I’m a Real Estate Agent: 5 Best Neighborhoods To Buy a Home in Chicago
Chicago defines “neighborhood” a little differently than most cities. Although it does have neighborhoods in the traditional sense — over 200 of them, in fact — they’re clustered within 77 community areas. Whereas neighborhoods are loosely defined, community areas have distinct borders that have remained mostly unchanged since they were created in the 1920s.
GOBankingRates spoke with Cody Horvat, real estate broker at Scott Group Real Estate, a Compass Real Estate sales team in Chicago, about the best neighborhoods to buy a home. He used market data and his experience to select the top five. For the purposes of this roundup, community areas count as neighborhoods.
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Lincoln Park
With a resident population of over 66,000 and four commercial districts, Lincoln Park might feel like a city within a city to those who live there. But it’s actually one of Chicago’s most desirable neighborhoods, according to Horvat.
In addition to outstanding schools and amenities, Lincoln Park has a central location that lets you get just about anywhere in the city within 20 minutes.
“With so much to offer, Lincoln Park has some of the highest home prices in the city, with a median price point of $849,000,” Horvat said.
However, motivated buyers willing to do some legwork might find homes for considerably less than the median.
“Move-in condition homes sell quickly and often for premium pricing, but there are still values to be found in the neighborhood,” said Jennifer Ames, license partner/owner at Engel & Völkers Chicago.
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Medical District
The Medical District sits near the community area known as the West Loop. Growth in the West Loop has spilled over into the Medical District and created opportunities for buyers hoping to benefit from appreciating home values.
“In 2024, this up-and-coming area saw a 21.78% increase in home prices year over year, compared to a 0.03% decline citywide,” according to Horvat.
Easy access to major medical facilities and Rush University make it a popular choice for professionals in the medical field, Horvat said.
United Center
Located just north of the Medical District, United Center also experienced growth of over 20% in 2024. The neighborhood is likely to become even more appealing in the future, once plans for more restaurants, shopping and walkable streets come to fruition.
“Together, the Medical District and United Center areas led the city in price growth in 2024 — a trend I expect to continue into 2025,” Horvat said. “These neighborhoods are excellent options for both investors and homebuyers that want maximum price appreciation.”
The Loop
The Loop was hard-hit by the pandemic, which drove people out of city centers and into outlying areas in search of larger homes and yards. Recovery has been slow, Horvat said, but things are picking up as more workers return to offices. Condos are an appealing option for many of those workers.
Within The Loop’s two ZIP codes, 60606 and 60602, inventory has grown 43.75% and 17.07%, respectively, year over year. Prices were already low because of pandemic-related flight from the city, and the burgeoning inventory gives buyers strong negotiating power, Horvat said. But that could change.
“As more offices require in-person attendance and the new Google headquarters nears completion, I expect demand for nearby housing to rise, likely driving prices upward in 2025,” Horvat noted.
Rogers Park
Rogers Park is a North Side community area known for its diversity, arts venues and the Rogers Park Manor bungalow district. The bungalows, revered for their hardwood floors and stained-glass windows, were constructed in the 1920s to facilitate homeownership among residents from a variety of cultural and economic backgrounds. The neighborhood is still affordable, even amid rapid growth.
“Recent data shows both price growth and inventory increases, with home prices up 13.36% and new listings rising 54.43% in 2024,” Horvat said.
But with a median list price of just $221,000, “Rogers Park offers some of the best value in the city.”
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This article originally appeared on GOBankingRates.com: I’m a Real Estate Agent: 5 Best Neighborhoods To Buy a Home in Chicago
