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The question of 'the best neighborhood to buy a property in Des Plaines, Illinois' does not have a one-size-fits-all answer.
Some of you are buying to live there, while others want to make the best investment possible. Individual preferences and circumstances matter.
That’s why the article below is covering every intent.
At WhatsmyCashFlow, when we write a blog post or when we update our real estate spreadsheet for Des Plaines, we want to bring solutions for everyone.
Enjoy the read, and please remember that we are not financial or investment advisors. This article is for informational purposes only.
To improve the readability and user-friendliness of this article, we will categorize neighborhoods into various groups, including budget-friendly options, emerging hotspots, and areas with high rental demand, among others. Consequently, some neighborhoods may appear in multiple categories and be mentioned several times throughout the article.
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How is the real estate market in Des Plaines, Illinois?
The housing market in Des Plaines, Illinois, is dynamic and continuously evolving, making it an intriguing prospect for buyers and investors.
One of the city’s strengths lies in its strategic location, excellent transportation links, and a growing local economy. Des Plaines is conveniently situated near O'Hare International Airport and has easy access to major highways and public transportation, including the Metra rail system. This connectivity makes it an attractive location for professionals who work in Chicago but prefer a more suburban lifestyle. Why does it matter? Because this accessibility drives up property values, making it a lucrative market for investors like you.
Let’s be honest - Des Plaines offers attractions and amenities that are rare elsewhere.
The city's vibrant downtown area, with its mix of dining, shopping, and entertainment options, is a major draw. The Des Plaines Theatre, a historic venue, hosts a variety of performances and events, adding to the city's cultural appeal. Additionally, the presence of beautiful parks like Lake Opeka and the Des Plaines River Trail provides residents with ample recreational opportunities, contributing to the city's desirability.
People who are looking to buy in Des Plaines often include professionals, young families, and retirees seeking a balance of urban convenience and suburban tranquility. The city's excellent school system, diverse community, and family-friendly environment attract a wide array of buyers.
For those interested in buying and renting out property in Des Plaines, the high demand for rental units from professionals and families ensures a steady stream of potential tenants, making it a sound investment.
The real estate market in Des Plaines is exceptionally dynamic. For instance, the median home price has seen a steady increase recently, indicating a robust and competitive market. This constant flux in property values and demand underscores the market's vibrancy and potential for significant returns on investment.
One very specific aspect of Des Plaines properties is the prevalence of mid-century modern and ranch-style homes, which add a unique charm and historical value.
These architectural styles, characterized by their simplicity, large windows, and open floor plans, are highly sought after and can command premium prices. This architectural uniqueness is a significant draw for buyers who appreciate the city's historical and aesthetic value.
As mentioned before, several factors contribute to the future appreciation of property values in Des Plaines. The ongoing development of the downtown area, improvements in public infrastructure, and the city's strategic location near major transportation hubs are key drivers.
Additionally, ongoing urban development projects and infrastructural improvements, such as the expansion of public transit and revitalization of certain neighborhoods, will likely further boost property values up.
Top neighborhoods in Des Plaines to consider for living
Areas in Des Plaines that are budget-friendly
| Neighborhood | Average Price per Square Meter ($) | Characteristics | Resident Demographics | Strengths |
|---|---|---|---|---|
| Cumberland | 2,150 | Proximity to industrial zones, higher traffic areas, single-family homes, ripe for renovation | Working-class families, artists, young professionals | Community spirit, increasing connectivity with city |
| South Des Plaines | 2,365 | Laid-back, suburban feel, proximity to Des Plaines River, tranquility, noise from O'Hare Airport | Long-time locals, nature enthusiasts, young families | Strong community, good schools, recreational opportunities |
| Downtown District | 2,475 | On the cusp of change, variety of property types, vibrant cultural scene, family-friendly | Latino, Asian, working-class families | Cultural scene, family-friendly, affordability |
We’ll be transparent - when you’re looking to buy a property in Des Plaines, finding an affordable and budget-friendly area can be quite the challenge.
However, there are still a few neighborhoods that stand out for their relative affordability and potential for future growth.
Let’s dive into three of these areas: Cumberland, South Des Plaines, and the Downtown District.
Cumberland
Cumberland is one of the last frontiers for budget-friendly properties in Des Plaines.
Historically, it has been one of the city's less expensive areas due to its proximity to industrial zones and higher traffic areas. However, recent years have seen significant investment in infrastructure and housing, leading to a gradual transformation.
The area is dotted with single-family homes, many of which are ripe for renovation. The average price per square foot hovers around $200, making it one of the more accessible areas in the city.
