Rent vs buy in Peoria, IL
In Peoria, Illinois, the typical monthly rent is $1,240, while a typical home costs $136,279.
Over 7 years, buying comes out ahead by $15k.
Today's mortgage rate and a 20% down payment combine with Peoria's typical rent and home value. The break-even point is year 4.
The opinion is clearly labelled and includes the math. Estimates are provided, not quotes. Adjust any number, and the stamp will adjust too.
- Owning is ahead by
- $15k after 7 years
- Break-even point
- Year 4 when owning catches up
- Actual cost of owning
- $1,416 /mo year 1, against $1,240 rent
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Peoria's typical rent and home value provide the figures used in the stamp. Different figures for rent, price and years can reverse the result.
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Is renting or buying cheaper in Peoria?
Over 7 years, buying costs $14,504 less, including the money you receive when you sell. In year 4, owning's net cost falls below renting's and remains lower.
For renting. For owning. Net cost through each year.
Average mortgage payment vs rent in Peoria
At Peoria's typical price, rent and mortgage payments don't tell the whole story. Here are all monthly costs for year 1.
| Each month, year 1 | Amount | What it is |
|---|---|---|
| Rent | $1,240 | All of it, every month |
| Mortgage payment | $743 | $655 of it is interest in year 1 |
| Property tax | $270 | 2.38% of the value a year |
| Insurance | $99 | Census median for the city |
| Upkeep | $114 | 1% of the value a year |
| Owning, cash out | $1,226 | $88 of it builds equity |
| Lost return on the down payment | $222 | At 8.3% a year, this is what the cash would earn |
| Buying costs, spread out | $57 | 3.5% of the price over 7 years |
| True cost of owning | $1,416 | Cash paid, minus the equity portion, plus the two amounts listed above |
The figures behind Peoria's verdict
- Typical home valueZillow ZHVI, September 2026
- $136,279
- Typical rentZillow ZORI, September 2026
- $1,240 /mo
- Down payment20% avoids private mortgage insurance, which the engine does not model
- 20%
- Mortgage rateFreddie Mac Primary Mortgage Market Survey (FRED MORTGAGE30US)
- 7.24%
- Home price growthFHFA house price index, Illinois, 1995 to 2025
- 3.3% a year
- Rent growthCPI rent of primary residence, yearly growth 2006 to 2026
- 3.5% a year
- Return on savings60% S&P 500 with dividends and 40% 10-year Treasuries, rebalanced yearly, 1928 to 2025
- 8.3% a year
- Property taxCensus ACS 2020-2024, Peoria
- 2.38% of value
- Home insuranceCensus ACS 2020-2024, Peoria
- $99 /mo
- MaintenanceFannie Mae, low end of 1% to 4%
- 1% of value a year
- Buying costsFreddie Mac, middle of 2% to 5%
- 3.5% of price
- Selling costsAgent commission plus closing costs
- 6% of price
What could change Peoria's result?
Each line shows where Peoria's 7-year verdict changes, while all other factors remain the same.
Renting wins if
- Home prices grow by less than 1.8% a year; our calculation uses 3.3%, Illinois's long-run rate.
- Here, the mortgage rate remains above 9.11%.
- Renting a similar home costs less than $1,080 a month, compared with the typical $1,240 here.
- You move before year 4 arrives.
Buying is cheaper when
- Home prices rise by more than 1.8% each year.
- You secure a mortgage rate below 9.11%, while today's rate is 7.24%.
- You'd pay more than $1,080 a month to rent that same home.
- Your stay lasts 4 years or more.
Peoria compared with the other 812 cities
| Measure | Peoria | Median city |
|---|---|---|
| Typical home value | $136,279 | $422,451 |
| Typical rent | $1,240 /mo | $1,837 /mo |
| Price-to-rent ratio | 9.2 (#801 of 813) | 18.5 |
| Home prices, last 10 years | 4.8% a year | 6.2% a year |
| Rents, last 5 years | 7.4% a year | 4% a year |
| Property tax | 2.38% | 0.87% |
| Households that rent | 43% | 42% |
Sources: Zillow ZHVI and ZORI, Census ACS 2020-2024.
Other cities across Illinois
- Toss-up in Chicago, IL, where buying is ahead by $3k.
- Aurora, IL favors renting by $12k.
- Naperville, IL favors renting by $198k.
- Joliet, IL favors renting by $30k.
- Rockford, IL favors renting by $22k.
- Elgin, IL favors renting by $58k.
- Springfield, IL favors renting by $13k.
- Champaign, IL favors renting by $29k.
- Waukegan, IL favors renting by $24k.
- Cicero, IL favors renting by $71k.
- Bloomington, IL favors renting by $68k.
- Schaumburg, IL favors renting by $42k.