ROCKFORD (WREX) — The Rockford housing market had one of its best years on record in 2020.
According to Rockford Area Realtors, 5,236 properties were sold during the year. It was the first time since 2007 more than 5,000 were sold. The average sales price was $151,714, the highest average ever. 684 homes were available each month. In 2019, 1,029 properties were available each month, making 2020 the biggest drop in monthly inventory in Rockford housing history.
"Buyer demand, we saw it in terms of just the multiple offer situations throughout the year, incredibly low interest rates, they were out in force and they wanted their own space during the pandemic," said Rockford Area Realtors CEO Conor Brown.
Brown says changing consumer preferences for homes helped create a perfect storm that resulted in the big year for the housing industry in the area. Mortgage rates also continue to fuel homebuyer demand. Rates fell to record lows multiple times in 2020. Great Rockford Growth Partnership CEO Einar Forsman says the strong housing market is great for the economy and businesses in the area.
"They want to see a strong housing market that helps boost the value of the community as well," said Forsman. "But also the diversity and variety of homes in an older community like ours is really attractive to people."
Rockford Area Realtors says observers from across the housing and mortgage industries say interest rates will continue to hover near historic lows for the next several years.