The community here is diverse, with a mix of working-class families, artists, and young professionals starting to move in.
Cumberland’s strengths lie in its community spirit and increasing connectivity with the rest of the city, especially with the nearby Cumberland Metra Station.
However, it still struggles with perceptions of safety and lacks some of the amenities found in more affluent neighborhoods.
South Des Plaines
South Des Plaines offers a more laid-back, suburban feel while still being within the city limits.
It’s cheaper primarily because of its distance from the downtown core and the frequent noise from nearby O'Hare International Airport, which some people find less appealing.
That said, the neighborhood has a unique charm with its proximity to the Des Plaines River and the tranquility it offers.
You can find a mix of single-family homes and a few apartment complexes here, with an average price per square foot around $220.
The residents are a blend of long-time locals, nature enthusiasts, and young families who appreciate the slower pace.
The strengths of South Des Plaines include its strong sense of community, good schools, and recreational opportunities at Lake Opeka and the Des Plaines River Trail. On the downside, it can feel isolated, and the noise from the airport isn’t for everyone.
Downtown District
The Downtown District is another neighborhood worth considering.
It’s cheaper because it hasn’t yet seen the gentrification that other parts of the city have, but it’s on the cusp of change. The area features a variety of property types, including single-family homes and multi-unit buildings.
The average price per square foot here is about $230. The Downtown District is home to a diverse population, with a strong representation of Latino, Asian, and working-class families. The neighborhood’s strengths include its vibrant cultural scene, family-friendly environment, and relative affordability.
However, it lacks some of the polish and high-end amenities of more developed areas and has pockets that can feel a bit rundown.
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Areas in Des Plaines that are popular and upscale
| Neighborhood | Average Price per sqm | Type of Properties | Demographics | Strengths | Weaknesses |
|---|---|---|---|---|---|
| Downtown Des Plaines | $3,500 | Modern condos, charming single-family homes, newly developed townhouses | Young professionals, families, retirees | Walkability, safety, proximity to top-rated schools, dining and shopping options | Increasing property prices, occasional noise from the train station |
| Lake Opeka | $2,800 | Cozy bungalows, spacious single-family homes | Outdoor enthusiasts, families, retirees | Natural beauty, peaceful atmosphere, strong sense of community | Quieter environment, occasional airplane noise from O'Hare |
| Metropolitan Square | $3,200 | Contemporary condos, stylish townhouses, smaller single-family homes | Young professionals, families | Modern infrastructure, safe streets, strong community feel | High cost of living, limited nightlife options |
Downtown Des Plaines
You've likely heard of it before. Downtown Des Plaines is emerging as one of the most desirable areas in the city.
While not as expensive as some of the more well-known Chicago suburbs, property prices here are steadily rising, with average prices per square meter often exceeding $3,500. This area is home to a mix of young professionals, families, and retirees who appreciate its blend of urban convenience and suburban charm.
Properties here include modern condos, charming single-family homes, and newly developed townhouses, all within walking distance of the Metra station, which offers a quick commute to downtown Chicago. Downtown Des Plaines is likely to remain popular due to its strategic location, vibrant community, and ongoing development projects.
The strengths of this neighborhood include its walkability, safety, and proximity to top-rated schools and a variety of dining and shopping options along Miner Street.
However, the downside is the increasing property prices and occasional noise from the nearby train station, which can be a concern for some residents.
Lake Opeka
Lake Opeka is another up-and-coming neighborhood known for its scenic beauty and recreational opportunities. It's moderately priced, with average prices around $2,800 per square meter.
This area attracts outdoor enthusiasts, families, and retirees who appreciate its picturesque lake views and ample green spaces. Properties here range from cozy bungalows to spacious single-family homes, many with large yards and lake access.
Lake Opeka is likely to stay popular because of its serene environment, excellent public amenities, and proximity to O'Hare International Airport.
The neighborhood's strengths include its natural beauty, peaceful atmosphere, and strong sense of community.
On the flip side, Lake Opeka can be quieter than other areas, which might not appeal to those looking for a more bustling environment, and the occasional airplane noise from O'Hare can be a drawback.
Metropolitan Square
Metropolitan Square is a favorite among young professionals and families looking for a vibrant and community-oriented vibe. It is also moderately priced, with average prices per square meter around $3,200.
This neighborhood is known for its modern amenities, trendy boutiques, and family-friendly atmosphere.
Properties here include contemporary condos, stylish townhouses, and smaller single-family homes.
Metropolitan Square's popularity is likely to continue due to its welcoming community, excellent schools, and easy access to major highways and public transportation.
