Side-by-side comparison of home prices, mortgage payments, and housing costs between Peoria and Rockford, Illinois. Using Illinois's 2.07% property tax rate and $1,900/year insurance. Updated for 2026.
Peoria edges out Rockford in affordability, saving you roughly $156/month on total housing costs. Both cities are in Illinois, so property tax rates and insurance costs are the same — the difference comes down to home prices and what you get for your money in each market.
Estimated PITI payments assuming 10% down, 6.5% rate, 30-year fixed mortgage with PMI. Uses Illinois's 2.07% property tax rate.
Buying in Peoria saves you approximately $156/month ($1,872/year) compared to Rockford, based on median home prices with identical loan terms.
Peoria is the better choice for first-time buyers, with a median price of $135K versus $155K in Rockford. That's $20K less to save for a down payment. You'd need roughly $5K for an FHA 3.5% down payment in Peoria, compared to $5K in Rockford. Illinois offers the IHDA 1stHomeIllinois program ($7,500 forgivable loan) which applies in both cities.
Peoria has the better price-to-rent ratio at 13.2x versus 13.6x in Rockford. A lower ratio generally signals better rental income relative to purchase price. Average rent in Peoria is $850/month on a $135K median home, making it a stronger candidate for buy-and-rent investors.
Rockford (pop. 148,655) offers more amenities, schools, and services typical of a larger city, while Peoria (pop. 113,150) may offer a quieter, more community-oriented lifestyle. Families on a budget may prefer Peoria, where lower housing costs free up more income for childcare, education, and savings.