The monthly snapshot of the Iowa City real estate market “takes the temperature” of the market and shows us whether the market is hot, humming along nicely or whether there are any signs of a slowdown. Home Sales in September in Iowa City are on track to come out even with September 2013 by the end of the month. 47 Homes Sold so far in Iowa City this month compared to 51 in September 2013. It’s interesting to note that condo sales are up slightly from last year. Condo sales are stronger this year than they’ve been in a while.
I know sellers are always interested in knowing how long a house will take to sell. I’m always changing things in my market reports as I look for better ways to share the data and decided that knowing the average days on market is too generic and doesn’t give sellers much to go on. This month I’ve created a chart that shows how many homes sold under 30 days and looking at the other end of the spectrum, how many homes in Iowa City took more than 90 days to sell. This won’t tell you how long it takes for a specific home to sell either, but I think it might help with expectations as I have both buyers and sellers asking me what’s wrong with a house after it’s been on the market for a while. There doesn’t have to be anything wrong with a house for it to take a little longer to sell. As you can tell from the chart below, 36% of the homes that sold in Iowa City in September took more than 90 days to sell. (Listings are removed from the public view of the Iowa City MLS when they are Sale Pending. The numbers below reflect when houses were marked as sale pending and not when they sold).
Looking at home sales tells us what’s been going on in the market in the last couple of months. To get a feel for what’s going on in “real time” it’s a good idea to look at the contract to listing ratio. If we look at how many homes are under contract compared to how many homes are active listings waiting for the right buyer, then we can gauge how active the market is. The more homes there are under contract, the more buyers there are out and about actively writing contracts. 18% of the homes in Iowa City listed on the MLS are under contract. That’s lower than in the summer months, but it would be a huge surprise if it wasn’t! The Iowa City market is always hot in the spring and summer months as a big relocation destination for the UIOWA and UI Hospitals and of course renters who want to take the big step to home ownership typically do it at the end of their year lease. The buyer pool goes down in Fall. That shouldn’t discourage you as a seller though. As the market improves, local buyers are more ready to upgrade to a bigger home or downsize to a smaller home. The market may not be hopping, but there are still good signs of activity in the Iowa City market.
Fall is here and before we know it, it will be the end of the year. You might want to check back next month to find out where the Iowa City real estate market is headed. An even easier way to get market updates is to sign up and get Updates Via Email.
Do you have a house to sell in Iowa City? I’m a straight talking Realtor who knows the ins and outs of the Iowa City real estate market and knows how to get your home sold. Homes don’t sell themselves – A good agent will be what makes the difference between a home selling quickly and it languishing on the market.
Looking to buy a home in Iowa City? At Cardinal Realty we represent both buyers and sellers, (just preferably not in the same transaction). Whether you’re buying or selling a home the agent you work with WILL make a difference. (You might even be surprised just how much!) Work with an agent committed to putting in the time and effort needed to make yours a smooth and easy move.
Call Denise at 319-400-0268 for help selling your home or buying your next home in Iowa City.
Data provided via the Iowa City MLS September 26, 2014