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Illinois vs Ohio:
Mortgage & Housing Costs

Side-by-side comparison of mortgage costs, property taxes, closing costs, and homeowners insurance between Illinois and Ohio. Updated for 2026.

MetricIllinoisOhio
Median Home Price$270K$215K
Property Tax Rate2.07%1.56%
Avg Closing Costs$5K$3K
Closing Cost %2.0%1.4%
Transfer Tax0.1%0.4%
Homeowners Insurance$1,900/yr$1,400/yr
First-Time Buyer Program
IHDA 1stHomeIllinois
$7,500 forgivable loan
OHFA Your Choice! Down Payment Assistance
2.5% or 5% of purchase price
Verdict

Ohio wins 5 of 6 cost categories, making it the more affordable state for homebuyers overall. With a median home price of $215K and lower overall costs, Ohio offers meaningful savings compared to Illinois. Both states offer first-time buyer programs — explore the state pages for full details.

Monthly Payment Comparison

Estimated PITI payments assuming 10% down, 6.5% rate, 30-year fixed mortgage with PMI.

Illinois
Home Price$270,000
Down Payment (10%)$27,000
Loan Amount$243,000
Monthly P&I$1,536
Monthly Property Tax$466
Monthly Insurance$158
Monthly PMI$101
Total PITI$2,261/mo
Annual property tax: $5,589
Ohio
Home Price$215,000
Down Payment (10%)$21,500
Loan Amount$193,500
Monthly P&I$1,223
Monthly Property Tax$280
Monthly Insurance$117
Monthly PMI$81
Total PITI$1,700/mo
Annual property tax: $3,354

The monthly payment difference is $561/month — thats $6,732/year or $202K over the life of a 30-year loan. Buying in Ohio is the more affordable option based on median home prices with identical loan terms.

Income Needed to Buy

Based on the 28% debt-to-income rule — your monthly housing payment should not exceed 28% of gross monthly income.

Illinois
$97K/yr
minimum household income
Ohio
$73K/yr
minimum household income

To afford the median home in Illinois, you need a household income of approximately $97K/year. In Ohio, you need $73K/year — less by $24K/year. That $24K income gap means Ohio is accessible to a significantly wider range of households.

Which State Is Right for You?

Home prices in Illinois and Ohio are relatively close, with only a 20% difference ($55K). At similar price points, your decision should focus on the other cost factors: property taxes, insurance, closing costs, and the overall quality of life each state offers. Small percentage differences in tax rates compound over decades of homeownership.

Ohio has a moderate property tax advantage at 1.56% versus Illinois's 2.07%. While the rate gap of 0.51% may seem small, it translates to an annual difference of approximately $2,235 when applied to each state's median home price. Over a typical homeownership period of 7-10 years, that adds up to $18K in savings.

Both states offer down payment assistance for first-time buyers. Illinois's IHDA 1stHomeIllinois provides $7,500 forgivable loan, while Ohio's OHFA Your Choice! Down Payment Assistance offers 2.5% or 5% of purchase price. These programs can significantly reduce your upfront costs and make homeownership accessible even if you haven't saved a full 20% down payment. Check eligibility requirements on each state's housing finance agency website — income limits and purchase price caps apply.

Key Takeaway

The bottom line: Illinois and Ohio are broadly similar in housing costs, with only $561/month separating them in total PITI payments. In cases like this, your decision should be driven by lifestyle preferences — job opportunities, climate, proximity to family, and quality of life — rather than pure cost savings. Either state offers a reasonable path to homeownership.

Compare Other States

Illinois vs AlabamaIllinois vs AlaskaIllinois vs ArkansasOhio vs AlabamaOhio vs ArkansasOhio vs Indiana

Frequently Asked Questions

Is it cheaper to buy a home in Ohio or Illinois?
Ohio is cheaper overall. The median home costs $215K compared to $270K in Illinois, and the total monthly PITI payment is $1,700 versus $2,261. That works out to $561 less per month or $6,732 less per year in Ohio.
How much more are property taxes in Illinois vs Ohio?
Illinois has a property tax rate of 2.07% compared to 1.56% in Ohio. On the median home, that means Illinois homeowners pay approximately $5,589/year in property taxes versus $3,354/year in Ohio — a difference of $2,235/year.
Which state has better first-time buyer programs, Illinois or Ohio?
Illinois offers the IHDA 1stHomeIllinois ($7,500 forgivable loan), while Ohio has the OHFA Your Choice! Down Payment Assistance (2.5% or 5% of purchase price). Both programs aim to reduce upfront costs for first-time buyers. Eligibility depends on income limits, purchase price caps, and other criteria set by each state's housing finance agency.

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