Peoria Housing Market, Fall 2026: Prices Up, Pressure Off

By The Ashley Home Team, eXp Realty November 3, 20262 min read 3 sources cited

If you've been waiting for the Peoria market to cool off, it has. Just not on price. The average home sold for $219,865 from April through June, 8% more than a year earlier ^[2]. What cooled is the rush: homes for sale are up more than 40% from a year ago ^[1], and the average one now takes 39 days to sell, up from 20 two years ago ^[2].

Prices are still climbing

From April through June, 1,723 homes sold around Peoria, about 200 more than the same stretch of 2025 ^[2]. The average sale came in at $219,865. A year earlier it was $203,606 ^[2]. That's about $16,000 in twelve months.

One caution before you hold that number up against your own house. It's an average across the whole area, so it blends a house in Dunlap with a house in Canton, and those are very different markets. Our town guides break prices down town by town, with a source for every figure.

What changed: buyers have choices again

Homes for sale are up more than 40% from a year ago ^[1]. Two years ago, the average house sold in 20 days. This spring it took 39 ^[2]. That's the real story of 2026. Not falling prices, just more houses to pick from and a little less hurry.

Leslie Rothan, president of the Peoria Area Association of Realtors, called it a trend toward a more stable, balanced market, with sellers more willing to list and buyer demand holding up ^[1]. Her short version: "price and location drive home sales" ^[1].

If you're selling this fall

Price it from what's sold on your street lately, not from what a neighbor got a couple of years ago. Buyers have more houses to compare yours against now. An overpriced listing tends to sit, then sell later after a price cut or two, and that usually costs more than pricing it right on day one.

Your first two weeks on the market matter most, because that's when a new listing gets its best showings. Fix what a buyer will notice on the walk-through before the photographer comes. Then give it time. With the average at 39 days ^[2], plan on something like six weeks, not three.

If you're buying this fall

You have more room than buyers have had in a while. More listings means more to compare, and on a house that's been sitting, more room to ask for a lower price, repairs or help with closing costs.

Just don't mistake balanced for cheap. Prices are still rising, and homes that are priced well and in good shape still sell quickly ^[1]. The average 30-year fixed rate was about 6.7%, per Bankrate, when PAAR's report came out ^[2]. Get pre-approved before you start touring, and compare at least two lender quotes.

The next report to watch

PAAR's third-quarter numbers should land in November. Last year's were reported on November 10 ^[3]. We'll update this post when they come out.

Two numbers will show which way things are leaning heading into winter. Sales first: the third quarter of 2025 had 1,543 ^[3], so beating that would mean demand is holding up. Then inventory, which climbed from 591 to 723 homes over that same quarter last year ^[3]. If it keeps climbing this fall, buyers get even more say.

The Ashley Home TeameXp Realty, Peoria. Helping buyers and sellers in Peoria, Pekin, Chillicothe, East Peoria, Bartonville, Dunlap, Washington, Germantown Hills, Morton, Creve Coeur and Canton for more than 15 years. Bryce Ashley, Real Estate Broker.FacebookInstagram(309) 397-6982