Game Theory and Real Estate NegotiationsGame Theory is an extremely complex study of human decision making.  It views the relationship between mathematical models and rational behavior.  It can be applied to economics, political science, biology, computer theory, philosophy and a million other common and not so common situations.  This anaysis is a very simplistic view of a very complex way of thinking.  Game theory is often utilized in real estate negotiations...often with the participants unaware of its’ presence.  Most real estate transaction are considered to be a “perfect information” game because the players are aware of all of the moves of the other player. In a multiple offer situation, this may not be the case.  We often hear a reference to the “win... 02/18/2012

Does the Housing Slump Have You Stuck in Place? As a real estate broker in the Winnetka area, I have spoken to some sellers who are making the decision to stay in their home rather than sell for a loss. Some of these people are empty-nesters who are making an important lifestyle decision based on the market.  They believe that the housing crisis will ease in a few years and that would be a better time to sell. The problem is - we don't know what will be happening tomorrow, let alone a few years.  The majority of real estate pundits predict that housing prices will not see a gain for five to ten years.  Traditionally, housing prices increased at nominal levels somewhat tied to inflation - until the 2000s. Suddenly, there was a spike that appeared like a super charged garden weed, overcro... 02/17/2012

Yes, the U.S. economic recovery is quite fragile at the moment.  There are still major concerns regarding the debt restructuring in Europe.  The war in Afghanistan continues to rage...as well as drain our economy of much needed resources both in dollars and in human capital. The Iranian nuclear threat is sending shivers throughout the world.  The partisan activities of Congress are an anchor on economic progress. All of these factors are clearly placing a level of uncertainty in the minds of Americans.However, the employment situation is clearly improving.  The stock market, which is often a reflection of confidence in the economy...or a lack thereof...has steadily improved and the volatility of the past few years, which is a genuine destroyer of confidence, has not been present.  Thank... 02/16/2012

Winnetka Public Schools Open House If you are thinking of moving to Winnetka or recently have, you might be interested in their upcoming open house. The office had not been modernized in decades and now, after some expanding and updating, they are ready to show off.  They have added a second conference room, utilized unused space, and increased efficiency. You will have an opportunity to meet with the administrative team, and business office and human resources staff.  Light refreshments will be served. When:  Wednesday, February 22              1:30 to 4:00 pm Where:  Winnetka School District Office               1235 Oak St., Winnetka                847-446-9600 No RSVPs are necessary - just stop by! (Note:  Parking on Oak Street is limited during school hours and traffic is heaviest ... 02/15/2012

Tuesday, February 14 Market Report Winnetka, Wilmette and Kenilworth There is some definite buzzin the market these past few weeks - it is the Spring market after all and the weather has been mostly cooperative. Today as I toured broker open houses I had two thoughts: some sellers are pricing to sell and others are still overpricing.  I saw two homes today located on the same block - the larger and better one was priced almost $100,000 less than the other one . . . I guess that says it all.  Summary of today's activity for Winnetka, Wilmette and Kenilworth New homes on market:            16 Newly Under Contract:            9 Price Changes:                         9 Closings:                                 2 Overall, most homes are priced well, look good, and appear to have motivated se... 02/14/2012

Computer and Electronics Disposal in Winnetka - Update   You don't have to travel far out of Winnetka to dispose of old computers and other electronics - read my post from last year:  Computer and Electronics Disposal in Winnetka. But now there's an update to be aware of if you have continued to throw out certain items in your regular trash.  The State of Illinois previously had enacted legislation that banned televisions and computer monitors from being put into Illinois landfills. Recently, Governor Quinn and the Illinois legislature expanded the list to include: Computers – PCs, Laptops + Monitors DVD Players, DVR/Cable Boxes/Satellite Receivers Fax Machines Mobile Phones MP3 Players, PDAs Computer Peripherals (Mice, Keyboards, Drives) Printers, Scanners TVs, VHS Players Video Game C... 02/13/2012

2012 Winnetka Landmark Preservation Awards Nominations Due by April 27 The deadline is near if you are planning to nominate a home for Winnetka's annual Preservation Awards.  Each year, Winnetka honors construction projects that are done in keeping with the history and character of the village.  Their are three categories: Restoration, Rehabilitation, and New Construction.   Rehabilitation The project restores the property to its original appearance using original plans and required research. The project may be a full-scale or partial restoration. An example of a partial restoration would include the replacement of an asphalt shingle roof with original roof material, or the restoration of a porch to its original condition Restoration The project is sympathetic to the building's original... 02/11/2012

