The three-month rolling average price of a home sold in Boone, Winnebago or Ogle counties was $192,298 in September. That’s up more than 7% from $179,351 a year ago. (Photo by Mary Sisk/Rock River Current)
By Mary Sisk
Rock River Current
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ROCKFORD — The region’s housing market showed its first signs of cooling last month after four-straight months of record-breaking prices.

Prices haven’t dipped much from their record highs, with the September average ranking the third highest in history, but the number of homes sold was at its lowest in September in five years.

There was a nearly 16% drop in home sales from September last year to this year, according to NorthWest Illinois Alliance of Realtors data. There were 450 homes sold in September, the sixth straight month of decline.

The drop in sales comes as mortgage rates have risen nearly 4 percentage points in 10 months to their highest level in 20 years.

“The ongoing sales decline reflects the impact of mortgage rates at 6.11% at the end of September and now hovering around 7%,” said Conor Brown, CEO of NorthWest Illinois Alliance of Realtors. “In an inflationary economy, prices rise across the board.”

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The three-month rolling average price of a home sold in Boone, Winnebago or Ogle counties was $192,298 in September. That’s up more than 7% from $179,351 a year ago.

Homes were also moving off the market quickly, selling in an average of 15 days.

The rising cost of renting has pushed some first-time buyers into the market. Realtors report they’re seeing more renters start to look for homes. Rents rose more than 7% in September, rising at the highest pace in 40 years, according to Realtor.com.

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A new survey from realtor.com shows 72% of landlords plan to raise the rent on one or more of their properties in the next year.

“With rents being as high as they are, the ability to stabilize your monthly payments and protect yourself from future rent hikes may be even more important,” Brown said. “Becoming a homeowner, if you’re ready and able to do so, can provide lasting stability and a reliable shelter in times of economic uncertainty.”


This article is by Mary Sisk. Email her at msisk@rockrivercurrent.com or follow her on Instagram at @maryrrcurrent

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