The neighborhood's strengths are its modern infrastructure, safe streets, and strong community feel.
However, the high cost of living and limited nightlife options can be drawbacks for some residents.
Areas in Des Plaines that emerge as new hotspots
| Neighborhood | Description | Key Attractions | Current Property Prices | Future Outlook |
|---|---|---|---|---|
| Downtown Des Plaines | Once a quiet suburban area, now a bustling hub with new restaurants, coffee shops, and retail stores. | Excellent public transportation, Metra train station, vibrant community. | Relatively affordable compared to nearby suburbs like Park Ridge or Mount Prospect. | Property values expected to rise as more people discover the area. |
| Lake Opeka | Known for its scenic beauty and recreational opportunities, offering a mix of single-family homes and apartment complexes. | Lake Opeka Park, boating, fishing, golf facilities, new dining options, community events. | On the rise but still more affordable than in more established neighborhoods like Arlington Heights. | Significant returns expected as the area grows in popularity. |
| Southwest Des Plaines | Quiet, tree-lined streets with a strong sense of community, attracting families and professionals. | New schools, parks, shopping centers, proximity to major highways and O'Hare International Airport. | Relatively low but expected to increase as the area gains recognition. | Investing now could position you well for future growth. |
If you're looking to invest in residential property in Des Plaines, Illinois, and want to tap into areas with strong long-term rental demand, these neighborhoods are worth your attention.
Downtown Des Plaines
Downtown Des Plaines has seen a significant transformation over the past few years.
Once a quiet suburban area, it has evolved into a bustling hub of activity. The introduction of new restaurants, coffee shops, and retail stores has made Downtown Des Plaines a vibrant community.
The area is particularly attractive to young professionals and families due to its excellent public transportation options, including the Metra train station, which offers a quick commute to Chicago.
Despite its growing popularity, property prices in Downtown Des Plaines remain relatively affordable compared to nearby suburbs like Park Ridge or Mount Prospect.
As more people discover the convenience and charm of this area, property values are expected to rise, making it a smart investment choice.
Lake Opeka
Lake Opeka, known for its scenic beauty and recreational opportunities, is another area with strong rental demand.
The neighborhood offers a mix of single-family homes and apartment complexes, catering to a diverse range of residents.
The presence of Lake Opeka Park, with its boating, fishing, and golf facilities, makes it a popular choice for families and outdoor enthusiasts.
Recent developments, including new dining options and community events, have added to the area's appeal.
While property prices around Lake Opeka are on the rise, they are still more affordable than in more established neighborhoods like Arlington Heights.
Investing here could yield significant returns as the area continues to grow in popularity.
Southwest Des Plaines
Southwest Des Plaines, often overlooked in favor of more central locations, is emerging as a desirable neighborhood.
Known for its quiet, tree-lined streets and strong sense of community, this area is attracting families and professionals looking for a suburban lifestyle with easy access to urban amenities.
The recent addition of new schools, parks, and shopping centers has enhanced the quality of life in Southwest Des Plaines.
Proximity to major highways and O'Hare International Airport makes it a convenient location for frequent travelers and commuters.
Real estate prices in Southwest Des Plaines are still relatively low, but as the area gains recognition, property values are expected to increase.
Investing here now could position you well for future growth.
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Top neighborhoods in Des Plaines to invest in propertyAreas in Des Plaines with a strong long-term rental demand
| Neighborhood | Types of Tenants | Types of Properties | Rental Income | Rental Yield | Tips for Increasing Income |
|---|---|---|---|---|---|
| Downtown Des Plaines | Young professionals, families | Modern apartments, condos | $1,500 - $1,800/month (1-bedroom) | 5-6% | Opt for properties close to the Metra station |
| Cumberland | Families, professionals | Single-family homes, townhouses | $2,000 - $2,500/month (2-bedroom) | 4-5% | Consider properties near Cumberland Park or local schools |
| Lake Opeka Area | Professionals, families, retirees | Single-family homes, townhouses, upscale apartments | $2,500 - $3,000/month (2-bedroom) | 3-4% | Focus on properties with views of Lake Opeka or close to Des Plaines Park District facilities |
If you're looking to purchase property in Des Plaines, Illinois for rental purposes, focusing on neighborhoods with strong demand can maximize your returns. Three key areas stand out: Downtown Des Plaines, Cumberland, and the Lake Opeka area.
Downtown Des Plaines
Downtown Des Plaines is a bustling, vibrant area attracting a mix of young professionals and families due to its proximity to the Metra station and a variety of dining and shopping options.
Tenants here typically seek modern apartments and condos with amenities such as fitness centers, rooftop lounges, and secure parking.
