am reminded that these wild animals should be treated with caution and never, ever fed. These amazing animals have been thriving in our urban/suburban environement. Because they look like the famiily dog, well-meaning people can sometimes forget that coyotes need to be left to fend for themselves. This is for their protection as well as ours.

Experts say this this type of attack is extremely rare. In order to keep facts in perspective, there are 4.7 million dog bites every year - with 1000 people every day needing treatment in emergency rooms. Meanwhile, some other statistics about coyotes:

• about 1 person per year is bitten by a coyote in California
• between 1993-1997 seven people were bitten by coyotes in Arizona
• The best estimates assert that, in recorded history, there have been 20 to 30 coyote attacks on humans that resulted in injuries

What is more common are coyote attacks on pets - such as Jessica Simpson's small dog Daisy being snatched by one in California. Numerous small dogs have been killed by coyotes in their own yards.

The reason I am writing about coyotes is because they live among us, primarily here in Glencoe and Winnetka. As I am a regular runner on the Green Bay Trail in the early mornings, I have often been treated to a fleeting glance of a coyote as it disappears into the brush. On our nightly walks after dinner, my husband and I occasionally see one walking on the Metra rail tracks.

Our dog is always leashed on walks - primarly to avoid the dreaded skunk spraying, but also to prevent a run-in with a coyote. Our dog weighs about 40 lbs., perhaps too large for a coyote attack, but why take the chance. Recently, a coyote was seen walking by Hubbard Woods School in Winnetka broad daylight as neighborhood dogs, confined in their yards with invisible fences, barked hysterically. I would not have believed it except I saw it myself.

Use common sense if you see a a coyote and remember:

1. Coyotes prefer not to be seen by humans
2. Urban coyotes are more active at night than their rural cousins
3. They actually do us a favor by eating rodents that we don't want around
4. Don't leave your pet's food outside
5. Keep cats inside
6. Keep your dog on a leash
7. Don't let pets out at night unless accompanied

Coyotes are here to stay - remember the rules and you and your pets will remain safe.

Every buyer I have ever worked with has asked me to explain the Cook County system of property tax assessment. Explain? How could I adequately do this when the Civic Federation says this on their blog:

"The Cook County property tax system is so complex that it is impossible to predict exactly how the new tax rates will affect an individual property owner’s bill."

And in today's Chicago Tribune, in an excellent article by Eric Zorn, he writes:

"Just about everything having to do with property taxes is convoluted and every explanation is filled with jargon, acronyms and more math than most of us are used to doing."

But of course, I try to explain it - as I will again now. Especially in light of the fact that Winnetka, Wilmette, Kenilworth and other North Shore communities have seen dramatic price reductions during the last year and people assume their tax bills will reflect this. Maybe later - but one curiosity of our taxing system is that our bills are paid in arrears - this means that this year's bill is for last year, when home values were higher.

So no, your tax bill will not automatically reflect the rather substantial drop in your home's value. In addiiton to this, the 7% Homeowner Exemption which was passed in 2004 is being phased out.

But let's get back to basics. There are hundreds (I have heard as many as 1200) taxing bodies in Cook County that make a claim on property tax monies. These bodies are the park districts, libraries, schools, city, county, etc. Determining what the total demand is - then setting about extracting this from homeowners is how the tax rate is determined. So in effect, taxes go up if more money is requested.

Unless you're really ready for a challenge, skip the next paragraph!

Actually determining what each homeowner pays is a nightmare to understand. First there is the assessment level, which in Cook County is 16% of your home's market value. Then there is an equalization factor which attempts to even out or "equalize" assessments from county to county across the state. The equalized assessed value is the county's assessed value after it has been equalized. So your total tax bill is based on the latest assessment, and new equalization factor, exemptions and tax rate.

What is really confusing is that 1) your assessment could go up while your taxes go down, or 2) your assessment can go down and your taxes could go up. In other words, somebody must have wrote this thing with the thought in mind that you can't complain about something that you don't understand. The important thing to understand is how much your portion goes up in relation to other houses.

This is where I can help you - by providing information from the tax base about your neighborhood, recent sales, and tax bills being currently paid by your neighbors. This is how you can determine where you stand in comparison to other properties. But please don't ask me to explain the Cook County System of Property Taxation - I'd rather wade through a swamp filled with alligators. . . .