The housing market hasn’t felt this energized in a long time—and many homeowners are starting to notice.
If you live in Chicago and have been wondering whether now is a smart time to sell, you’re not alone. As mortgage rates ease and buyer activity picks back up, more homeowners are asking whether this could be the moment to sell my house in Chicago—or even sell my house fast before more competition shows up.
Home loan applications have risen. Activity has picked up. And sellers who step in early could benefit from the momentum long before the competition catches on.
Let’s take a look at what’s happening behind the scenes and how you can take advantage of it.
When Rates Come Down, Buyer Activity Goes Up
In today’s market, buyer demand is closely tied to what happens with mortgage rates.
As rates come down, applications for home loans go up. Rick Sharga, Founder and CEO of the CJ Patrick Company, explains it like this:
“We’re in an incredibly rate-sensitive environment today, and every time we’ve seen mortgage rates drop into the low-to-mid 6% range, we’ve seen an influx of buyers hit the market.”
And that’s exactly what the data shows. More people who were sidelined are applying for mortgages again now that borrowing costs have come down.
Of course, that’s going to ebb and flow just like rates ebb and flow. But the bigger picture is, there’s been improvement as a whole since rates started coming down.
In fact, the Mortgage Bankers Association (MBA) shows the Mortgage Purchase Index is hovering at the highest level so far this year:
And that’s not the only sign of optimism. MBA also shows that mortgage applications recently hit their highest point in almost 3 years, too.
A clear sign that demand is moving in the right direction heading into 2026:
And just in case you were wondering, it’s not just pent-up demand from the government shutdown that slowed some processing of government loans for a month or so.
If you look back at the last graph, you’ll see the steady build-up of momentum throughout the entire year.
The big takeaway for you is this. Now that rates have come down, buyers are starting to re-enter the market. And that’s turning into real contracts on homes just like yours.
Home Sales Are Rebounding
Just to really drive home that this is trending in a good direction, the most recent report from the National Association of Realtors (NAR) shows pending home sales (homes that are under contract) are picking up, too.
The Pending Home Sales Index is also at the highest it’s been all year (see graph below):
And that means the market is ending the year on a high note and headed into 2026 with renewed energy. While that may not seem like a significant shift, it’s a rebound worth talking about.
Pending home sales are a leading indicator of where actual sales are going. If more homes are going under contract, it’s a good sign that more homes will actually close over the next two months, ultimately boosting sales. This could be part of why experts project home sales will inch higher in 2026 than in 2025 or 2024.
Of course, this may fluctuate as we see year-end volatility in mortgage rates. But it shouldn’t be enough to change this overall trend.
Expert forecasts indicate rates should remain essentially unchanged throughout 2026. That means the stage is set for this momentum to continue going into the new year.
What This Means for You
Here’s the opportunity. Selling now means:
- More buyer demand. As affordability improves, you could see more buyer traffic and home showings (if your house is priced and staged right). And the best part? Buyers re-engaging feel they’ve already waited too long for this moment. So, they’ll be eager to move.
- Being ahead of the curve. Listing sooner rather than later puts you ahead of the game, before other sellers realize something’s shifted.
Whether you’ve been putting off selling because you thought buyers weren’t buying, or you took your house off the market because you weren’t getting any bites, this is your sign to act.
What Rising Buyer Demand Means If You Want to Sell Your House
If you’ve been searching for “sell my house in Chicago” or “sell my house fast in Chicago,” this shift in buyer demand matters. More buyers re-entering the market means more activity, more showings, and stronger opportunities—especially for sellers who act before inventory builds back up.
Timing isn’t about guessing the market. It’s about understanding momentum and deciding when it makes sense for you. And if you’re thinking about selling in Chicago, knowing what buyer demand looks like right now can help you move with confidence.
If you’re considering selling your house—or want to understand how fast your home could sell—let’s talk through what this momentum could mean for you.
- KM Realty Group LLC
- 111 N Wabash Ave STE 1734, Chicago, IL 60602 (Directions)
- Call Us: (312) 283-0794
- Chat with Danielle Holmes