2016 Real Estate: Year in Review for Peoria, IL
"Peoria Area home sales held steady in 2016."
Home sales in 2016 nearly matched sales activity in 2015, with just a slight dip of 0.8 percent. The last quarter finished strong with an increase of 1.3 compared to 2015.
Why the end of year increase in sales? Many think it is attributed to the interest rate increase following the Presidential election. Interest rates are slowly on the rise and expected to continue a steady increase into 2017. This could spur an active Spring Market as buyers want to take advantage of interest rates while they are still low. Experts believe that the rates should not grow by more that .75 percent, which should ultimately keep them below 5%.
The Peoria Area Association of Realtors recorded 5,454 homes sales in 2016, a slight decrease from the 5,499 sold in 2015.
The good news is that home sales in 2015 and 2016 represented the highest figures since 2008 and a significant increase since 2011 when home sales totaled 4,210.
2016 QUICK STATS:
- Median Home Sale Price $118,000
- Average Home Sale Price $141,757
- Average Days to Sell a House in Peoria Market: 83
- Price Range Quickest to Sell: $125,000 - $175,000 (at an average of 72 days on market)
- List to Sale Price Ratio: 90.3%
- Average Month Supply of Inventory: 6.1 month
*All Statistics provided by Peoria Area Association of Realtors 2016 Annual Report
New Construction: While new construction across the country is down, locally in 2016, new construction was slightly up over 2015. The area with the largest market share of new construction was Edwards at 35.3%, followed by Dunlap with 19% and Washington with 13.9% of new homes.
Thinking of making a move in 2017?
Overall low inventory of homes is expected to continue into 2017, as well as an increase in prices across all price ranges and property types. Eager buyers will vie for fewer available homes making NOW the best time to get your home on the market if you are considering a move this year.