Something’s happening here...What it is, ain’t exactly clear...For what it’s worth, something is happening in the North Shore real estate market.Since Labor day, there had been an unusually small number of new listings hitting the market on the North Shore, particularly in Winnetka and Wilmette.  Sure, there is always a seasonal slowdown, but it was much more pronounced this year.  Since then, some properties have been sold...some that were “for sale” were rented and some listings expired and did not return to the market.  Others were taken off the market for the holidays.  2012 began with the fewest active properties for sale in years.... great scenario for sellers!!! (photo courtesy of e_monks photostream on Flikr http://www.flickr.com/photos/e_monk/2704329009/sizes/m/in/photostream/)... 02/07/2012

Winnetka's January Property sales were 6, down -33.3% from 9 in January of 2011 and -62.5% lower than the 16 sales last month. January 2012 sales were at their lowest level compared to January of 2011 and 2010. January YTD sales of 6 are running -33.3% behind last year's year-to-date sales of 9.   The Average Sales Price in January was $1,863,271, up 127.8% from $817,769 in January of 2011 and up 126.2% from $823,568 last month. January 2012 ASP was at highest level compared to January of 2011 and 2010.   The Total Inventory of Properties available for sale as of January was 130, up 7.4% from 121 last month and down -21.7% from 166 in January of last year. January 2012 Inventory was at the lowest level compared to January of 2011 and 2010.   The January 2012 Months Supply of Inventory o... 02/01/2012

Junuary is Over..Febuly is Just Beginning We are lifelong residents of the Chicago area.  We relish in experiencing all of the seasons.  Otherwise we would choose to live somewhere else. Right?  We understand lots and lots of snow and incredibly cold temperatures.  We Midwesterners are hardy folk.  In October, we received the expected forecasts.  According to Accuweather.com Expert Long-Range Meteorologist Bob Smerbeck,  "Last winter was nasty in Chicago. This winter could be just as bad."  Also in October, according to Paul Pastelok, AccuWeather.com Expert Long-Range Meteorologist and leader of the Long-Range Forecasting Team, “this winter will be similar to last year, in terms of both snow and cold. "The difference, though, is that last year, Chicago was hit with heavy snow later in t... 02/01/2012

Winnetka Public School District 36 Implementing Foreign Language Expansion Winnetka School District 36 is responding to parents' requests to increase foreign language classes that lead to fluency.  The decision has been made to incorporate more time for foreign language instruction. Starting in the fall (2012-2013 school year) fifth graders (Skokie School) will receive Spanish instruction every other day.  In sixth grade (also Skokie School), it will increase to every day and they will be given a choice of French or Spanish.   The following school year (2013-2014) the expansion will be implemented in lower grades.  First through fourth graders would study Spanish for a minimum of 90 minutes a week, up from 75 minutes currently.   As the foreign language program currently stands, the goa... 02/01/2012

January 2012 Real Estate Market Report Winnetka, Wilmette, Kenilworth, Glencoe, Northfield How many homes closed in January 2012, how many are under contract and what is currently available in the North Shore suburbs of Winnetka, Wilmette, Kenilworth, Glencoe, and Northfield.  Even though it's late January, mild temperatures make us all feel like spring is in the air.  Buyers are taking advantage of the nice weather to get started on their home searches a little earlier this year. All the following data is representative for the five villages combined:  Winnetka, Wilmette, Kenilworth, Glencoe and Northfield Total Sold Units for January 2012 31 sold homes  (under last January's number of 43) Average market time:  297 days Minimum price:  $175,000 Maximum price:  $7,500,000 Highest sellin... 01/31/2012

The Shadow Knows...                                        I’m getting older, but not old enough to remember radio mysteries.  However, as a trivia fan, I am familiar with some of the tag lines from those shows.  Probably none is more noted than the refrain of a deep, creepy voice stating:“Who knows what evil lurks in the hearts of man? The SHADOW  knows”....followed by an     ominous laugh.                                                                                                                                                 (photo courtesy of Raindog's photostream via Flickr)In today’s real estate market, the most mysterious and elusive element is the “Shadow Inventory”.According to the financial website “Investopedia” the shadow inventory is:“A term that refers to real estate ... 01/22/2012

