In Chicago, Illinois, almost 2.7 million people reside in the Windy City, making it the third largest city in the U.S. after New York and Los Angeles.
You might be one of the many people who is attracted to it. Whether you’re relocating for work, school, or for fun—or considering trending markets for real estate investment—it could be worth getting educated about this compelling real estate market.
Plus, Chicago is home to the tallest building in America (the Sears Tower) and boasts one of America’s most extensive park systems, which is how it earned its name “City in a Garden.” Better yet, the state of Illinois was the first state in the U.S. to ratify the Constitution’s 13th amendment abolishing slavery. Meaning, Chicago isn’t just huge, it has a rich history.
Are you interested in hearing more about this trending market? Then read on to learn 4 reasons why Chicago real estate may be worth investigating.
1. Low Interest Rates
If you’re like most people who are interested in buying property, you’ll want to pair a small down payment with a 15 or 30 year mortgage. With a mortgage, a bank lends you the bulk of your purchase price while applying an interest rate that you have to pay back.
If you’re evaluating Chicago real estate deals (or deals anywhere, for that matter), now is a unique time to do it because interest rates have been below 3% consistently since late 2020.
Meaning, you could lock-in one of the lowest mortgage rates of your lifetime.
2. Affordable Houses
This factor is huge—and it’s little known by most real estate investors.
The average value of property in Chicago is just under $300,000, which is dramatically lower than other waterfront cities.
It is also shockingly lower than the only two U.S. cities that are larger than it in size, namely New York and Los Angeles. Both of those cities are known for their exorbitantly priced real estate.
If you’ve been trying to save for a house for what seems like forever, but are disheartened by how much properties cost in your area, then perhaps Chicago should be on your radar screen.
In fact, there are homes for sale by owner properties that are in excellent condition that you could buy at surprisingly affordable prices.
3. Scenic Neighborhoods (with Ease of Transportation)
Unless you’re crazy, you will want to live or invest in an awesome neighborhood. Because of its location on Lake Michigan, Chicago features numerous lakefront neighborhoods that offer beautiful and serene views.
Better yet, most of its neighborhoods are well-connected to public transportation. The Chicago Transit Authority (CTA) operates the second largest public transportation system in our nation.
On an average weekday, an incredible 1.6 million rides are taken on the CTA!
So if you’re not planning on driving to work, or like to take day trips out of the city, this can add a lot of convenience.
4. Excellent Education System
If you’re a parent or you’re planning on having kids, then a major concern will be how good the education system is where you plan to live.
If you’re a real estate investor, your tenants will also pay a premium to gain access to a great school district. Thankfully, there are numerous outstanding schools in the city of Chicago.
By buying or investing in real estate in Chicago, you could be positioning your child (or your tenant’s children) for an academic advantage.
The Future of Chicago Real Estate
Undoubtedly, Chicago real estate has some intriguing advantages over its other urban competitors. Not only does the city offer affordable property prices, excellent schools, and strong public transportation, but it boasts a diverse range of scenic, waterfront neighborhoods.
If you’re intrigued by Chicago real estate, then speak to a real estate agent or explore properties from afar by using property apps like Redfin or Zillow.
For more on the Chicago real estate market, or real estate at large, explore this section of the blog. Would you consider buying or investing in Chicago? Share why or why not in the comments below.