In a sign that Rockford’s economy is on the rise, the Stateline is seeing something that hasn’t happened in years…new home construction. The President of Gambino Realtors, Jon Krause, says this hasn’t happened in the Rockford area in several years.
“Home builders, firms as well, had to suspend building homes because, frankly, we weren’t able to sell it at a high enough price to make it practical,” said Krause.
Housing stats in Winnebago, Boone and Ogle county show only 57 construction listings in 2012. In 2016, that number had risen to 82. This year, that number is expected to continue to grow even more.
“Some builders are starting to get back into the market, testing the market a little bit, just to see if they can sell those houses at a high enough price where it becomes practical,” said Krause.
A representative for Ambassador Homes says this trend is because local housing inventory is near an all-time-low and buyers want more up-to-date, energy-efficient “smart” houses.
“With rising the prices, the prices are getting up there now, obviously, with the high demand, but also with the features that we’re putting in,” said Managing Partner Darko Gligorevic.
“There is demand and now enough inventory. It’s helping prices increase a little bit,” said Krause.
Krause says with the low prices and interest rates still at historically-low levels, now is the time to buy.
“Prices are below where they were in 2007, which was the peak of the market,” said Krause. “If you were thinking of buying a home in 2007, that same home will be less money.”
Housing stats show homes are now selling in about 13.5 weeks, the shortest time in 14 years.