On February 22, 2026, the Illinois real estate market experienced a significant uptick in demand, with buyers eagerly snatching up properties despite steadily rising prices. The surge in activity has been attributed to a combination of factors, including an influx of out-of-state buyers, low inventory levels, and continued low mortgage rates.According to data from the Illinois Association of Realtors, home sales in the state increased by 15% compared to the same time last year. This marks the fifth consecutive month of year-over-year growth in the Illinois housing market, indicating a strong and sustained trend towards increased buyer activity.The increase in demand has put pressure on prices, with median home prices in Illinois rising by 10% year-over-year. This growth has been fueled by a lack of available inventory, as more buyers compete for fewer homes on the market. As a result, many properties are receiving multiple offers and selling above asking price.One of the driving forces behind the surge in demand is the influx of out-of-state buyers looking to relocate to Illinois. The state's affordable housing market, strong job market, and quality of life amenities have made it an attractive destination for individuals and families seeking a change of scenery.Additionally, historically low mortgage rates have also played a significant role in the increased activity in the Illinois real estate market. These low rates have made homeownership more attainable for buyers, encouraging many to take advantage of favorable borrowing conditions.Despite the challenges posed by rising prices and limited inventory, real estate experts remain optimistic about the future of the Illinois housing market. They anticipate continued demand from buyers, especially as the state's economy continues to recover and grow.In conclusion, the Illinois real estate market is experiencing a surge in demand driven by out-of-state buyers, low inventory levels, and favorable mortgage rates. While rising prices present challenges for buyers, the overall outlook for the market remains positive as demand continues to outpace supply.