Illinois Housing Market Improves in May

Sales Up 17.3 Percent from April

SPRINGFIELD, Ill., June 26 /PRNewswire-USNewswire/ -- Illinois REALTORS(R)
statewide reported an upswing in home sales in May from April 2008, according
to the Illinois Association of REALTORS(R) latest report. Total home sales
(which include single-family and condominiums) were up 17.3 percent in May
2008 to 11,173 sales compared to April 2008 sales of 9,523; year-over-year
sales were down 22.9 percent from May 2007 totals of 14,493. The Illinois
median price in May reached $190,000, down 7.3 percent from $204,900 in May
2007. The median is a typical market price where half the homes sold for more,
half sold for less.

"The Illinois housing market showed some positive signs of stabilizing in May
with a sizeable jump in sales from the previous month and the fourth
consecutive month-to-month increase," said REALTOR(R) Kay Wirth, president of
the Illinois Association of REALTORS(R). "Pricing and knowledge of the local
market are key factors in moving homes in today's environment, and it's
important to get a thorough market analysis from a real estate professional
who knows the local market inside and out."

The monthly average commitment rate for a 30-year, fixed-rate mortgage for the
North Central region was 6.04 percent in May 2008, up 0.10 points from the
5.94 average rate the previous month, according to the Federal Home Loan
Mortgage Corporation. Last year in May it averaged 6.29 percent.

"Some key markets saw a pick-up in sales in May over last year including
Iroquois, Jo Daviess, Knox and Madison counties," said Wirth, a broker with
Re/Max Unlimited Northwest in Crystal Lake.

In the Chicagoland Primary Metropolitan Statistical Area (PMSA) total home
sales (which include single-family and condominiums) were up 13.7 percent in
May 2008 to 6,927 sales compared to April 2008 sales of 6,095; year-over-year
sales were down 29.0 percent from 9,751 home sales in May 2007. The median
home sale price for the Chicagoland PMSA was $251,000 in May 2008, off 0.5
percent from $252,200 in May 2007. The Chicagoland PMSA, as defined by the
U.S. Census Bureau, includes Cook, DeKalb, DuPage, Grundy, Kane, Kendall,
Lake, McHenry and Will counties.

"Illinois defied the national trend for the third time in the last six months
by adding 4,000 jobs in May, registering a 0.35 percent growth in jobs in the
last 12 months," said Dr. Geoffrey J.D. Hewings, director of the Regional
Economics Applications Laboratory (REAL) of the University of Illinois.
"Forecasts for the next three months (June, July and August) suggest
continuing declines in home sales compared to the same months last year but
month-to-month forecasts suggest positive growth in June, declines in July,
and almost no change in August."

In the latest forecast for the National Association of REALTORS(R) chief
economist Lawrence Yun said the underlying fundamentals point to a pent-up
demand. "Home sales are at about the same level as they were 10 years ago yet
the population has grown by 25 million people and we have over 10 million more
jobs," said Yun. "The housing market has been underperforming by historical
standards, partly because buyers were hampered by mortgage availability
issues, but that's improved and an upturn is likely."

Sales and price information is generated from a survey of Multiple Listing
Service sales reported by 35 participating Illinois REALTOR(R) local boards
and associations.

The Illinois Association of REALTORS(R) is a voluntary trade association whose
60,000 members are engaged in all facets of the real estate industry. In
addition to serving the professional needs of its members, the Illinois
Association of REALTORS(R) works to protect the rights of private property
owners in the state by recommending and promoting legislation that safeguards
and advances the interest of real property ownership.

SOURCE Illinois Association of REALTORS

Ann Londrigan of the Illinois Association of REALTORS(R), +1-217-529-2600