Across many parts of Illinois, especially around the Chicago area, home prices are going up fast. This is based on data from Zillow, which looked at how much home values changed from May 2023 to May 2024. The rankings focused on cities with at least 10,000 residents and tracked the biggest dollar increases in home values over the past year.
The Top Gainers: Where Prices Rose the Most
Some cities and towns saw huge jumps in what homes are worth. These areas tend to be wealthier and often located in northern or western suburbs of Chicago. For example:
- Bannockburn saw the biggest jump: home values went up by $87,630 in a year, now reaching about $1.19 million.
- Winnetka followed closely, with an increase of $86,803, bringing the average home to about $1.69 million.
- Other big gainers include Glencoe, Hinsdale, and Kenilworth—all upscale communities where homes already cost well over a million dollars.
Luxury Real Estate Across Illinois Is Driving These Increases
Illinois home prices are rising quickly, especially in wealthy suburbs near Chicago. Cities like Bannockburn, Winnetka, and Glencoe saw some of the biggest gains, with values jumping by over $80,000 in a year. Despite higher mortgage rates, low housing supply and strong demand are driving this trend. Many of the fastest-growing areas are in northern Illinois and are known for luxury homes and top-rated schools.
What’s Behind the Price Hikes?
Even though mortgage rates have been high recently (which usually slows down the market), home values in these suburbs kept climbing. Why? Because there just aren’t enough homes for sale, and lots of people still want to buy. This demand, mixed with low supply, pushes prices up. Plus, more remote work has made living further from the city center more attractive, fueling interest in suburban homes.
What It Means for Buyers and Homeowners
If you already own a home in Illinois, its value likely went up—good news if you’re thinking of selling. But for buyers, especially first-time ones, it’s getting harder to afford homes in these neighborhoods. Some families are now looking farther out or adjusting their expectations to find homes within their budget.
