Bloomington, IL Housing Market

Market Overview

Bloomington, IL earns a PropertyIQ Score of 85 out of 100, placing it in strong territory relative to the broader state market. The score is driven by several factors: 12-month home value momentum of 5.65%, 3-month home value momentum of 0.12%, a median days on market of 38 days, and a share of listings with a price cut of 15.2%. These drivers suggest a market with solid buyer interest and generally healthy turnover, though near-term price movement is mixed.

Compared with state benchmarks, Bloomington offers a clear affordability advantage. The median home value of $261,173 is well below the Illinois average of $297,573, while the rent index of $1,342 is above the state average of $1,274. The local unemployment rate of 4.0% is also stronger than the state’s 4.9%. Median household income is slightly lower at $79,905 compared with $83,390 statewide, but the gap in home values is larger than the gap in income, making housing more attainable at the local level.

Key Trends

One key trend is flattening price growth. Although the 12-month home value momentum score driver is positive at 5.65%, the 3-month momentum is only 0.12%, and the median home value year-over-year change is -$2. This points to earlier appreciation giving way to a plateau. At the same time, 15.2% of listings have had a price cut, indicating that some sellers are adjusting expectations and buyers may have more room to negotiate.

Another trend is steady market velocity. The median days on market is 38 days, which is one of the top score drivers and suggests homes are moving at a reasonably consistent pace. With 190 homes for sale, the market does not appear frozen, and the 15.2% share of listings with price cuts is moderate enough to signal normal negotiation rather than widespread distress.

Affordability also stands out. Based on a median home value of $261,173 and a median household income of $79,905, the local price-to-income ratio is roughly 3.3. That compares favorably with the state-level ratio of about 3.6, calculated from the state median home value of $297,573 and median household income of $83,390. This gives Bloomington a relative cost advantage for buyers and renters.

Finally, rental fundamentals and employment are supportive. The rent index of $1,342 is $68 above the state average of $1,274, and the unemployment rate of 4.0% is below the state’s 4.9%. Together, these factors suggest a stable tenant base and continued rental demand, which can help underpin the housing market even as price growth cools.

Who Is This Market For

Bloomington is well suited to first-time buyers. The median home value of $261,173 is significantly below the state median of $297,573, and the local price-to-income ratio is more favorable than the state average. With a median household income of $79,905 and a median days on market of 38 days, first-time buyers may find attainable entry points but should be prepared to act quickly. The 15.2% share of listings with a price cut also creates some opportunity for negotiation.

Rental property investors are another strong fit. The rent index of $1,342 exceeds the state average by $68, while home values remain lower than the state median. That combination can support better cash-flow potential. The lower unemployment rate of 4.0% further suggests a relatively stable rental market, which is appealing for investors seeking consistent tenant demand.

Move-up buyers may find this market workable but not aggressively appreciating in the near term. The positive 12-month momentum of 5.65% shows some prior value gains, but the year-over-year median home value change of -$2 and the modest 3-month momentum of 0.12% indicate that equity growth has slowed. Sellers moving up should price realistically, especially given that 15.2% of listings have already seen price cuts.

Outlook

The data points to a stable but flattening market for Bloomington. The 12-month home value momentum of 5.65% supports a base of prior appreciation, but the 3-month momentum of 0.12% and the year-over-year median home value change of -$2 suggest that near-term price growth has cooled. With a median of 38 days on market and 190 homes for sale, buyer activity appears steady enough to keep the market moving without signaling a sharp slowdown. The 15.2% share of listings with price cuts may continue to give buyers some leverage while keeping seller expectations in check. Above-state rent levels and a lower unemployment rate should provide underlying support for housing demand. Population growth data is not available, so long-term demand trends cannot be fully evaluated. Based strictly on the provided metrics, the outlook is for continued stability with limited near-term price gains.