Columbus housing market: Everything you need to know
Nestled in the heart of The Ohio State University, Columbus offers a vibrant lifestyle for more than just college sports enthusiasts. With a youthful median resident age of 32.4 years and a burgeoning technology sector, the city beckons young professionals seeking exciting career opportunities. Additionally, the Arena District downtown boasts a plethora of entertainment options, including the NHL’s Columbus Blue Jackets. What’s more, the state capital offers an affordable residential real estate market, making it an appealing destination for potential homebuyers. Whether you’re a current resident or contemplating a move, here’s a comprehensive overview of the housing market in Columbus.
Columbus Housing Market Overview:
In Columbus, home prices are experiencing steady growth, with a year-over-year increase of approximately 2.5 percent, as reported by Redfin and the Columbus Realtors. In fact, the city recently earned the third spot on Realtor.com’s Hottest Housing Market List. Ron Manton, an Ohio-licensed mortgage loan originator at Churchill Mortgage, attests to Columbus being a steadily growing real estate market. The surging demand has led to a scarcity of housing inventory, firmly establishing Columbus as a seller’s market.
To put it in perspective, Columbus Realtors data reveals a meager one-month supply of homes available in March 2023. A balanced market would typically require a five to six-month supply.
Columbus Housing Trends and Stats:
As of March 2023, the median sale price stood at $286,000, significantly below the National Association of Realtors’ nationwide median of $375,700. Homes tend to sell slightly below their list price, with a sale-to-list ratio of 98.8 percent, marking a 4.1 percent decrease year-over-year. The average time homes spend on the market before selling nearly doubled from 18 days in March 2022 to 34 days in March 2023. Furthermore, there was a slight year-over-year drop in closed sales volume, from 2,430 to 2,304. When it comes to closing costs, Ohio averages around 2 percent of the home’s sale price, amounting to approximately $5,720 for a median-priced $286,000 home.
Should You Buy or Sell in the Columbus Housing Market?
For Home Sellers: Columbus presents a favorable scenario for sellers, with rising home prices and robust buyer demand. Multiple offers and short days on market remain commonplace, according to Jamie Curtis, an agent with Street Sotheby’s International Realty in Columbus. However, it’s crucial to bear in mind that mortgage interest rates play a pivotal role in driving home sales. Higher rates may limit the pool of prospective buyers. Collaborating with a real estate agent for a precise estimation of your property’s market value and potential sale duration is highly advisable. Be prepared to engage in negotiations to secure a successful sale.
For Homebuyers:
Columbus offers a refreshingly affordable market for homebuyers, especially when compared to other regions across the country. Despite price increases, the median sale price in Columbus is nearly $100,000 lower than the national median. Ron Manton suggests that now is an opportune time to purchase a home in Columbus, as low supply and high demand are expected to drive prices up in the future. It’s essential to use tools like Bankrate’s affordability calculator to determine your budget and get preapproved for a mortgage to signal to sellers that you’re a serious and qualified buyer.
Columbus Housing Market Predictions:
While predicting market trends is challenging, Columbus’s high ranking on Realtor.com’s Hottest Housing Market List provides encouraging signs. According to Jamie Curtis, Columbus stands out as one of the strongest real estate markets in the U.S., attracting buyers from major cities like Phoenix, San Francisco, and New York. The city’s lower cost of living and dynamic workforce contribute to its appeal. Unlike many markets, Columbus is experiencing rising prices, suggesting a stable housing market without signs of a crash on the horizon.
Conclusion:
Given the dynamic nature of the Columbus housing market, the expertise of an experienced real estate agent is invaluable. Look for an agent well-versed in the Columbus area, with a deep understanding of local market dynamics. Recommendations from friends, family, and neighborhood signage are excellent starting points in your search for the right agent. Whether you’re a buyer or seller, having a knowledgeable professional by your side can make all the difference.