New Study Shows Transportation is a Desired Premium for Chicago Real Estate

April 05, 2013

Chicago real estate wants transit optionsA recently-conducted study by the American Public Transportation Association and National Association of Realtors confirmed what Chicago real estate experts already knew – homes near the Metra stations are always in higher demand and come with heftier price tags. But, while this is well-known, the effect on the current market has remained a bit of a mystery, until now.

The study found that the key distance from public transport is a half mile away, and nationally, these homes outperformed their car-dependent neighbors by 41.6 percent. Chicago homes didn’t buck that trend; homes within that distance or less to a transit station retained up to 30 percent more of their value from 2006 to 2011.  That resistance to depreciation was across all property types; single-family homes were up 21 percent, townhomes by 63 percent, apartments by 9 percent and condos by 30 percent.

The study also updated numbers on how much people save by living near and utilizing transit. Though residents of the Chicago region pay on average $1,074 a month in transit, residents near Metra Stations pay $990 and residents near CTA stations pay $775. These savings were felt during the recession, and buyers are seeking savings that will continue year-over-year, even if they have to pay a higher cost for entry.

How important is transport to your needs as a Chicago new home buyer? How much more are you willing to pay? Let us know in the comments!

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About The Author

Read All Stories By Mitch Levinson

Mitch Levinson is the author of “Internet Marketing: The Key to Increased New Home Sales” published by BuilderBooks. He is an Internet marketing expert with expertise in search engine optimization, website development, email marketing, social media and CRM consulting services. He is known for creating effective programs that can be tracked through analytics to prove effectiveness and ROI. Mitch is founder and president of MLC New Home Marketing and MLC FlatFee Realty, as well as managing partner of mRELEVANCE, LLC, a Marketing, Communication, Interactive agency with offices in Chicago and Atlanta. He currently leads the Chicago team. A Multi-Million Dollar Sales Producer who earned an MBA in Computer Information Systems and eCommerce, he brings a unique perspective and experience to the field of real estate communications. Mitch combines the two interests in order to help home builders and developers gain a competitive advantage through the Internet and technology. When he isn’t behind a computer, he enjoys participating in sports and coaching his kids’ teams. Mitch resides in Arlington Heights, Ill., a northwest suburb of Chicago, with his family, which includes two rambunctious labs. Visit my Google+ profile.

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