So far in 2021, we’ve seen an extreme seller’s market with low inventory and high demand for homes. Interest rates have stayed low and have occasionally dropped below 3%. Rising home prices have created concern about another bubble. We’re not in a bubble. What we’re seeing is a trend towards a balanced market.
Across Iowa, more homes are being put on the market and buyers are tired. Fewer buys are bidding, meaning fewer multiple-offer situations and longer days on the market. Sellers are going to get reasonable home prices in a reasonable time.
There were 100 new listings in 2021 so far in Spencer, Iowa. In our area, that’s extremely low. 58 of those listings closed in the first half of the year. Many sold in zero to three days. Today we have 22 active listings available in Spencer. That tells me that we’re getting more inventory every day. It’s still a great time to sell but it’s also a really good time to buy with interest rates being very competitive. In Spencer, Iowa we also have very competitive loans like the 0% down USDA rural development loan. If you’re thinking about buying, reach out and let’s have a conversation to see if that would be a good loan program for you.
In terms of Iowa as a whole, sales continued at a frantic pace at the beginning of the year. Homes sold in an average of 41 days. Sales rose 11% from May of 2020. We’ve seen an 8.2% increase in the median sale price and a 30% reduction in homes available for sale.
If you’re interested in buying or selling a home, reach out to me. If I can’t help you myself, I can connect you with an agent.