London Ontario Real Estate Market Update – 2026 Outlook

The real estate market in London continues to adjust following the rapid price growth during the pandemic years. After interest rates increased in 2023 and 2024, the market shifted toward a more balanced environment, giving buyers more options while maintaining long-term demand.

Current Market Conditions

According to recent housing statistics for the London–St. Thomas region, the average home price was approximately $624,550 in January 2026, with the benchmark price for a typical home around $558,000.

These figures show that the market has stabilized compared to the peak in early 2022, when the average price exceeded $800,000. While prices have softened from those highs, London continues to be considered one of the more affordable cities in Ontario relative to Toronto and the GTA.

Property Price Ranges

Typical price ranges in London currently include:

• Entry-level detached homes: $600,000 – $700,000

• Family homes in desirable neighbourhoods: $700,000 – $900,000

• Luxury homes: $1,000,000+

Neighbourhoods such as Masonville, Oakridge, Hyde Park, and Stoney Creek remain popular due to strong schools, parks, and amenities.

Investor Demand

London also remains an attractive market for investors due to strong rental demand driven by major institutions such as Western University and Fanshawe College.

Properties located near these campuses often attract investors looking for student rental opportunities, particularly homes with multiple bedrooms or potential secondary units.

Market Outlook

Looking ahead to 2026, most analysts expect the London real estate market to remain relatively stable. Population growth, limited housing supply, and continued migration from larger cities should help support long-term property values.

For buyers, the current market offers more negotiation opportunities than in recent years. For sellers, proper pricing and marketing strategy remain critical to achieving the best results.