Illinois' Premium Neighborhoods: A Complete Guide to the State's Highest Living Expense Areas

The American Midwest typically offers residents a more affordable lifestyle compared to coastal cities, yet Illinois stands out as an exception. Within the state lies a collection of exclusive communities where the fundamental costs of living—housing, food, utilities, healthcare and transportation—regularly exceed $5,000 each month. A comprehensive analysis from GOBankingRates reveals exactly which Illinois neighborhoods demand the deepest pockets from their residents.

Methodology Behind the Numbers

GOBankingRates conducted research analyzing 30 Illinois municipalities with the highest 2025 home valuations and populations exceeding 2,500 residents. The final ranking considered several key expense categories: 2025 residential property values from Zillow’s August 2025 database, monthly mortgage obligations based on 20% down payments with 30-year fixed rates at 6.30%, and regional cost factors for groceries, utilities, medical care and transportation derived from Bureau of Labor Statistics data adjusted for local cost-of-living indices.

The Premium Tier: Where $10,000+ Monthly Necessities Are Reality

Kenilworth tops the list with annual necessity costs reaching $138,632—translating to $11,553 monthly. The average home value stands at $1,896,355 with a monthly mortgage payment of $9,390. Immediately following, Winnetka residents face $130,246 in annual necessity expenses ($10,854 monthly), supported by 2025 average home values of $1,759,880 and $8,715 monthly mortgage obligations.

Glencoe rounds out this exclusive $9,000+ monthly category with $113,908 annual costs and $1,488,738 average home values. These three communities represent the absolute peak of residential expenses in Illinois.

The Upper-Middle Category: $7,000 to $9,000 Monthly

The next tier includes Hinsdale, Lake Forest, and South Barrington. Hinsdale presents particularly interesting opportunities for buyers researching Hinsdale houses for sale, with average 2025 valuations at $1,228,133 and monthly necessity costs of $8,177 (approximately $98,119 annually). The strong real estate market in Hinsdale reflects its popularity among affluent households seeking established communities with quality schools and infrastructure.

Lake Forest follows with $92,611 annual necessity expenses and $1,172,231 average home values. South Barrington rounds out this category at $88,808 annually with $1,081,467 average property valuations. All three communities demonstrate the balance between high property costs and elevated daily living expenses.

The Established Affluent Communities: $5,000 to $7,000 Monthly Range

Oak Brook, Barrington Hills, Wilmette, and Northfield comprise the next price segment. Oak Brook residents navigate $85,087 in annual necessity costs with $1,014,521 average home values. Barrington Hills follows closely with $84,483 annual expenses and $985,071 valuations. Wilmette contributes $82,448 annually with $968,347 average home values, while Northfield registers $80,247 annual costs with $932,314 properties.

This category represents well-established neighborhoods where property values remain substantial but monthly obligations begin moderating slightly from the absolute peak figures.

The Secondary Tier: $6,000 to $7,000 Monthly Category

Burr Ridge, Riverwoods, Long Grove, River Forest, and Western Springs occupy this range. Burr Ridge shows $78,196 annual necessity costs with $902,643 average values. Riverwoods presents $77,878 annually against $929,512 valuations. Long Grove registers $76,726 annual expenses with $904,299 home values. River Forest contributes $73,761 annually with $822,837 valuations. Western Springs concludes this segment at $73,078 annual costs and $816,376 average property values.

These communities still demand significant financial commitment but offer slightly more accessible entry points compared to the top-ranked areas.

The Accessible Premium Communities: $5,000 to $6,000 Monthly

The final category includes Kildeer, Inverness, North Barrington, Highland Park, and Northbrook. Kildeer shows $72,142 annual necessity costs with $824,648 average valuations. Inverness registers $71,351 annually against $782,556 home values. North Barrington presents $71,003 in annual expenses with $801,283 average properties. Highland Park contributes $69,882 annually with $792,777 valuations. Northbrook, the final entry, registers $69,744 annual necessity costs and $760,954 average home values.

This segment represents the lower boundary of Illinois’ most expensive residential markets, yet still significantly exceeds state and regional averages.

Key Takeaways for Prospective Residents

The analysis encompasses all significant expense categories affecting daily life. Mortgage payments dominate the budget in all 20 communities, accounting for the majority of monthly necessity costs. However, secondary expenses—groceries, utilities, healthcare services and transportation—collectively add $1,500 to $2,000 monthly in these premium neighborhoods, substantially exceeding statewide averages.

For those considering relocation to these communities, the data illustrates that securing an appropriate property represents only the initial financial commitment. Ongoing living expenses in these neighborhoods reflect higher regional costs across all spending categories, requiring comprehensive financial planning beyond mortgage qualification.

All data was collected on October 13, 2025, based on Zillow’s August 2025 property valuations and 2023 American Community Survey population data from the U.S. Census Bureau.

Methodology note: Research focused on municipalities with 2025 home values among the state’s highest and populations exceeding 2,500. Monthly mortgage calculations assumed 20% down payments, 30-year fixed rates at 6.30%, with no HOA fees, PMI or property tax inclusions. Secondary expense categories utilized 2023 national averages adjusted for individual city cost-of-living indices.