The mid year numbers are in for home sales in Iowa City and home sales are up just 1% compared to last year. 484 homes sold January – June 2015 compared to 479 in the same time frame in 2014. When you look at the chart below you can see that home sales were down by almost 30% in May. That was the only month when home sales were down, a clear indicator that it was a glitch and not a trend. Nonetheless, it impacted home sales for the first half of the year. Homes in the lower and mid price ranges were flying off the shelves in the spring market. And yet it’s not reflected in the numbers. We will need to wait and see if this shortfall can be reversed in the Fall.
The absorption rate and the contract to listing ratio both do a good job of providing us with more information on how strong the Iowa City real estate market is. The absorption rate gives us insights on the turnover rate of homes in Iowa City. That calculation looks at sold listings and how long they took to sell. The average time on market in Iowa City is 4 months or 121 days. The contract to listing ratio looks at what is happening in “real time” and how many buyers are writing contracts. This calculation looks at homes contingent or pending that are waiting to close. Currently 39% of the homes listed on the Iowa City MLS are under contract – It’s still an active market in Iowa City, but not as active as it has been in the last few months. The inventory of homes on the market is higher, but there’s still a shortage of choices for buyers, especially in the lower and mid price ranges.
Homes Sold in Iowa City January – June 2015
Highlights of This Month’s Market Report for Iowa City
- Home Sales in Iowa City are up by 1% January through June 2015 compared to January – June 2014
- The absorption rate is at 4 months, that’s 121 days on market and trending towards a sellers market.
- There are currently 343 homes in Iowa City showing as Active Listings on the MLS and 222 homes are currently showing as Contingent or Sale Pending – That means 39% of the homes listed in Iowa City are under contract.
- Average Price for homes in Iowa City up – $235,575 Average price in 2015 compared to $223.003 in 2014
- Median Price for homes in Iowa City up – $203,750 median price in 2015 compared to $194,900 in 2014
Whether you’re buying or selling a home in Iowa City, working with a Realtor who keeps tabs on the market will be key to your success. If you’re a buyer, knowing when you need to jump on a listing is as important as knowing when it’s over-priced. In the current market it could go either way!
In this so-called “hot” market, sellers also benefit from the expertise of a good Realtor. Not every house or condo sells fast. Some homes take longer to sell. As an example, lower priced homes are in short supply in Iowa City right now and that’s good for sellers of lower priced homes. There are more choices in the higher price ranges and that translates into a longer market time for sellers in some neighborhoods. Knowing the market for your specific home in your specific neighborhood is key to your success. The best way to find that out is to talk to a good Realtor!
When you’re ready to move, you can reach Denise at 319-400-0268, or of course email works too!
Data provided via the Iowa City MLS July 1, 2015