Home sales are up in October for the 4th straight month in Iowa City. 62 homes sold in Iowa City in October 2011 compared to 43 homes sold in October 2010. That’s a lot of homes for this late in the year. That reflects a 44% increase over last year and a 63% increase compared to last month. (38 homes sold in September). Quite impressive numbers as we march towards the end of the year.
What may be even more surprising than the positive trend in the number of homes sold in Iowa City is that the inventory levels of homes on the market has gone down. There are currently 377 homes listed on the MLS as active listings. That’s compared to 450+ homes just 4 months ago. The absorption rate has dropped to 5.7 months, that’s an average of 173 days on market. (6 months absorption rate is a balanced market). I’m not sure we can read too much into those numbers though. This positive trend in the housing market in Iowa City has only been going a few months. We need more data before we can say we’re totally out of the woods. I’ll be keeping an eye on it so check back for updates!
The average price for a single family home in October 2011 was $199,742 compared to $210,717 in October 2010.The average price for condos in Iowa City was $159,154 in October 2011 compared to $150,157 in October 2010.
The median price for a single family home in October 2011 was $174,000 compared to $200,500 in October 2010. The median price for condos was $132,500 in October 2011 compared to $152,750 in October 2010.
What’s the takeaway from all of this? The trend in home sales in Iowa City is good. There’s still a lot of pressure on prices. There are lots of opportunities for buyers with homes at low “winter prices.” And with interest rates as low as they are you can get a lot of house for less in the current market. If you’re sitting on the fence, it’s a great time to get into the game!
If you’d like some help figuring out your options give me a call. Whether you’re buying or selling a house in Iowa City, talking to a real estate professional who knows their way around the market is the best way to ensure your own success in the long run.
Source for data: Iowa City Area MLS November 9, 2011