u/LynHarvie

A lot of people ask why Illinois property taxes are so high, and one of the biggest reasons is how we fund public schools.

Today, Illinois relies more heavily on local property taxes to fund schools than most states. Depending on the year and data source, roughly 50-60% of school funding comes from local sources (primarily property taxes), while the state contributes about 25-35%, with the remainder coming from the federal government.

What's interesting is that it wasn't always this way.

Historically, Illinois provided a much larger share of school funding at the state level. Beginning in the 1970s and accelerating through the 1980s and 1990s, the state gradually shifted more responsibility to local districts. As state funding failed to keep pace with educational costs and enrollment growth, districts increasingly turned to property taxes to make up the difference. Today, many education policy organizations point to this historic shift as a major reason Illinois remains so dependent on property taxes.

The result is a system where a child's educational resources can vary significantly based on local property wealth. Communities with higher property values can generate more school revenue with lower tax rates, while communities with lower property values often struggle to raise enough funding despite having higher tax burdens. That's one reason school funding equity has been debated in Illinois for decades.

Compared to the rest of the country, Illinois is an outlier. Nationally, states generally provide a larger share of K-12 funding, helping reduce disparities between wealthy and less wealthy districts. Illinois remains among the states most reliant on local property taxes for education.

In 2017, Illinois adopted the Evidence-Based Funding formula, which was designed to increase state contributions over time and direct more funding to under-resourced districts. Supporters argue it's helping close funding gaps, but the state is still working to reduce its long-standing dependence on local property taxes.

So when you look at your property tax bill, a large portion is likely going to your local school district. In many communities, schools represent the single largest share of the property tax bill.

Do you think Illinois should continue relying heavily on local property taxes, or should the state assume a larger role in funding public education?

We've all heard that inventory in the city of Chicago is at records lows, but did you know that there is a neighborhood in Chicago where inventory is actually rising? Any guesses?....

BRONZEVILLE!

That's right! Inventory in Bronzeville is up 13%.

For a buyer interested in Bronzeville, the attraction goes well beyond just the current home values. There are several long-term developments and neighborhood advantages that could enhance its appeal over the next ten years.

1. Bronzeville Lakefront Development - This ranks among the largest redevelopment initiatives in Chicago. The prior Michael Reese Hospital site is being redeveloped into a mixed-use community featuring housing, retail, office areas, research centers, green spaces, and a proposed Metra station. The initiative is anticipated to generate significant job opportunities and investment in the region.
2. Obama Presidential Center - Though technically situated in the adjacent Jackson Park/Woodlawn, its influence reaches into Bronzeville. The center is set to open this month and will house a museum, library, community venues, sports facilities, gardens, and programming expected to attract hundreds of thousands of visitors each year. Many view this as a potential major economic driver for the South Side.
3. Ongoing Public and Private Investment - Bronzeville is experiencing continuous investment in housing, mixed-use projects, infrastructure, and business corridors. Additional large-scale initiatives, like Metropolis Pointe, are being proposed close to the Bronzeville Lakefront development.
4. Proximity to Downtown - One of Bronzeville’s key advantages is its location. It’s just a few miles from downtown Chicago, often with significantly lower prices than neighborhoods nearer to the Loop or on the North Side.
5. Lakefront Access - Bronzeville provides convenient access to:Lake Michigan, 31st Street Beach, Burnham Park, The Lakefront Trail. For many buyers, this offers a notable lifestyle advantage.
6. Transportation Options - The neighborhood is accessible via: CTA Green Line, Nearby CTA Red Line, Metra Electric, Lake Shore Drive access. This makes commuting relatively easy when compared to many neighborhoods farther from the center of the city.
7. Historic Housing Stock - Bronzeville features some of Chicago’s most stunning historic greystones, row houses, and vintage architecture. Buyers seeking character often discover much richer architectural detail than in many modern developments.
8. Cultural and Historical Significance - Bronzeville has a profound history connected to the Great Migration, jazz, entrepreneurship, and African American culture in Chicago. This identity continues to draw residents who appreciate living in a neighborhood with a strong sense of community.
9. Relative Affordability - When compared to neighborhoods such as Lincoln Park, Lakeview, or West Loop, many buyers still perceive Bronzeville as offering more space and better value for their investment.
10. Potential for Future Appreciation - While appreciation cannot be assured, many of the factors that attract investors and homeowners are present:* Significant infrastructure investment * Job creation * Access to transit * Proximity to downtown * Cultural attractions * New housing and commercial projects

With all that said, my advice is, purchase in the area because you wish to reside in the neighborhood an enjoy the amenities, not purely base on expected appreciation.

However, if someone inquired about where the most notable long-term investment and redevelopment activity is taking place on Chicago’s South Side, Bronzeville would certainly be one of the top contenders.

Months Supply of Inventory (MSI) is one of the simplest and most important ways to understand whether a housing market favors buyers or sellers.

Months Supply of Inventory answers this question:

>

Fore example, if a neighborhood has 120 active listings, and 40 homes are selling per month, that would mean that it takes about 3 months to sell everything currently available.

<4 months = Sellers Market

4-6 Months = Balance Market

> 6 months = Buyer's Market

In Chicago, some neighborhoods are operating around 1 month or less. With other neighborhoods (Gold Coast, River North, Streeterville) operating around 3 months.

What's contributing to this?..... It's called the "Lock-in Effect"

Approximately 67% of homeowners have a mortgage rate between 2.5% and 4.5%.

If they sell, they may have to:

• Buy a more expensive home
• Take on a mortgage around 6.5%

As a result, many homeowners stay put.

Fewer sellers = lower inventory.

Lower inventory = more competition.

More competition = upward pressure on prices.