Housing Market Overview
The median home price (often called the average home price), rent costs, affordability metrics, and housing stock characteristics for this housing market.
Housing Market Overview
| Metric | Palatine | Illinois Avg | US Average |
|---|---|---|---|
| Median Home Price | $411,512 | $162,405 | $242,182 |
| Price Trend (Annual %) | 10.4% | 3.9% | 8.2% |
| Median Gross Rent | $1,433 | $1,226 | $1,342 |
| Rent Trend (Annual %) | 3.8% | 4.1% | 5.1% |
| Household Income Trend (Annual %) | — | — | — |
The median home price in Palatine is about 153% higher than in Illinois. Rent is about 17% higher than the Illinois average.
Median Home and Rent Price Trends
Median Home Prices, 2015-2023
Median Rent Prices, 2015-2023
Both home prices and rent are rising in Palatine, up about 10.4% and 3.8% a year respectively. Home prices are changing faster.
Median rent in Palatine rose about 33.3% between 2015 and 2023, from $1,075 to $1,433. Over the same span, rent in Illinois rose about 35.1%.
Affordability
On average, housing unit costs 4.2 yearly household incomes in Palatine.
Buying the median-priced home in Palatine costs roughly 23.9 years of rent at the median monthly rate. That is a relatively high price-to-rent ratio, which tends to favor renting over buying in Palatine. The price-to-rent ratio in Illinois is about 11.0.
| Metric | Palatine | Illinois Avg | US Average |
|---|---|---|---|
| Median Home Price | $411,512 | $162,405 | $242,182 |
| Median Household Income | $97,583 | $82,179 | $78,145 |
| Price-to-Income Ratio | 4.2 | 2.0 | 3.1 |
Home Prices vs Income Over Time
Between 2015 and 2023, the median home price in Palatine rose about 105.1%, while median household income rose about 31.2% between 2009 and 2023 — the home price grew faster than income.
Income Growth vs Housing Cost Growth (Year-over-Year %)
Compare income and housing cost trends.
Occupancy & Tenure
| Metric | Palatine | Illinois Avg | US Average |
|---|---|---|---|
| Homeownership Rate | 66.3% | 61.4% | 58.2% |
| Rental Rate | 28.8% | 30.5% | 31.3% |
| Vacancy Rate | 5.0% | 8.1% | 10.6% |
| Median Tenure (years) | 14.0 | 16.0 | 15.0 |
| Median Year Moved In | 2012 | 2010 | 2011 |
Palatine has a homeownership rate of 66.3%, higher than the Illinois average of 61.4%. Its housing vacancy rate is 5.0%, compared with 8.1% in Illinois.
Housing Stock
| Metric | Palatine | Illinois Avg | US Average |
|---|---|---|---|
| Average Household Size | 2.50 people | 2.48 people | 2.54 people |
| Median Structure Built Year | 1977 | 1968 | 1978 |
| Median Number of Rooms | 5.7 | 5.6 | 5.5 |
The typical housing unit in Palatine was built around 1977. On average, 2.5 people live in a home with about 5.7 rooms, staying for about 14.0 years on average.
Palatine, IL Housing Compared With Nearby Cities
How Palatine, IL compares with the 2 cities closest to it.
| Area | Population | Median home price | Median rent | Homeownership |
|---|---|---|---|---|
| Palatine, IL | 56,455 | $411,512 #1/3 | $1,433 #3/3 | 69.7% #3/3 |
| Rolling Meadows, IL | 23,336 | $322,503 | $1,670 | 70.3% |
| Arlington Heights, IL | 74,627 | $286,315 | $1,652 | 71.8% |
Frequently Asked Questions
Common questions about the housing market in Palatine, Illinois.
What is the median home price in Palatine, Illinois?
The median home price in Palatine, Illinois is $411,512, higher than the Illinois average of $162,405.
What is the average home price in Palatine, Illinois?
The typical home price in %s, reported as the median sale price, is %s. The median is used instead of a mathematical average because it is not skewed by a small number of very expensive or very cheap homes, so it better reflects what a typical buyer pays.
What is the median rent in Palatine, Illinois?
The median gross rent in Palatine, Illinois is $1,433 per month, higher than the Illinois average of $1,226.
What was the median gross rent in Palatine in 2020?
In 2020, the median gross rent in Palatine, Illinois was $1,199 per month.
What is the price-to-rent ratio in Palatine, Illinois?
The price-to-rent ratio in Palatine, Illinois is about 23.9, meaning it would take roughly 23.9 years of rent payments at the median rent to equal the median home price. That is a relatively high price-to-rent ratio, which tends to favor renting over buying in Palatine.
Are home prices or rent rising faster in Palatine, Illinois?
Both home prices and rent are rising in Palatine, up about 10.4% and 3.8% a year respectively. Home prices are changing faster.
What is the homeownership rate in Palatine, Illinois?
66.3% of households in Palatine, Illinois own their home, higher than the Illinois average of 61.4%.
What is the vacancy rate in Palatine, Illinois?
The housing vacancy rate in Palatine, Illinois is 5.0%, lower than the Illinois average of 8.1%.