Despite sparse inventory, statewide home sales were up year over year during January, according to new data from Illinois REALTORS®.

Last month, 6,896 homes sold across Illinois: 0.8% more than in January 2023. And that slight bump comes amid a serious decrease in listings; just 15,186 homes were for sale in January, 22.1% less than the year prior. At the same time, the median home price increased 11% to $258,000.

“In January, we saw some positives for consumers with statewide sales slightly positive even as median home prices continued to rise and the number of houses available for sale fell,” Illinois REALTORS® President Matt Silver said in a press release.

In the Chicago metro area, the picture was even more pronounced. Homes sales were up 1.3% year over year with 4,478 homes sold while homes on the market decreased 28.3% to 9,663 homes for sale. However, the median price rose slightly less than for Illinois at large, up 10.1%, hitting $286,000.

In the city proper, though, home sales did not increase. With a total of 1,059 homes sold
during January, they fell 3.4% year over year. Meanwhile, there were 3,829 homes on the market, reflecting an inventory decrease of 28.1%, and the median price rose 6.3% to $315,000.

“The notable surge in single-family sales price in a pinched inventory market demonstrates buyers’ commitment to making homeownership a reality,” concluded Chicago Association of REALTORS® President Drussy Hernandez.

Dr. Daniel McMillen, professor of real estate and associate dean for faculty affairs at the University of Illinois-Chicago College of Business Administration, also shared a positive outlook. “The housing market is continuing its long-running trend of low sales and relatively high prices,” McMillen said “However, consumer confidence has turned up markedly, and sales traditionally increase significantly in spring.” He expects that lower inflation rates, lower interest rates and lower unemployment rates will lead to a rebounded housing market relatively soon.