In January, I had the opportunity to sit in the room at the Illinois REALTORS® Winter Conference as CEO Jeff Baker and President Jeff Kolbus addressed what may be one of the most important issues facing our state: housing supply.
On the surface, our housing economy can look strong.
Homes are still selling quickly.
Prices remain firm.
Some markets are even seeing bidding wars return earlier than expected.
But as Jeff Baker shared that day — and as the data makes clear — there is a deeper structural issue underneath.
Behind the Scenes at Illinois REALTORS® Winter Conference
Watch video below for the breakdown of what I heard in the room and why housing policy matters for Illinois residents.
Quick Summary: Illinois REALTORS® is actively addressing Illinois’ housing supply challenges through legislative action, local reform initiatives, and partnerships with policymakers. Here’s what that means for Illinois residents and communities.
The Reality Beneath the Headlines
Statewide, Illinois has hovered around 1.2 to 1.8 months of housing supply for over five years.
A healthy housing market typically has six months of supply.
In some parts of Illinois, home prices have grown nearly 40% in just two to three years. Multifamily housing starts are down significantly. Illinois continues to trail neighboring states like Indiana and Wisconsin in new home construction.
Even more concerning?
Illinois lost over 60% of its homebuilding industry after the recession — and much of it never came back.
That matters.
Because when supply remains low for too long, affordability erodes. Young buyers begin to believe homeownership isn’t realistic. Communities struggle to attract employers. Rents rise as pressure increases across the board.
One statistic shared at the conference was especially striking:
The housing shortage has cost Illinois an estimated $2.3 billion per year in lost economic growth. That’s roughly $6 million per day.
Housing is not just about transactions.
It is about economic vitality, workforce stability, and long-term community health.
What Illinois REALTORS® is Doing About It
The encouraging part of that conversation was this:
Illinois REALTORS® is not simply identifying the problem — it is actively working toward solutions.
Following the Governor’s 2024 Housing Task Force report, Illinois REALTORS® drafted and introduced legislation addressing key recommendations, including:
- Tax-advantaged first-time homebuyer savings accounts
- Legalization of Accessory Dwelling Units (ADUs) statewide
- Land use and zoning reforms to modernize outdated regulations
- Density flexibility and lot size adjustments where appropriate
Importantly, this is not about eliminating single-family zoning altogether. It’s about reviewing decades-old codes and asking:
Are we unintentionally making housing more expensive and harder to build?
The Local Housing Supply Accelerator Program
One of the most significant announcements at Winter Conference was the launch of the Local Housing Supply Accelerator Program.
This initiative is designed to:
- Identify communities ready to address housing constraints
- Form small workgroups with REALTORS®, mayors, city managers, and zoning administrators
- Analyze local housing data
- Propose targeted, tailored reforms to building codes and land use regulations
- Implement meaningful local changes within 6–12 months
Rather than waiting years for statewide mandates, this program focuses on local partnerships and practical reform.
It capitalizes on something REALTORS® understand deeply:
local markets, local data, and local relationships.
The Momentum Is Real
Shortly after Winter Conference, the Governor’s 2026 Budget Address included long-standing housing priorities championed by Illinois REALTORS®, including support for missing middle housing solutions and zoning flexibility.
That alignment signals something important:
Housing supply and affordability are no longer niche industry concerns. They are statewide priorities.
Why This Matters to Illinois Residents
As someone who actively serves in local association leadership and remains actively engaged at the state level, I care deeply about what this means for communities like Champaign, Urbana, Mahomet, Savoy, and beyond.
Housing impacts:
- First-time buyers
- Seniors looking to downsize
- Employers recruiting talent
- Local businesses
- Property tax stability
- Community growth
When we advocate for smarter housing policy, we are advocating for economic opportunity and long-term stability for Illinois residents.
Final Thoughts
Winter Conference wasn’t just about celebrating another year. It was about acknowledging underlying challenges and choosing to lead rather than react.
Illinois REALTORS® is investing time, data, relationships, and legislative energy into ensuring that homeownership remains attainable and communities remain vibrant.
And I’m proud to stay engaged in those conversations.
Because housing policy isn’t abstract. It affects real families, real businesses, and real communities — every single day.
Helpful Resources
The Illinois REALTORS® Housing Plan:
www.IllinoisRealtors.org/Housing
The plan reflects a broader recognition that housing supply isn’t just a real estate issue — it’s an economic development issue.
About the Author:
Jayme Ahlden is a REALTOR® Broker with Coldwell Banker Real Estate Group, serving Mahomet, Champaign, Urbana, Savoy, and surrounding Central Illinois communities. Jayme focuses on education-first guidance and helping clients navigate complex real estate decisions with clarity and confidence.
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