New homes in Rockford region spur economic growth
Rockford housing market surges with homes selling faster than usual.
BELVIDERE, Ill. (WIFR) - Demand for homes in the Rockford region climb, even as home prices in the Stateline and nationwide soar.
The price of housing in and around the Rockford region, which includes Winnebago, Boone, and Ogle Counties, reached a 17.8% increase in the average home price. It rose from $143,344 in May 2020 to $168,894 (a record high) this past May. Homes that previously sold in 31 days now sell in a record 18 days. While the average price of a home increases nationwide, experts said the price tag is more reasonable in the Rockford region.
Rockford Area Realtors CEO Conor Brown said the real estate market experienced a drought where no homes were built, so it’s nice to see things shift in the right direction.
“With our incredibly low inventory and buyer demand at an all time high. you’re seeing multiple offer situations, homes selling very quickly a lot of these homes are selling the first day they hit the market. so it is really I would say a seller’s market at this point.” said Brown.
The recent rise in demand helps contribute to a stronger economy throughout the region. Experts say part of the reason for this increase is due to businesses moving to the area who want to provide potential employees with affordable housing.
“It brings a work force. Our businesses are looking for potential workforce and their pipeline and quality of life is essential,” said Growth Dimensions Executive Director Pamela Lopez-Fettes.
Lopez-Fettes said the high demand across the region is going on longer than she anticipated.
According to experts, the lower price tag helps draw potential homebuyers from 70 miles away, and houses being sold helps tax dollars reinvest in infrastructure and schools. Additional benefits in the region include professional/personal experiences, close proximity to metropolitan areas, unique shopping experiences, international airports and more.
Nationwide, the median price for any type of housing was $341,600 compared to $161,693 in Rockford (53% or $179,907 less). In April, statewide prices reached $260,000 on average while the price tag on a home in Rockford was $98,300.
Stats from the Rockford Housing market showed a 54.2% drop in inventory between May 2020 and May 2021, 708 available to 304 on the market. In addition, 463 new homes were listed on the market in May 2020. That number rose to 551 this past month.
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