My subdivision, for instance seems to have about the same percentage of homes for sale that it has had since we moved here in 2002. The homes here cost $200-400+ thousand for 2200-4200 square feet. And for a suburban area, within walking distance are 5 restaurants, various services (2 banks, pharmacy, 2 dentists, 3 dry cleaners, 2 exercise places, hair salon, car repair, etc.), grade & middle schools (HS is 1.5 miles away), walking trails, swimming poool/tennis courts/park, and whatnot. A convenience store w/gas station is also within walking distance, although I'd prefer a full-sized grocery instead. For that we have to drive a couple of miles.
Comparing urban living (Chicago) to the suburbs is really no contest. Sure, some things are within walking distance, but you still need a mode of transport. Buses, taxis, etc. are less convenient and are not always more efficient. Or if you retain a car be prepared to pay to park. Parking is generally free in the suburbs (minimum $14 for 12 hours downtown Chicago) and while you do drive to get to a lot of places, those drives are usually short. Just yesterday my wife & I went to downtown Naperville, parked for free, and shopped for a couple of hours. Speaking of, let's look at
sales tax: 9.25% for Chicago; typically 6.75-7.25 in the suburbs. Have a vehicle? Even if you don't drive it you'll need a Chicago parking sticker; those start at $75 a year. Few suburbs mandate such stickers. Chicago simply costs more and gives you crappy infrastructure, failing schools, and corrupt politics in return.
Of course life in teh 'burbs isn't perfect. Retail space is hurting. Strip mall development has slowed but not stopped yet existing developments have not achieved 100% occupancy. And when stores go under or pull out, replacements have been slow or non-existent. This is as true at the local mega-mall as it is in the smaller strip malls. Some stores are taking the opportunity to move to better locations, but this lateral doesn't improve the overall retail real estate situation.