London Ontario home prices have stabilized following the 2022 peak and 2023 correction, and current data points to modest appreciation ahead. The city's fundamental demand drivers — population growth, constrained supply, and relative GTA affordability — remain intact. Here is what the evidence actually shows.
Where We Are Now
The London Ontario average home price is currently around $620,000 to $650,000, below the 2022 peak but well above pre-pandemic levels. The correction has softened, and we are seeing balanced-to-slight seller market conditions in desirable West London neighbourhoods like Oakridge, Byron, and Lambeth.
Signals Pointing to Modest Price Growth
Several fundamentals support modest price appreciation in 2026–2027. Population growth driven by immigration is maintaining housing demand. CMHC supply reports confirm that supply remains constrained across Ontario. Interest rates have eased from peak levels. And London's economic base continues to diversify and grow, anchored by Western University, London Health Sciences Centre, and an expanding tech sector.
The Counterweights
Affordability remains stretched relative to local incomes, which limits how much prices can rise without commensurate income growth. Inventory is slowly improving as more sellers who delayed listing during rate uncertainty finally come to market. Buyers who are looking for value should look at West London, Westmount, and Medway as strong candidates for appreciation that hasn't yet been fully priced in.
The Honest Answer
No one can reliably predict home prices with precision. What I can tell you with confidence: the London Ontario market has strong long-term fundamentals, West London is a perennially desirable destination for buyers, and the buyers who consistently win are those who buy when they are financially ready — not when they think the market will be perfect. See our interest rates analysis for context on how rate movements affect this picture.
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Frequently Asked Questions
Will house prices go up in London Ontario in 2026?
Modest price appreciation in 2026–2027 is supported by population growth, constrained housing supply, and an improving rate environment. However, stretched affordability and slowly rising inventory are counterweights. The consensus among market observers is modest growth rather than dramatic swings in either direction.
Is London Ontario real estate a good long-term investment?
London Ontario has demonstrated strong long-term price appreciation anchored by a diversified economy — Western University, London Health Sciences Centre, and a growing tech sector — along with sustained population growth and structural housing demand. Like any real estate investment, outcomes depend on neighbourhood selection, timing, and property condition.
What is the average home price in London Ontario right now?
The London Ontario average home price is approximately $620,000–$660,000 as of mid-2026. Premium west-end neighbourhoods like Oakridge and Byron trade 10–20% above the city average, while East London and South London offer more affordable entry points below the average.
Why are London Ontario home prices rising?
Key drivers include sustained population growth driven by immigration, constrained housing supply relative to demand across Ontario, London's diversified and growing economic base, and the city's continued attractiveness as an affordable alternative to GTA markets. These structural factors support a floor under London Ontario values.
When will London Ontario home prices drop significantly?
No credible market analyst is forecasting a significant price drop in London Ontario. Prices may moderate in a sustained high-rate or elevated-inventory environment, but the fundamental demand drivers — population growth, supply constraints, and relative GTA affordability — support long-term stability. Buyers who are financially ready are generally better served buying when right for them than timing the market.
Sources & Data
Justin Skrypnyk
Real Estate Broker | Sutton Group Chapman Realty Inc., Brokerage | Oakridge, London Ontario
Justin Skrypnyk is a Real Estate Broker serving Oakridge and West London. He writes regularly about the London Ontario market to help buyers and sellers make well-informed decisions.