BLOOMINGTON/ NORMAL (WEEK) — The housing market is booming across the country, and that includes the Twin Cities.
According to data from the Mid-Illinois Realtors Association, homes under construction, both pending and closed — are up well over 200 percent from 2020.
President Brandon Shaffer says a variety of factors are influencing demand, including ultra low interest rates and new businesses like Rivian and State Farm moving more jobs into the area.
“Where we are unique is we do have a very large employer in town that is getting ready to launch production and they are trying to up their employee workforce,” Shaffer said.
That has helped drive up demand for new homes sky high. Jimmy Flynn with Keystone Homes says it’s been hard for them to obtain enough supplies and materials to meet demand.
“With where the market is at, interest rates and the demand… we just don’t have the means to keep up with that many jobs,” Flynn said.
Flynn says they’ve shifted focus to new home build projects, which has lead to them having to turn some remodeling customers away.
Despite that, he says it’s a good problem to have. MIRA says homes being built are going like hotcakes. And there aren’t enough homes on the resale market to offset the demand.
“That employee is looking for a home that doesn’t currently exist,” Shaffer said. “So sellers.. They’re finding that their average days on market is significantly less than what they might have anticipated.”