Best Affordable Places to Live in Illinois in 2025

Photo credit: iStock/Westhoff

Often praised for its low cost of living, Decatur is home to beautiful parks and recreational areas. It hosts a lively array of festivals and events, including the largest free street festival in the Midwest. It has a great public transportation system and educational opportunities at Millikin University. Those working in manufacturing and transportation will find ample job opportunities in the area. Potential buyers may want to help their home shopping chances by learning some tips to qualify for a mortgage.

Photo credit: iStock/DenisTangneyJr

Located near the Wisconsin border, Rockford is known for its thriving arts scene, including the Rockford Art Museum and the Coronado Performing Arts Center. Residents can also enjoy the peaceful Anderson Japanese Gardens. The city has a variety of job opportunities with a focus on health care and academia, and the public transportation system makes commuting easy. Housing in Rockford is affordable. When evaluated against similar cities in Illinois, Rockford emerges as an affordable choice for many. A particularly telling metric is its home price-to-income ratio of 2.9, suggesting high housing affordability in Rockford.

Photo credit: iStock/ghornephoto

Nestled along the Illinois River, Peoria has a strong community feel, great schools, and a thriving cultural scene with numerous music and cultural festivals throughout the year. Residents enjoy the Peoria Riverfront for leisure activities, and the city is home to Bradley University, providing educational and job opportunities. Peoria can be a good deal for many residents, especially first-time homebuyers, looking to buy or rent.

Photo credit: Flickr/Teemu008 , Creative Commons Attribution-ShareAlike 2.0

A suburb of Chicago, Park Ridge offers families a tight-knit community feel. It has many parks and activities. Parents will appreciate that it has a reputation for top-tier schools. Commuting to downtown Chicago is easy using the Metra train. Potential buyers may want to explore different types of mortgage loans to see what their best options are for buying in Park Ridge.

Photo credit: iStock/benkrut

Known for its historic charm and natural beauty, Long Grove offers serene landscapes. Families are drawn here by its strong school system. The annual Chocolate, Strawberry, and Apple Festivals make it fun for families as well. Although the average rent price here is high, one- and two-bedroom apartments priced at under $2,000 per month are relatively plentiful, suggesting the average may be driven by the rental price of larger properties. Buying a home? Going through the mortgage preapproval process might help give you an edge when you’re bidding on a house here. This is also a market where some buyers may need a jumbo mortgage loan.

Photo credit: Flickr/Richie Diesterheft , Creative Commons Attribution-NoDerivs 2.0

Libertyville offers a balance of suburban charm and urban conveniences. It has exceptional schools and family-centric recreational areas such as Independence Grove. Newcomers will quickly feel at home since there is a large percentage of family households. MainStreet Libertyville events are a fun draw for parents and kids.

Photo credit: iStock/DenisTangneyJr

Located in the suburbs but with an urban feel, Naperville has both high median salaries for recent grads and a vibrant cultural scene. A substantial percentage of residents are between 20 and 34, and the city is just 35 miles from Chicago and located along a commuter rail line with express service during morning and evening commutes. The city manages to blend both desirability and relative affordability within the broader Illinois housing landscape.

Photo credit: iStock/ghornephoto

This city on the Illinois River combines culture with affordability, making it appealing to young adults. The home of Bradley University, it has a strong local economy with jobs in health care, education, and manufacturing. Various venues for events and entertainment help to create a vibrant social scene. If you’re trying to qualify for a mortgage in Peoria, or anyplace, and you have questions, a call to a home loan help center could give you the info you need.

Photo credit: iStock/4nadia

As the state capital, Springfield offers both history and myriad job opportunities in education, health care, and government sectors. The city’s culture includes museums, theaters, and many events throughout the year. University of Illinois Springfield caters to students and provides additional jobs.

Photo credit: iStock/benkrut

Known for its affordability, Rockford offers reasonably priced housing options, making it attractive to retirees on a budget. In Illinois, Social Security income isn’t taxed, adding to the financial appeal. The city provides various programs and assistance for seniors, and with attractions like the Anderson Japanese Gardens and the Coronado Theatre, entertainment and recreational activities are in abundance.

Photo credit: Flickr/Randy von Liski , Creative Commons Attribution-NonCommercial-NoDerivs 2.0

Danville’s housing market is one of the most affordable in the state. This affordability, combined with the state’s policy of not taxing Social Security or retirement income, presents an appealing financial landscape for retirees. This small quiet city has a museum and art galleries, and its location along the Vermilion River makes it great for outdoor enthusiasts. There are plenty of state parks and nature preserves here. The town offers assistance programs for older residents, and its cultural spots like the Fischer Theatre make for great recreational activities.

This village in the Chicago metropolitan area offers a mix of housing options, with some upscale residences reflected in the area’s higher average rent. Retirees can find one- and two-bedroom rentals in the $1,800-$2,300 per month range. And the serene wooded environment and proximity to urban amenities are welcoming. Entertainment and recreation are readily accessible, with shopping and dining options in nearby Deerfield, and various nature trails and parks in Riverwoods itself.

Located further north along the coast of Lake Michigan, Zion has relatively reasonable housing options. The city has a growing cultural scene marked by events and festivals, especially in the summer. With taxes in line with state averages, the draw to Zion is enhanced by its serene beaches, the Illinois Beach State Park, and various recreational opportunities that appeal to both residents and visitors. Residents here are getting decent value in housing for their earnings, making Zion a competitive choice for many home seekers in the state.

Photo credit: iStock/FierceAbin

Evanston combines urban energy with lakeside tranquility, and offers both high-end homes and more modest options. Northwestern University enriches the city’s cultural scene, hosting numerous events and arts programs. The appeal of Evanston beaches, combined with entertainment hubs like the Evanston Arts Center and the vibrant downtown, makes it an attractive waterside city. Although its cost of living is on the higher side for the state, it is one of the less expensive lakeside spots to purchase a home.

Photo credit: iStock/George Dodd

As its name implies, Lake Forest offers a lush environment combined with the elegance of Lake Michigan’s coastline. The city’s housing is on the pricier side, reflecting its upscale amenities and prestigious schools. The cultural scene is enriched by institutions like the Lake Forest Symphony. The blend of beaches, recreational parks, and a rich cultural calendar makes Lake Forest a coveted location for those seeking waterside living.