Decatur, Illinois Housing Market

What stands out in Decatur?

• The median asking price is $133,098: one of the cheapest of 765 tracked cities. Low entry prices help cash flow, but check what keeps them low before you buy.
• Homes for sale are 59% below 2017–2019: among the tightest inventory against 2017–2019 of 765 tracked cities. Choice is still scarcer than before the pandemic.
• Population is down 5.4% over five years: among the steepest population decline of 765 tracked cities. A shrinking population thins demand over time.

Why is Decatur still competitive?

Decatur has 59% fewer homes for sale than in 2017–2019 at this time of year, and listings spend a median 43 days on the market, less than in 80% of the 765 cities we track. Well-priced homes will draw more than one offer. Your discount is in the listing that has sat, so set a price alert and move when a stale one gets cut.

What does a shrinking population mean for Decatur landlords?

The population in Decatur's ZIP codes fell 5.4% over five years. 13.8% of homes are vacant, higher than 87% of tracked cities. Households fell 3.0% while the housing stock changed -2.9%. Fewer households means a thinner tenant pool. Budget extra vacancy and buy where renters already concentrate.

How much can you negotiate in Decatur?

Pending-sale counts for Decatur were thinly reported until recently, so this page reads demand from how long listings stay on the market, how many sellers cut, and how much is for sale. About 1 in 5 sellers has already dropped their price. Each one has learned their first price was too high. Start your offer below their new price.

Decatur listings spend a median 43 days on the market. That is 16% longer than a year ago. There are 203 homes for sale in Decatur. That is 2.6 times the tightest month on record, but below the peak of 585. Supply is growing against last year.

What to do about it

• Get your financing approved before you look.
• Decide your maximum price before you bid.
• Bid the day a good home lists, or hunt the few that have sat 60+ days.
• Walk away when the price passes your number. Another buyer will overpay. Let them.

What is the fair market rent in Decatur?

HUD sets one fair market rent for Macon County. For fiscal year 2026:

• 1 bedroom: $845 a month. Up 5% on last year, up 63% since FY2016.
• 2 bedrooms: $1,063 a month. Up 6% on last year, up 53% since FY2016.
• 3 bedrooms: $1,378 a month. Up 4% on last year, up 46% since FY2016.
• 4 bedrooms: $1,706 a month. Up 9% on last year, up 77% since FY2016.

The figures include tenant-paid utilities and apply to all of Macon County, so one home's rent can sit well above or below them. See fair market rent by city.

When do Decatur prices dip?

Across 9 full years, Decatur asking prices ran lowest in January, about 6.6% below the year's average. They peaked in May. The most homes for sale show up in October, about 10% above the yearly average. Shop in October for choice, and expect the softest asking prices in January.

Who will rent from you in Decatur?

In Decatur, 34 out of every 100 households rent. Most own their home. The renter share is shrinking. Five years ago it was 35 in 100. Decatur lost about 800 renter households in five years. Renter households average 2.0 people. Singles and couples rent here. Two bedrooms beat four.

The median Decatur household earns $56,209 a year. Incomes here have grown 3.8% a year since 2019. Home prices have outrun incomes. Locals are being priced out. A typical home costs 2.4 times the median income. Locals can afford to buy here. Your exit buyer can be a local family. At 30% of income, a tenant on the median income can pay about $1,405 a month.

To see what one Decatur address would rent for and cash flow, run it through the app.

What numbers should you underwrite a Decatur deal with?

• Price growth to assume — +4.4%/yr. Decatur has grown about 5.9% a year for five years and for ten. That pace held before and after the 2020–2021 boom, so it is a fair long-run input. Prices fell 1.2% over the last year. Use it for timing. The five-year rate is the better guide.
• Competition when you exit — +34%. Homes for sale in Decatur are up 34% on last year, so your resale faces more competition than today's comps did.

Read when a cheap market is a warning and how we read these numbers, then run the numbers on a deal.

What is the median home price in Decatur?

The median asking price in Decatur is about $133,000 as of Sep 2026, down 3.2% from a year ago. This is the asking price on homes listed for sale. Sites that report sold prices or estimated home values will show a different number. Our Decatur figures cover the 6 ZIP codes with a Decatur mailing address, which can reach past city limits.

Is Decatur a buyer's or seller's market in 2026?

Sellers have more pull in Decatur than usual. We compare Decatur with 2017–2019 at this time of year: there are 59% fewer homes for sale; listings spend 37% fewer days on the market; 22% of sellers have cut their price, against 19% then.

Are Decatur home prices going up or down?

The median asking price is 9.6% below its Dec 2024 peak. You are not buying at the top. Prices stopped falling about a year ago. They are flat now. Waiting will not get you a cheaper house. It might still get you a more motivated seller.

What is the fair market rent in Decatur?

HUD's fiscal year 2026 fair market rent for Macon County is $1,063 a month for 2 bedrooms and $1,378 for 3 bedrooms. The figures include tenant-paid utilities and cover the whole county.