The market for real estate around the Chicago region, as well as in many areas around the country, continues to suffer from a downturn in sales. This is hurting the construction industry, which has seen a large drop in activity in recent months.
According to a recent report from the Commerce Department released on Tuesday, the industry hasn’t seen activity drop to its lowest point quite yet. The activity in the residential sector fell by another 1.6 percent in May, while construction of both residential and nonresidential projects was off by 0.4 percent.
It was the relatively strong construction activity in the nonresidential sector that helped keep the drop in activity below one percent during the month. However, the news is not good for builders that have been hard hit by a downturn in sales. Neumann Homes, one of the largest builders in the country, filed for bankruptcy late last year.
Smaller builders are also facing difficulties, while many homebuilders that are offering Chicago Homes For Sale around the city are seeing a drop in demand in most suburban areas. However, buyers are starting to enjoy lower prices and more incentives as a result of the drop in activity on the market.
Technorati Tags: Chicago Homes For Sale, New Homes Construction, Chicago Real Estate
