The Reshaping of Real Estate

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Understanding the market forces changing the way homes are bought and sold

If you’ve heard anything about the housing market over the past several years, you know it’s a difficult time to buy.

High mortgage rates, coupled with low inventory, have posed a challenge, particularly for first-time homebuyers, to enter the market. Inventory in the Chicago metro area is down 9.5% year-over-year, while prices continue to skyrocket.

Affordability has become such an issue that a March 2026 Illinois REALTORS® poll found 41% of Chicago-area residents now rank housing costs as their top worry, edging out crime for the first time in years. If they weren’t before, candidates on the 2026 ballot are taking notice.

First-time homebuyers are now at a record low of 21%, according to the 2026 National Association of REALTORS® Generational Trends report. Meanwhile, Boomers are taking the market by storm, now making up 42% of buyers through largely equity-based purchases, per the same report.

The changes in the market are not just about increasing sales prices or who is buying or selling. There have been massive shifts in the real estate industry itself that are also impacting how you might shop for, stage or list your home.

Since August 2024, buyers need a formal agreement with their licensed real estate professional before they can walk through homes together. This gives buyers a clearer picture of costs before they commit to a showing.

The way you search for homes online is also changing. For many years, when homes were listed, they hit sites like Zillow, Redfin, Realtor.com, and others within one business day. Last year, the National Association of REALTORS® made a change allowing sellers to delay public listings or list exclusively through one office instead, like their agent’s brokerage. This means some home listings never reach popular home search sites or the general market.

As a result, Zillow has filed a lawsuit against Compass, one of the largest brokerages, along with MRED, the multiple listing service that gives Chicago-area associations, including Mainstreet REALTORS®, listing access for their real estate professional members.

The dispute centers on how listings are shared with the public, and its outcome could influence how buyers access homes online in the future.

One resource that may be helpful to consumers navigating these changes is ChicagolandHomes.com, a regional home search platform recently launched by  Mainstreet REALTORS®.

AI is also reshaping how people search for, stage, and sell their homes. More than 80% of buyers now use some kind of AI tool during their home search, according to a Realtor.com survey, whether that’s comparing mortgage rates, visualizing renovations, or getting a first pass at negotiation strategy.

But AI hasn’t replaced the value of an agent. Nationally, 88% of buyers purchased through one, and 91% said they would use that person again or recommend them, per NAR’s 2026 Generational Trends report. On the seller side, 91% worked with an agent, and homes sold for a median 99% of list price.

As housing affordability, technology, and industry practices continue to evolve, buyers and sellers who stay informed will be better prepared to navigate the market. n

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