Chicago IL Real Estate - Chicago IL Homes For Sale | Zillow (2024)

FAQs

Are Chicago home prices dropping? ›

Last year, Chicago's housing market was relatively inactive. The city closed out 2023 with 22,400 home sales, down 20.9% from 2022. Meanwhile, the median home price dropped by 1.5% year-over-year to $330,000.

However, late summer and early fall are historically considered the best months to buy a home in Chicago. We predict that this will be true in 2023 as well. You can expect to see good inventory, relatively low competition, and deals.

Chicago Housing Market Trends

In May 2024, Chicago home prices were up 7.5% compared to last year, selling for a median price of $366K. On average, homes in Chicago sell after 51 days on the market compared to 56 days last year. There were 2,756 homes sold in May this year, up from 2,742 last year.

Chicago Real Estate Market at a Glance

Median Home Price: According to projections for December 2024, the median home price in the Chicago Primary Metropolitan Statistical Area (PMSA) is expected to hit $324,200, marking a substantial 12% increase from the previous year. (source: Norada Real Estate)

Sale-to-list price ratio: 98.45% Chicago, IL is a buyer's market in May 2024, which means that the supply of homes is greater than the demand for homes.

Mortgage rates are expected to come down in 2024, and inventory and home sales are likely to increase. Homebuyers and sellers can also expect prices to continue to rise, albeit at a slower clip than the past couple of years.

If getting the lowest price possible is your main priority, consider searching for a home in November or December. There won't be as many houses to choose from compared to the spring and summer months, but you'll face less competition and a higher likelihood of purchasing a home below the asking price.

Chicago has a housing shortage that drives up prices and disproportionately affects low-income Chicagoans. Expediting the review process for affordable housing would help to meet some of this demand.

With its strong economy, diverse housing market, and expert property management services, Chicago is a wise choice for investors looking to grow their portfolios. Contact us today to learn more about investing in Chicago real estate and how our property management services can help you achieve your investment goals.

How much is the average house in Chicago? ›

$298,397. The average Chicago, IL home value is $298,397, up 4.5% over the past year and goes to pending in around 12 days.

Updated numbers released Thursday showed the Windy City lost approximately 0.3% of its population between July 1, 2022 and July 1, 2023. Chicago Mayor Brandon Johnson addressed the decline in a statement, saying the underlying causes of population loss in Chicago are "deeply rooted in historic disinvestment."

While the Chicago apartment rental market is not as competitive as in New York or San Francisco, it will still take a lot of effort and planning to find that perfect apartment for the right price. December through February is typically the best time of the year to find move-in and other apartment specials in Chicago.

Save for a down payment

In early 2022, the typical down payment in the Windy City was $29,000, according to data from Crain's Chicago Business. However, the amount of cash you need to buy a home depends largely on the home's price and the type of loan you're planning to use to finance the purchase.

Home value has risen more than 34% over the last five years, and is on an upward trend to continue to do so in the future. This makes real estate investment in Chicago a good idea, as over 50% of the houses in the metro area are rentals.

According to Fannie Mae's latest set of predictions for 2023, home price growth is forecast to be slower than in 2022 and to turn negative beginning in the second quarter of 2023. The year-over- year total home sale is forecast to decline by 22.0% in 2023, primarily driven by a decline in existing housing unit sales.

Housing affordability is a big problem in Chicago, where almost 90% of low-income households are burdened by housing costs of at least 30% of their income. Two-thirds are severely burdened – paying over 50% of their income for housing, according to data from the U.S. Census Bureau.