The largest state in the Midwest and fifth largest in the nation, Illinois is the life of the middle of America. Providing numerous resources such as coal and nuclear power and agriculture like corn and wheat throughout the state, it plays a huge part in the economy of America. The state has often been considered a microcosm of the United States. It is a prime example of the “typical American state”. Economic trends and fades usually take place as a precursor or indicator of the future. The housing market is no exception to this theory as well. Some of the most recent trends for the housing market can be examined by looking at the state’s housing market.

The housing market in Illinois has definitely had some hard times in this economy but it is not entirely in the dark. As suburbs began to develop more and more out from the Chicago metropolis area, population continues to increase and new homes are being built. Chicago, the third most popular city in the country, is home to 2.8 million people and continues to grow. The surrounding areas are beginning to develop more and more as well. Cities such as Aurora, Elgin, Joliet, Naperville, and Evanston are growing due to the popularity of the windy city. In a recent census it’s estimated that about 66% of the state resides in the Northeastern part of the state. With such an increased interest in the Northeastern part of the state, it is not surprising that Chicago ranks 7th in a recent study by Hanley Wood for top housing markets. There is a trend for housing to move more to the downtown area with so many different attractions and opportunities available. Chicago offers a large array of attractions ranging from the Sears Tower to the Chicago Blues Festival. There are plenty of different major museums, libraries, zoos, landmarks, etc. With a city as old as Chicago, there is so much for everyone that it makes it a very attractive place to live. Today, 40% of all Residential building permits in the area are part of urban core redevelopment. Read more »

Sales Trends
Chicago is definitely a major part of the housing market in Illinois with 14,598 closings for 2008. Some of the major builders in the country have large market shares for the Chicago area. D.R. Horton has a 5.4% market share with 788 closings last year. Other major names like Pulte Homes (3.6% market share) and Enterprise Construction (3.5%) play a huge part in Chicago housing. With big name builders taking an interest in the area, development should rise in the future as more and more homes are being built.

Other Key Trends
Illinois’s centralized location in the heart of America has helped to make Chicago a key meeting place for nationwide trade shows and discussions. This has been beneficial to the housing market as more and more people travel to the state and are exposed to its many attractions. Builder conventions themselves are held often in the windy city. In 2009, the National Association of Home Builders held their annual meeting in Chicago. With major players in the industry making trips to the state, housing problems that may exist cannot go unnoticed with the amount of exposure to the area. Builders may spark interest in developing more and more into the future.  « Close »