December 2025 Market Update

This update is based upon information supplied by the Champaign County Association of REALTORS Multiple Listing Service for all attached and detached single-family properties in Champaign, Savoy or Urbana. It is important to keep in mind that specific segments of the market may have performed better or worse than the overall market analyzed below.

Year over year Analysis

For the most recent twelve months (12/01/2024-11/30/2025) the MLS reported 1,538 sales with a median sale price of $242,750 and a reported average marketing time of 35 days. For the prior twelve months (12/01/2023-12/30/2024) the MLS reported 1,573 sales with a median sale price of $229,900 and a reported average marketing time of 33 days.  This shows a year-over-year decrease in the number of sales of 35 homes or -2.2%. The median sale prices saw a 5.6% increase year-over-year. There are currently 204 homes on the market with an average marketing time of 76 days. This results in a 1.6-month supply of homes in inventory, which is a significant shortage relative to historical supply demand relationships in this market. Please note that the average marketing time of active listings is significantly above the average for closed sales in the prior 12 months. 

Interest Rates

In the first quarter of 2022 we saw a sharp increase in interest rates. Interest rates peaked in our area around 8.25% in summer of 2023. Rates have remained stable in 2025 in the 6.45% – 7.00% range. We have seen a slight decline in interest rates in the prior 30 days, with current interest rates in the 5.8% to 6.255% range.  Please note that the interest rate can vary significantly between lending institutions and borrower qualifications. Contact your Joel Ward Homes agent for recommendations! 

Employment

The close connection between employment levels and the strength of housing markets has been well established, both locally and on a national basis.  In December 2024 there were 110,890 employed people in Champaign County and an unemployment rate of 3.%. In December 2023 there were 105,772 people employed with an unemployment rate of 4.0%. This results in a 4.8% increase in the number of people employed. What follows is a graph showing the number of jobs in Champaign County, by month, based upon non-seasonally adjusted U.S Bureau of Labor Statistics data. Note that BLS has updated their data source and statistics for 2025. We are waiting for enough data to produce a chart that is accurate. For now, know that employment is stable in our market area.

Conclusions

We continue to see the shortage of homes available be a significant factor in our market, though supply is currently at it’s highest point this year at 1.6 months. The fall and early winter market has remained strong and year to date sales volume has almost caught up to 2024, but is still down 3.1% year-over-year.

What does this mean to the home seller? The market is still favorable to sellers, though we are seeing two markets. Updated properties that are priced well are selling very quickly, while over-priced or less updated properties are stagnating.

While supply is increasing and the market is becoming more favorable to buyers, it is still a seller’s market. Buyers should be prepared to bring strong offers and move quickly on the most desirable properties. Winter is a good time to buy as there are fewer buyers actively looking and sellers are typically more willing to negotiate.