Market Overview
The South Elgin housing market remains robust heading into 2025. Median home values have increased approximately 5.2% year-over-year, with the median sale price reaching $285,000. Inventory levels remain historically low, creating favorable conditions for sellers while challenging buyers to act quickly on desirable properties.
Key Trends for 2025
Interest Rates: After peaking above 7.5% in late 2023, mortgage rates have stabilized in the 6.0-6.5% range. This rate environment, while higher than the pandemic-era lows, is more in line with historical norms and continues to support healthy buyer demand.
Inventory: Active listings in Kane County remain approximately 25% below pre-pandemic levels. This supply constraint continues to support home values and create competitive situations for well-priced properties. New construction has helped but hasn't fully closed the gap.
Days on Market: Well-priced homes in South Elgin are selling in an average of 14 days, down from 21 days a year ago. Properties that are overpriced or in poor condition are taking significantly longer, reinforcing the importance of proper pricing strategy.
What This Means for You
Sellers: This remains an excellent time to sell. Low inventory means less competition, and steady buyer demand supports strong prices. Strategic pricing and professional marketing are essential to maximizing your return.
Buyers: While the market is competitive, opportunities exist for patient, prepared buyers. Getting pre-approved, working with a local expert, and being ready to act quickly are key strategies for success.
Investors: The Fox Valley continues to offer attractive rental yields compared to closer-in suburbs. Cap rates in the 7-9% range are achievable for well-selected properties, and value-add opportunities remain available for investors willing to renovate.