Home Affordability in Chicago, IL
The median home price in Chicago is $330,000 with a median household income of $65,781. Housing is significantly stretched relative to local incomes.
Median Home Price
$330,000
Median Income
$65,781
Price-to-Income Ratio
5.0x
Est. Affordable Home
$256,000
Property Tax Rate
1.69%
Annual Property Tax
$5,577
Sales Tax Rate
10.25%
Cost of Living Index
107
Buying a Home in Chicago
Based on the 28% rule (spending no more than 28% of gross income on housing), a household earning the median income of $65,781 in Chicago can afford a monthly housing payment of approximately $1,535. This translates to a home price of roughly $256,000, which is below the median home price of $330,000 — many households may need a higher income, larger down payment, or should consider more affordable neighborhoods.
Property taxes on a median-priced home in Chicago would be approximately $5,577 per year ($465/month) at the effective rate of 1.69%.
Down Payment Scenarios
| Down Payment | Amount | Loan Amount | PMI Required |
|---|---|---|---|
| 3% | $9,900 | $320,100 | Yes |
| 5% | $16,500 | $313,500 | Yes |
| 10% | $33,000 | $297,000 | Yes |
| 20% | $66,000 | $264,000 | No |
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