Reasons to Buy Your First Home in Illinois

When you are shopping for your first home, one of your main focuses is likely to be affordability. This may have you considering buying a home in the Midwest. Or perhaps you have a job opportunity in Chicago, Springfield, or another Illinois community and are planning a move to the state.

Either way, Illinois can be a great place to buy your first home. Here are a few reasons why.

1. Affordable Housing Prices. First of all, housing prices in Illinois are more affordable than they are in many other states. According to Zillow, the average home value in Illinois as a whole at the time of this writing is $299,900. That is quite a bit lower than the nationwide average value of $371,774. Starter homes can have even lower price points. In cities like Springfield, Rockford, and Peoria, you may find listings under $200,000. The average home value in Peoria is just $136,960. Some properties are available for even less, though homes at lower price points may require repairs or improvements.
2. Overall Cost of Living. Along with lower housing costs, Illinois has slightly lower overall costs of living compared to the country as a whole. It can be an affordable place to build a life, especially in communities like Peoria. It is more expensive to live in Chicago. However, compared with other major metropolitan areas, Chicago can still be more economical. For example, the cost of living in Chicago is generally lower than in cities such as Los Angeles or New York City.
3. Low Down Payment Mortgage Options. One of the biggest concerns for many first-time homebuyers is coming up with a large down payment. Fortunately, buying your first home does not necessarily mean you need to put 20% down. MidAmerica Bancorp offers a variety of low down payment mortgage options that may help qualified first-time homebuyers purchase a home with less money upfront. Depending on your financial situation, credit profile, and the type of property you are purchasing, there may be loan programs available with flexible down payment requirements. The right mortgage option will depend on your individual circumstances. Our team can review your goals, income, credit, available funds, and other factors to help you understand which first-time homebuyer mortgage options may be available to you. If the down payment has been holding you back from exploring homeownership, it may be worth speaking with a mortgage professional before assuming you need to save a full 20%.
4. A Blend of City and Suburban Life. Another great thing about Illinois is that there are many options for the type of environment you can call home. You can live in a bustling city, a quiet suburb, a small town, or the countryside. You may also be able to purchase a home outside the city while commuting into Chicago or another employment center. Illinois is also known for its diverse architecture, giving homebuyers a variety of appealing home styles and neighborhoods to consider.

A Note on Property Taxes in Illinois

One drawback homeowners often cite in Illinois is higher property taxes compared with many other states. This should not necessarily stop you from considering a starter home in Illinois, but it does make it important to understand the property taxes associated with a home before you buy.

You can contact the appropriate county for information about a property’s current tax assessment and any exemptions or classifications that may apply.

Once you understand the property taxes, you will be in a better position to accurately assess whether you can afford a particular home. Remember to plan for the future as well, since property taxes and other homeownership expenses can change over time.

Buy Your First Home in Illinois

Illinois offers first-time homebuyers a variety of communities, housing options, and opportunities to become homeowners. With low down payment mortgage options available for qualified buyers, purchasing your first home may be more attainable than you think.

MidAmerica Bancorp can help you explore your first-time homebuyer mortgage options in the Chicagoland area and throughout Illinois. We also work with homebuyers and homeowners in Florida, Indiana, Michigan, Tennessee, and Wisconsin.

To get started, call (708) 237-4052 to schedule your mortgage consultation and learn which home loan options may be right for you.