One-bedroom apartments in Downtown Des Plaines can fetch around $1,500 to $1,800 per month. The rental yield here can be attractive, ranging between 5-6%, thanks to the high demand and premium rental rates.
Opt for properties close to the Metra station to ensure lower vacancy rates and higher rent.
The main drawback is the area's susceptibility to economic fluctuations, particularly in the retail sector, which could impact demand.
Cumberland
Cumberland is another hotspot, popular for its suburban feel and excellent schools.
This area appeals mainly to families and professionals who enjoy the quiet, residential atmosphere and the convenience of nearby parks and recreational facilities. Tenants in Cumberland often look for single-family homes or townhouses with modern amenities.
Here, two-bedroom homes can rent for about $2,000 to $2,500 per month. Rental yields can be solid, around 4-5%, given the consistent demand for the area's family-friendly environment.
To maximize rental income, consider properties near Cumberland Park or the local schools, which are a significant draw for families. However, be mindful of the competition from owner-occupied homes, which might limit the pool of potential tenants.
Lake Opeka Area
The Lake Opeka area is a prime neighborhood with a reputation for outdoor living and recreational activities. It draws professionals, families, and retirees who prefer larger homes and proximity to the lake and golf course.
Properties in the Lake Opeka area often include spacious single-family homes, well-appointed townhouses, and some upscale apartments. Rental rates for a two-bedroom home here can reach $2,500 to $3,000 per month. Due to the high property values, the rental yield might be lower, around 3-4%, but the area offers stability and lower vacancy rates.
Focus on properties with views of Lake Opeka or close to the Des Plaines Park District facilities to attract top-tier tenants and command higher rents. The primary downside is the steep initial investment and the competitive market for high-quality properties.
Areas in Des Plaines with a strong short-term rental demand
| Neighborhood | Demand Reasons & Tenant Profile | Preferred Properties & Amenities | Average Nightly Rate & Tips |
|---|---|---|---|
| Downtown Des Plaines | Revitalized urban core, proximity to Metra station. Young professionals and business travelers. | Modern apartments with high-speed internet, gym, easy access to public transport. | $150-$200/night. Invest in sleek condos near Metra station and amenities; prioritize workspace, views. |
| Lake Opeka Area | Recreational opportunities, serene environment. Tourists and families. | Spacious, family-friendly properties with well-stocked kitchen, outdoor space, proximity to lake and park facilities. | $175-$250/night. Invest in charming single-family homes or modern townhouses near the lake. |
| Metropolitan Square | Historic charm, modern conveniences, close to shopping, dining, entertainment. Tourists and business travelers seeking upscale experience. | Elegant, well-furnished apartments or historic homes with modern amenities like concierge services, fitness center. | $200-$300/night. Invest in properties near the heart of the square; restore historic features, add modern luxuries. |
If you want to reduce the risk of your property investment in Des Plaines, Illinois, and especially the vacancy rate, aim for these 3 neighborhoods.
Downtown Des Plaines
Downtown Des Plaines is a burgeoning area for short-term rentals due to its revitalized urban core and proximity to the Metra station, which offers a quick commute to Chicago.
The typical tenants in Downtown Des Plaines are young professionals and business travelers who appreciate modern, well-equipped apartments.
They look for properties with high-speed internet, a gym, and easy access to public transportation. For a one-night stay in Downtown Des Plaines, you can expect to charge around $150-$200.
To maximize rental income in Downtown Des Plaines, invest in sleek, modern condos near the Metra station and local amenities like restaurants and shops. Properties with a dedicated workspace and excellent views will attract higher-end tenants and reduce vacancy rates.
Lake Opeka Area
The Lake Opeka Area is another neighborhood with strong short-term rental demand, attracting tourists and families.
The area is known for its recreational opportunities, including boating, fishing, and golfing at the Lake Park Golf Course.
Tenants in the Lake Opeka Area are often looking for spacious, family-friendly properties that offer a serene environment. They appreciate amenities like a well-stocked kitchen, outdoor space, and proximity to the lake and park facilities.
The average nightly rate in the Lake Opeka Area ranges from $175 to $250. To get better rental income in this area, consider investing in charming single-family homes or modern townhouses close to the lake, known for its scenic beauty and recreational activities.
Metropolitan Square
Metropolitan Square is a prime location for short-term rentals, attracting tourists and business travelers seeking a more upscale experience.
This neighborhood offers a mix of historic charm and modern conveniences, with close proximity to shopping, dining, and entertainment options.
