PEORIA, Ill. — Very low inventory of homes for sale weighed heavily on Peoria-area home sales during the first quarter of 2023, the Peoria Area Association of REALTORS said on Tuesday.
PAAR said home sales dropped 8.3% in the first three months of this year, compared to the same time a year ago.
Realtors reported 1,099 homes were sold in the Peoria area in the first quarter, down from 1,198 homes sold during the first quarter of last year.
Inventory of homes for sale in the first quarter of 2023 is down sharply from last year, and from pre-pandemic levels, according to PAAR President Robin Simpson.
The number of homes for sale in the first three months of 2023 stood at 467, down 28.6% from the same time last year when 654 homes were on the market.
Before the pandemic, Simpson said available homes in the Peoria area sometimes exceeded 2,000.
PAAR reports the average sale price for homes in Q1 was $153,426, down from $158,648 in the first three months of last year.
On average, it took 48 days to sell a home in the first quarter, compared to 47 days the same time frame last year.
Simpson said the market isn’t stagnant, as homes properly priced and in good condition are still selling very quickly, many with multiple offers.
“Unfortunately, the low inventory issue is not going to correct itself quickly. We are hopeful that interest rates are stable or decreasing but, historically, they are midrange,” Simpson said.
Simpson said she’s optimistic about Central Illinois’ housing market this year, despite challenges local realtors are facing.
“We are expecting to see some new construction enter the market to help move things,” Simpson said.
