Northern Illinois Housing Market Update - May 2026
As the spring season matured into May, the narrative in Northern Illinois continued to be defined by a lack of supply. Inventory drops widened to double digits year over year. Despite fewer options causing closed sales to lag behind 2025's pace, the intense competition for available homes drove median prices up notably for another consecutive month.
Market Snapshot
- Detached median price: $360,000 (+7.5% YoY)
- Attached median price: $310,000 (+3.3% YoY)
- Closed sales dipped slightly: detached (-4.9%) and attached (-2.8%)
- New listings took a noticeable step back: detached (-8.7%) and attached (-7.1%)
- Market time continued to compress under buyer pressure
- Months supply crept up slightly but stayed firmly low at 2.0 (detached) and 1.9 (attached)
Pricing and Value
The detached housing market showed a robust $360,000 median sales price, representing a very strong 7.5% year-over-year increase.
| Metric | Value |
|---|---|
| Detached Median Sales Price | $360,000 |
| Detached Median Sales Price YoY | +7.5% |
| Attached Median Sales Price | $310,000 |
| Attached Median Sales Price YoY | +3.3% |
Market Speed and Competition
Fewer new listings meant that whatever made it to the market was digested quickly by a pool of active, pre-approved buyers.
| Metric | Value |
|---|---|
| Detached Days on Market (Market Time) | 38 days |
| Attached Days on Market (Market Time) | 35 days |
| Detached % of Original List Price Received | 98.9% |
| Attached % of Original List Price Received | 99.2% |
Supply Snapshot
May highlighted the persistent supply crisis, with inventory levels dropping 11-12% compared to an already tight market a year prior.
| Metric | Value |
|---|---|
| Detached Inventory of Homes for Sale | 11,276 (-12.3% YoY) |
| Detached Months Supply | 2.0 (+4.1% YoY) |
| Attached Inventory of Homes for Sale | 5,118 (-11.3% YoY) |
| Attached Months Supply | 1.9 (+8.1% YoY) |
Market Activity
With sellers holding back (new listings down over 7-8%), overall transaction volume was mechanically capped, limiting closed sales.
| Metric | Value |
|---|---|
| Detached New Listings | 10,828 (-8.7% YoY) |
| Detached Listings Under Contract | 7,694 (-0.5% YoY) |
| Detached Closed Sales | 5,610 (+1.7% YoY) |
| Attached New Listings | 5,219 (-7.1% YoY) |
| Attached Listings Under Contract | 3,725 (+2.0% YoY) |
| Attached Closed Sales | 3,653 (+1.0% YoY) |
What This Means for Sellers
- The lack of new listing competition means your property will enjoy maximum visibility.
- With attached homes receiving over 99% of their original list price, you have excellent negotiating leverage.
- Buyers are serious and acting fast, so be prepared for a quick timeline to closing.
What This Means for Buyers
- Fewer new listings this month mean you will likely face multiple-offer scenarios.
- Expanding your search radius or considering different property types (e.g., attached vs. detached) might be necessary to secure a home.
- Ensure your agent is alerting you to listings the minute they go live.
Ray’s Notes
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