Record low housing inventory in Peoria

The Peoria-area has seen record low housing inventory in the first quarter of 2022.
The Peoria-area has seen record low housing inventory in the first quarter of 2022.(25 News / Heart of Illinois ABC)
Published: Apr. 18, 2022 at 10:24 PM CDT
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PEORIA (Heart of Illinois ABC) - A new report shows housing inventory in the River City is at a record low.

A release from the Peoria Association of Realtors says homes for sale in the first quarter of this year dropped nearly 50 percent from 2021, from 1,097 to 564. Total homes sold is also down 12.2 percent.

“This is the lowest supply of homes we’ve ever had in this market,” PAAR president Ryan Cannon said. “Buyers have very little to pick from right now.”

Realtor Michael Maloof says though, it’s not for a lack of demand.

“The desire to sell is not low,” Maloof said. “So don’t confuse low inventory with desire to sell. The desire to buy is intense.”

The homes that are on the market are still going like hotcakes. The average home here sells in 47 days, a 30-day drop from 2021. They are going so fast that Maloof says it’s deterring sellers, who can’t find newer, more expensive homes quick enough.

“In other words, you put my house on the market, (and) I get a really good price for it. So, where do I move?” Maloof said.

PAAR says there’s a shortage of homes for sale in the $200,000 to $400,000 range, creating a log-jam in the market. Matt Wilkerson at EZ Mortgage in East Peoria says rising interest rates are also making matters worse.

“The refinance business has definitely been wiped out with the rise in interest rates,” Wilkerson said. “But if our clients find the right house, you’re correct, they do need to move quickly.”

Both say Peoria remains an attractive and affordable place to live for buyers across the country. Maloof says calls from out-of-state clients have doubled to 10 percent of all calls. Wilkerson says pre-approval numbers remain steady, with a good outlook for the Summer.

“In the next six months, we expect a strong market,” Maloof said.

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