Since the 2020 pandemic, prices have been on the rise in local real estate. Higher interest rates have kept some homeowners in their homes longer than expected and made it harder for new buyers to get into the market. Fewer people selling means more competition for buyers who are offering higher prices to get into a home.
In 2024, Chicago-area single-family home prices rose 8% areawide, but that increase was a lot larger in Oak Park, River Forest and Forest Park. The Oak Park Area Association of Realtors (OPAAR) and Berkshire Hathaway HomeServices’ Vice President and Designated Managing Broker John Lawrence provided a screenshot into local statistics.
River Forest saw the biggest surge in single-family homes pricing, with an increase of 24.05% to a median of $980,000. Oak Park saw an increase of 18.67%, with a median sales price in 2024 of $623,000. Forest Park recorded an increase of 19.4% and a median single-family home price of $400,000.
Attached homes, or condominiums and townhomes, also saw increases across the three suburbs. River Forest attached housing increased 8.57% in 2024, with a median price of $260,000. Oak Park attached housing saw a 9.5% price increase and a median sales price of $213,500. Forest Park’s attached housing increased 13.42% and had a median price of $179,000.
Linda Rooney, of Berkshire Hathaway HomeServices Chicago and vice president of the local Realtor’s group, said that across all types of properties, Oak Park has seen a 33% price increase over the past decade. She notes that so far, 2025 looks a lot like 2024 and says, “We’re still seeing low inventory and higher interest rates. Also, people are kind of nervous about the economy in general. It’s kind of a crazy year.”
While Realtors generally agree that the high interest rates of the past few years might be keeping long-term homeowners with low rates in their homes, Rooney says the interest rate environment is no longer an impediment for first-time buyers.
“People, especially first-time buyers, are okay with interest rates around 6%,” she said.
“Everyone is fighting it out over homes in the $450,000 to $670,000 range,” she said. Homes priced in this range are often sold with multiple offers. In recent weeks, Rooney has seen two houses sell with multiple offers: one garnered 12 offers and another 14. She said this is reflective of a very apparent lack of inventory in the middle range of houses.
This perception of the “missing middle” is something that Rooney and current local board president Cynthia Howe-Gajewski of Beyond Properties Realty Group, recently covered in a presentation for the Village of Oak Park.
Howe-Gajewski said lack of supply combined with a healthy demand contributes to the issue. This imbalance means that prices continue to go up, affecting the affordability of Oak Park and the surrounding areas.
“We have a lot of downsizers and upsizers who want to stay in the village but can’t find what they are looking for. It’s creating a bit of a logjam,” she said.
Oak Park currently has a 1.4-month supply of available houses. That tight market drives up prices. A representative of the Illinois Board of Realtors recently told the Oak Park village board that it takes a 6-month inventory to result in only moderate price increases.
Like Rooney, Howe-Gajewski is seeing a lot of anxiety in the market over the current political situation. People are concerned about the stock market, tariffs and the possibility of recession.
She thinks those fears might be overblown in Oak Park where the majority of housing stock is existing homes. “Because we’re in a very desirable location, with proximity to the city, that urban/suburban vibe and access to two train lines, we’re always going to be a little more resistant to the bigger swings,” she said.
One area she thinks will bear the brunt of the political climate is new construction. “Tariffs will make new construction more expensive and those homes will be less affordable,” she said noting this applies to both newly built homes and renovations.
Howe-Gajewski pointed out the price increase has also hit local rental markets, making it hard to find savings in real estate across the board.
Both Rooney and Howe-Gajewski said it’s a tough time to be a buyer’s agent. Their clients often have to look at, and bid on, a larger number of homes before finding the right one. Rooney sees some first-time buyers expanding their searches from Oak Park to areas like Elmwood Park and Galewood.
Howe-Gajewski said that people with roots in Oak Park and River Forest are more likely to want to stay in the area when they downsize or upsize, noting parents are especially reluctant to move their children to a different school system.
There are some upsides to the situation. Howe-Gajewski said. “If you have the ability to sell and rent while you look for a new home, now’s a great time to cash out your equity.”
After years of buyers being focused on move-in ready homes, Rooney said some buyers are “starting to come back to the idea of doing work on a house.”
She said that is a positive change: “It’s like when we moved here 20 years ago, and we looked for houses with good bones. I kind of feel like that mindset is coming back. I’m hopeful. We have to just meet people where they are.”