Zia Gallery in Winnetka has Closed In the summer of 2010, Zia Gallery took over the space that Sunday Afternoon Gallery had occupied for many years.  And Winnetka is culturally better for it since they are bucking the trend by opening here instead of downtown Chicago.Zia Gallery's owner, John Vlahakis of Winnetka, is a local businessman who also owns Earth Friendly Products, located in Winnetka as well. Several years ago John took a sabbatical from the business to write, travel, and rekindle his interest in photography.  After three years his photography had improved and he felt ready to  show it.  Sunday Afternoon Gallery did the honors and the show was a success. When Sunday Afternoon Gallery decided to close, John stepped up and opened a new store - a contemporary art gallery -  and ... 01/16/2012

We Can Lead a Horse To Water.....A few times in the past year or so, we have had North Shore listings that didn’t sell and eventually, the sellers withdrew them from the market.  In each of these situations, we had recommended a lower initial asking price or price reductions and the seller either delayed them until they were way behind the market or didn’t agree to them at all.  Most of the time, the sellers asked us what we could do to bring THE buyer to the property.  We discussed all of our marketing efforts.                                                               (photo courtesy of aboutmattlaw  via Flickr) We always use high quality professional photography and make sure that the property is prominently displayed on all potential internet sites.  Although we realize that it i... 01/10/2012

Winnetka's December Property sales were 16, up 60.0% from 10 in December of 2010 and 45.5% higher than the 11 sales last month. December 2011 sales were at a mid level compared to December of 2010 and 2009. December YTD sales of 222 are running 6.7% ahead of last year's year-to-date sales of 208.   The Median Sales Price in December was $719,875, down -7.1% from $775,250 in December of 2010 and down -42.2% from $1,245,000 last month. The Average Sales Price in December was $823,568, down -36.3% from $1,293,670 in December of 2010 and down -29.3% from $1,164,963 last month. December 2011 ASP was at the lowest level compared to December of 2010 and 2009.   The Total Inventory of Properties available for sale as of December was 120, down -11.8% from 136 last month and down -28.6% from 168 ... 01/10/2012

Winter Walks in Winnetka Today is January 8 - usually a day that dawns with sub-freezing temps. But this winter has been decidedly different - no snow as of this date and temperatures that threaten to force the early daffodils out of the ground.  I mean in the 40s and 50s warm. If you like to cross country ski or snow shoe then you have been disappointed.  If the outdoor skating rink you created at your Winnetka home for your kids is sloshing around then you are not happy.  For the rest of us, though, it has been an uninterrupted time of outdoor warmth that will certainly make this winter shorter than most. Our local Cook County Forest Preserve trails are wide open and clear - take advantage of this great weather phenomenon and go out and walk, bike, run or skateboard. There is the Gree... 01/08/2012

2011 North Shore Market Report & Some Predictions Winnetka, Wilmette, Kenilworth, Glencoe & Northfield 2011 is done and I have the final numbers for home sales in the Chicago North Shore suburbs of Winnetka, Wilmette, Kenilworth, Glencoe and Northfield.  The good news is that there was a slight improvement over 2010 in some areas. First, more homes sold this past year:  680 homes versus 645 homes in 2010 (condos were down slightly from 123 to 114 units in 2011.) Secondly, the ratios between list price and sell price have closed up slightly meaning that more sellers are understanding the dynamics of this market and pricing more reasonably than in the past.  In 2010, the average original list price to sell price ratio was 85% while this past year it was 87%.   Sold prices were slightly do... 01/03/2012

It’s not every day that an opportunity comes along to work with award-winning HighGate to build your dream home. 1212 Westmoor is almost an acre of gorgeous property on a street of upper bracket homes in Winnetka. You can either work with our architect or use your own to create your plans for a custom home ranging from 6,000 up to 11,500 square feet (not including lower level). There is a wide range of options to add amenities, including swimming pool, tennis courts, sports court or multiple garages. HighGate is one of the North Shore’s most versatile and respected builders. If you would like more information about this terrific opportunity, please give us a call at 847-712-0049 or email us at comehome@cbexchange.com. You can see some of HighGate’s magnificent homes here. 12/31/2011

2011 Home Sales Better than 2010 Winnetka, Wilmette, Kenilworth & Glencoe The Chicago Tribune reported today that there was a 14.2% increase in homes sales this year over 2010 across the state of Illinois.  The numbers were even better in the nine counties that make up metro Chicago:  sales in those areas rose 20.7% over last year.   Loretta Alonzo, president of the Illinois Association of Realtors said:  "Signs are emerging that a recovery in the housing market is underway including the steady uptick in home sales activity, which is expected to continue into the new year,"   The forecast (and hope) is that as sales increase, prices will stabilize. How did our local North Shore market (Winnetka, Wilmette, Kenilworth, Glencoe and Northfield) fare this year.  Here are some numbers: 2011 S... 12/21/2011