Home sale prices hit new record high as Rockford ranks No. 9 in national summer housing market list
By Kevin Haas
Rock River Current
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ROCKFORD — Home sale prices in the three-county region hit another new high in July, the second-straight month of record-breaking prices.
The three-month rolling average price of a home sold in Winnebago, Boone and Ogle counties reached $231,261 in July, topping the June record by $4,475, according to new data from the Northwest Illinois Alliance of Realtors.
The record prices come as the Rockford metropolitan area was listed No. 9 on the Summer 2025 Housing Market Ranking created by the Wall Street Journal and Realtor.com. The Rockford region had ranked No. 3 on the organizations’ spring list.
Challenging affordability from high prices and persistently high mortgage rates have tempered buyer enthusiasm around the country, according to the organizations’ report. Rockford and other Midwestern cities have buyer appeal due to their relative affordability, low cost of living and resiliency to recent weather events such as wildfires in California and hurricanes in Florida, the groups said.
Rockford was the only market in Illinois to make the Top 20 ranking this quarter, but the list also included three markets in Ohio, three in Wisconsin, two in Michigan and two in Indiana.
“Rockford’s appeal and popularity in today’s market is due to our area’s housing affordability, relatively low cost of living and resiliency from weather-related events, which drive up insurance and other costs,” said Conor Brown, CEO of the NorthWest Illinois Alliance of Realtors. “Rockford homes are much more affordable than in the rest of Illinois, and especially when stacking up against home prices across the country.”
The Top 20 ranking showed that Midwestern markets had an average listing price of $344,000 in June, that’s 38% higher than the $248,888 average in the Rockford metro area.
Rockford was the most affordable market on the ranking, followed by Akron, Ohio, which had an average list price of $262,700.
Out of 200 metro areas measured in the study, there were only 11 markets with a median home price low enough to be afforded by a median-earning household if they wanted to keep housing costs below 30% of their income with a 20% down payment.
Home sale prices have been rising while there is a limited inventory of houses for buyers to choose from. That trend continued in the Rockford area in July, with inventory down year-over-year for the fifth consecutive month. The number of homes for sale at months end fell 41% from 305 in July 2024 to 180 this year. The record low inventory was 141 in April.
Right now, it would take just 16.5 days to sell through the existing housing inventory if no new listings came on the market, according to the NorthWest Illinois Alliance of Realtors.
Homes are still moving at a quick pace, selling in an average 15 days in July. The combination of quick sales and low inventory has created a challenging environment for potential buyers.
“The places we like, they’re on the market maybe 20 hours,” said Daniel Olson, the new director of the Forest Preserves of Winnebago County, who has been housing hunting for his move here from Champaign.
There were 365 total homes sold in the three county area in July. That’s nine fewer than the same month a year ago.
“Rockford continues to dominate the national hottest real estate markets as inventory thins out, buyer demand holds steady and homes stay on the market longer,” Brown said. “And demand shows no signs of letting up. A recent Harris Poll survey shows that 8 in 10 Americans say buying a home is a priority, and 28 million Americans actually plan to buy within the next 12 months. Homeownership provides many financial and non-financial benefits, so that interest is understandable.”
This article is by Kevin Haas. Email him at khaas@rockrivercurrent.com or follow him on X at @KevinMHaas or Instagram @thekevinhaas and Threads @thekevinhaas