Tenants in Metropolitan Square typically prefer elegant, well-furnished apartments or historic homes with modern amenities. They look for properties with amenities such as concierge services, a fitness center, and easy access to local attractions.
The average price for a one-night stay in Metropolitan Square is between $200 and $300.
To increase rental income, focus on properties near the heart of the square, offering convenient access to shops and restaurants. Restoring historic features while incorporating modern luxuries can attract a high-end clientele and ensure consistent bookings.
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Areas in Des Plaines where property prices might increase in the future
| Neighborhood | Why Prices Are Low | Current Developments | Factors for Price Increase |
|---|---|---|---|
| Downtown Des Plaines | Historically commercial, overlooked for a long time. | Metropolitan Square development, Des Plaines Theater renovation bringing new housing, retail spaces, and entertainment options. | Large-scale redevelopment transforming the area, increased desirability and livability. |
| Southwest Des Plaines | Not as well-known, one of the last affordable areas in Des Plaines. | Mannheim Road Corridor project improving sidewalks, lighting, and bike lanes. | Proximity to public transport, infrastructure upgrades, hidden-gem status. |
| Northwest Highway Corridor | Prices higher than Downtown and Southwest Des Plaines but still reasonable. | Riverwalk project turning old industrial area into mixed-use neighborhood with offices, homes, and retail spaces. | Proximity to business district and Des Plaines River Trail, new job opportunities, urban development. |
As these neighborhoods continue to develop and attract more residents and businesses, you can expect property values to rise, making them smart choices for investment.
Downtown Des Plaines
Downtown Des Plaines is a historically commercial area that’s seeing a lot of changes.
Prices here are still relatively affordable because the neighborhood has been overlooked for a long time.
However, with the new Metropolitan Square development and the Des Plaines Theater renovation, there's a lot of investment pouring in. These projects are bringing in new housing, retail spaces, and entertainment options. As the area cleans up and becomes more desirable, expect a rise in property prices.
Single-family homes and townhouses will be in high demand as families and young professionals move in looking for more space and a community vibe.
The key factor here is the large-scale redevelopment, which will transform the neighborhood into a more attractive and livable area.
Southwest Des Plaines
Southwest Des Plaines is another neighborhood with great potential. It’s one of the last affordable areas in Des Plaines, partly because it’s not as well-known as other parts of the city.
However, it's gaining attention due to its proximity to public transportation and the ongoing improvements to local infrastructure, like the Mannheim Road Corridor project.
This project aims to revitalize the main thoroughfare with better sidewalks, lighting, and bike lanes.
Properties like multi-family units and condos will see high demand here, especially because they cater to the young professionals and families looking for reasonably priced options with good commute access.
The ongoing infrastructure upgrades and the neighborhood's hidden-gem status make it ripe for appreciation.
Northwest Highway Corridor
Northwest Highway Corridor is already somewhat trendy but still has room to grow.
Prices are higher than Downtown Des Plaines or Southwest Des Plaines, but still relatively reasonable compared to more central neighborhoods.
The big draw here is the proximity to the thriving business district and the Des Plaines River Trail.
With new developments like the Riverwalk project, which is turning an old industrial area into a mixed-use neighborhood with offices, homes, and retail spaces, Northwest Highway Corridor is becoming increasingly desirable.
High-demand properties will include modern lofts and apartments that appeal to professionals looking for a short commute and a vibrant local scene.
The combination of new job opportunities and exciting urban development will drive property prices up.
How to get the best ROI out of a property investment in Des Plaines, Illinois?
Picking the right neighborhood in Des Plaines, Illinois is not everything.
Each neighborhood has potential if the strategy is right, but it cannot be based on gut feeling. You need to analyze the data and make financial projections. This approach will save you from a lot of mistakes and money losses.
This is where we can help with our real estate spreadsheet for Des Plaines. Our tool provides a comprehensive overview of your property investment in Des Plaines. With this tool, you get all the key metrics you need, such as Net Operating Income (NOI), Loan-to-Value (LTV), cap rate, net yield, and more. It's specifically tailored to the Des Plaines market, incorporating the latest real estate data, so you don't have to spend hours researching.
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You don’t need to worry about complex calculations or confusing setups. Our tool is straightforward and intuitive, helping you make informed decisions without the hassle.
One of the standout features of our spreadsheet is its comprehensive data set. It includes all the average and median values for sale price, price per square foot, cash on cash returns, rental income, and occupancy rates for Des Plaines. This means you can make accurate, data-driven decisions specific to the city's market conditions.
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If you have any questions, feel free to reach out to us at team@whatsmycashflow.com. Also, you can read this detailed article that explains how the Des Plaines spreadsheet works.
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