Are Home Prices Rising or Falling in Elgin, IL?

Elgin, a city near Chicago, IL, has posted solid price growth, with the median home sale price reaching $359,762 after an 8% year-over-year increase. That gain puts Elgin ahead of the national pace and close to some of its pricier neighbors. Here's why, and what buyers and sellers should know today.

The National Picture

The national median sale price is about $399,000 as of the three months ending August 2026, up 2% from last year. The typical U.S. household earns roughly $88,000 and allocates about 34.4% of income to housing, an improvement of 1.6 percentage points. Roughly 20% of listings carry a price reduction nationwide, and supply stands at about four months.

Home Prices in the Chicago Area

In the Chicago metro, a typical household earns around $99,000 per year, with about 35.1% going toward housing. Elgin's median of $359,762 is well below the metro's income-required threshold of $115,000, which could make it an accessible entry point for buyers who work in the metro but can't afford closer-in suburbs.

Prices Are Gaining Ground Across Most of the City

Price gains in Elgin are broad-based. The Northeast Elgin area saw the steepest climb at 10%, pushing its median to $337,287. Northwest Elgin gained 4.7% to reach $382,315, while Southwest Elgin and Southeast Elgin each rose about 4%, landing near $309,850. The one outlier is College Green, where prices dipped 2.2% to $278,865 — though tight supply there (1.1 months) may push that number back up. Citywide, 44.1% of homes sold above list and 18.2% of active listings had price cuts.

Why Are Prices Rising in Elgin?

Prices in Elgin are rising because demand has held firm even as supply ticks modestly higher. Active listings grew 4.5%, but new listings actually slipped 1%, meaning fewer fresh options are entering the pipeline. Pending sales rose 2.6%, and with 2.2 months of supply, conditions still tilt toward sellers. The sale-to-list ratio of 100.7% confirms that buyers are generally paying asking price or slightly above. At a median of 49 days on market, homes aren't flying off the shelf, but they're moving steadily enough to sustain upward price pressure.

Limited to neighborhoods with at least 10 home sales in the period.

All data comes from Redfin and represents a three-month rolling average ending August 2026. This article has been generated, in whole or in part, using generative artificial intelligence (AI) technology, with input from Redfin head of economics research Chen Zhao. While efforts have been made to ensure the accuracy and reliability of this information, you should independently verify all data, facts, and citations contained in this article before relying on it for any purpose. This information is not a substitute for advice from a real estate agent, financial advisor, or other licensed professional. Check the Redfin Data Center for additional in-depth housing market data.