Is Peterborough Still Affordable? A Reality Check for 2026

“Is Peterborough still affordable?”

It’s one of the most common questions we’re hearing in 2026 — from first-time buyers, move-up families, downsizers, and even buyers relocating from larger centres.

The short answer? Affordability looks different than it did five years ago, but Peterborough remains one of the more attainable markets in Ontario when approached strategically.

Here’s a realistic look at what affordability means right now.

How Peterborough Compares to Larger Markets

For buyers coming from the GTA or other major urban centres, Peterborough still offers significantly more value for your dollar. Purchase prices, property taxes, and overall lifestyle costs remain lower than in many larger cities.

However, for local buyers, especially first-time buyers, affordability is tighter than it once was. Rising home values over the past several years, combined with higher interest rates, have changed monthly payment realities.

The key shift in 2026 isn’t necessarily price alone; it’s borrowing power.

The Interest Rate Factor

Even if home prices stabilize, interest rates directly impact monthly affordability. A difference of even half a percent can significantly change qualifying amounts and payment comfort levels.

Today’s buyers are more payment-focused than price-focused. Instead of asking, “What’s the listing price?” many are asking, “What will this cost me each month?”

This mindset shift is healthy. It encourages long-term planning and more sustainable decisions, especially in a market that has moved past ultra-low borrowing costs.

What “Affordable” Really Means in 2026

Affordability isn’t one-size-fits-all.

For some buyers, affordability means:

• Staying under a specific monthly payment

• Purchasing a smaller home or condo as a first step

• Choosing a neighbourhood slightly outside the core

• Considering townhouses or semi-detached homes

For others, affordability means:

• Selling and buying in the same market (where gains offset costs)

• Downsizing to reduce expenses

• Moving from rural to urban for lower maintenance costs

The definition has shifted from “cheapest possible” to “financially comfortable long-term.”

Where Buyers Are Finding Value

In 2026, buyers are finding opportunity in:

• Homes that need cosmetic updates

• Properties that have been on the market longer

• Balanced negotiations instead of bidding wars

• Townships and surrounding areas offering slightly lower price points

Unlike the peak frenzy years, buyers now have more time to evaluate options and negotiate terms. That breathing room can create smarter purchases, even if interest rates are higher.

What Sellers Need to Understand

Affordability directly affects buyer behaviour.

Today’s buyers are cautious, informed, and selective. Overpricing in hopes of “testing the market” often results in longer days on market and eventual price adjustments.

Homes that are well-priced and well-presented continue to sell, especially if they align with realistic monthly payment expectations.

Affordability doesn’t mean prices are collapsing. It means buyers are calculating more carefully.

The Lifestyle Factor

One reason Peterborough remains attractive is lifestyle value.

Access to outdoor space, waterfront, trails, schools, and a strong sense of community continue to draw both local and out-of-town buyers. Many people are choosing Peterborough not just because it’s cheaper than Toronto, but because it offers balance.

When you combine lifestyle, relative affordability, and a more stable market environment, Peterborough continues to hold strong appeal in 2026.

So… Is Peterborough Still Affordable?

Compared to five years ago? It’s more expensive.

Compared to larger Ontario markets? Still considerably more attainable.

Compared to the peak frenzy years? More balanced and predictable.

Affordability in 2026 isn’t about chasing the lowest price. It’s about understanding your numbers, planning wisely, and choosing a property that fits your long-term goals.

If you’re wondering what affordability looks like for you, whether you’re buying, selling, or both, having a clear picture of today’s market conditions makes all the difference.

Peterborough is still a place where smart, well-planned moves are possible. The key is strategy.

If you’re wondering what affordability looks like for you in today’s Peterborough market, let’s talk. A quick conversation can give you clarity and a plan. Give us a call at 705-743-4444. We always have an agent on duty!