Ottawa-Peru, IL

There is no doubt that the Ottawa-Peru, IL metropolitan statistical area (MSA) has seen some drastic changes in its housing market over the past few years. The most notable change has been the decrease in home prices, which has made it a buyer's market. According to Zillow, the median home value in Ottawa-Peru was $129,000 in September 2019, which is down 11.8% from one year ago. This decrease in home values can be attributed to the decline in demand for housing in the area.

The decrease in demand for housing is likely due to a combination of factors, including the loss of manufacturing jobs in the area and an increase in foreclosures. According to RealtyTrac, there were 1,056 foreclosure filings (default notices, scheduled auctions, and bank repossessions) in Ottawa-Peru MSA during the first quarter of 2019 – up 33% from one year ago. This increase in foreclosures is likely putting downward pressure on home prices as well.

Despite these challenges, there are still some positive trends happening in Ottawa-Peru's housing market. For example, rental rates have been on the rise due to strong demand from renters who are unable or unwilling to purchase a home at this time. According to Yardi Matrix data, average rent for an apartment in Ottawa-Peru increased 4% from 2018 to 2019 – outpacing both inflation (2%) and rent growth nationwide (3%). This trend is expected to continue as more people move into the area for work or leisure purposes.

Overall, it's clear that Ottawa-Peru's housing market is going through some major changes right now. Home prices have declined due to weak demand and an increase in foreclosures; however, rental rates are rising as more people move into the area seeking employment or leisure opportunities