Iowa Housing Market Builds Inventory Ahead of Fall Market

Iowa’s housing market continued to offer buyers more choices in August, with active inventory reaching its highest level in recent months despite a seasonal slowdown in sales activity.

“August reflects the natural transition from the busy summer market toward fall, but there are still encouraging signs across Iowa,” said Erik Melloy, Iowa REALTORS® president. “Inventory remains well above where it was a year ago, giving buyers more opportunities to find a home that fits their needs. While sales activity has stabilized, the overall market remains active and home values continue to show strength.”

New listings experienced a late-summer bump with 4,230 listings in August, a 3.9% increase over the 4,072 new listings of one year ago. Month-to-month the season showed signs of a slight cooldown, dipping 8.9% from the 4,643 new listings that hit the market in July. 

Still, active inventory gains both yearly and monthly illustrate that the Iowa housing market remains abundant for those looking for their next home. The 9,896 homes on the market represent a 13.5% increase over the 8,718 homes listed one year ago, and a 5% bump from the 9,426 active listings of the previous month. 

Despite the welcome increase in inventory, closed sales faltered in August. The 3,321 closed sales of the month represent a 6% decrease from August 2025’s 3,556 closed sales, and a 10.5% decrease from the 3,713 closed sales recorded in July. 

Pending sales saw similar metric shifts to closed sales in August with 3,016 new pending transactions. The figure is a 3.9% decrease from the 3,139 pending sales of one year ago, and a 10.5% dip from the 3,368 pending transactions of the prior month. 

Median sales price came to $267,000 in August, a 6.8% increase over the $250,000 median sales price of one year ago, and a 4.5% decrease from the $279,500 median sales price of July. 

Days on market came to 19, an increase of just one day over last year, and a three day increase over July.  

“Growing inventory is an important part of the story as we head into the fall market,” said Les Sulgrove, Iowa REALTORS® statewide housing analyst. “We’re seeing more homes available than we did a year ago, while median prices remain higher statewide. The pace of activity has cooled from the summer months, but that’s consistent with the seasonal shift and gives us a solid foundation heading into the final months of the year.”

Condo & Townhomes 

The condo and townhouse market mimicked the single-family market at mid-year. 

The condo and townhouse market saw 574 new listings in August, a 2.1% increase from the 562 new listings of one year ago. Conversely, a slower late summer slowed new listings, dipping 20.1% from July’s 718 new listings. 

Active inventory saw more measured changes. The 1,923 active listings represent a 7.5% increase year-over-year compared to the 1,789 active listings of August 2025. The monthly slip was more subtle, dropping 2.2% from the 1,967 active listings of one month prior. 

Closed sales remained stable in August with 472 transactions, a 0.4% decrease from the 474 closed sales of one year ago. Month-over-month sales decreased 19.9% from the 589 closed sales of July. 

Pending sales previewed a steady start to the fall housing market, the 436 new pending transactions represent a 0.2% decrease from the 437 pending transactions of one year ago. Compared to July, pending sales dipped 12.4% from the 498 pending transactions recorded that month. 

Median days on market came 23 days, a slight dip from the 26 days recorded in August 2025, and a one day increase from the prior month. Median sales price came to $246,500 in August, a 3.1% increase from the $238,834 of one year ago, and a 0.5% increase from last month’s $245,000 median sales price.