September Market Brought Prolonged Summer Activity

Unseasonably warm temperatures weren’t the only elements of fall to mimic the summer months: the September housing market saw upticks in several metrics tracked by Iowa REALTORS®, showing that homebuyers and sellers aren’t ready to call timeout on the market, just yet. 

“As autumn brings a surge in listings, Iowa's housing market shows that buyers and sellers alike are embracing opportunities, proving that the season for real estate is far from over,” said Shaner Magalhães, IAR president. “Consumers would be wise to seize this moment to engage with your REALTOR® to explore the possibilities.”

The number of homes on the market in Iowa continued to grow in September, providing ample options for buyers looking to find a new place to call home. September saw 3,873 new listings joined the market; a 13.5% jump from the 3,412 homes added last year at the same time. The opposite was true month-over-month, which saw a 5% decrease from the 4,088 new homes that joined the market in August. 

Overall inventory also saw a significant increase of 22.4% with 8,636 homes on the market in September, an increase over the 7,053 in September 2023. The increase was smaller month-over-month, coming in at a 4.8% increase from the 8,240 homes on the market last month. 

Sales saw the largest dip in metrics tracked by Iowa REALTORS® with 2,668 homes sold, a 9.2% decrease from the 2,939 homes sold last year.  The drop was more pronounced month-over-month  representing a 15% decrease from the 3,169 homes sold in August. 

Pending sales reversed course from the last several months, showing a jump of 4.5% with 2,660 pending sales recorded in September, compared to the 2,545 of one year ago. The figure did drop 6.4% month-over-month from the 2,841 pending sales of August. 

Days on the market increased 14.7% to 39 days compared to the 34 days of last year. Median sales price also increased by 4.5% to $230,000 from the $220,000 of a year ago. 

“In September, the national average for 30-year fixed mortgage interest rates declined from 6.35% to 6.08%, continuing a downward trend that commenced in August. This decrease was favorably received by many prospective homebuyers, resulting in a heightened number of accepted offers. Consequently, the gap between sales figures from last year and this year is narrowing,” said Les Sulgrove, Iowa REALTORS® statewide housing analyst.

Townhouses and Condos

The townhouse and condo market was a near mirror image of the single-family market in September. 

Overall inventory continued to climb, jumping 17.1% to 1,553 homes on the market compared to the 1,326 of September 2023. An increase was also recorded monthly, a 2.4% increase from the 1,516 homes listed in August. Monthly, inventory saw a spike of 12.8% with 546 townhomes and condos added to the market compared to the 484 of last year. Monthly, the figure dropped just slightly from 554. 

Closed sales saw a more pronounced decrease than the single-family market. The 347 homes sold in September were a 19.5% decrease compared to the 431 sold a year ago. The figure is 100 homes less than those sold the previous month, a 22% drop from the 447 homes sold in August. 

Pending sales rebounded by 5.9% in September with 374 home sales pending, compared to the 353 of one year ago. The opposite was true month-over-month, which saw a 5.9% decrease from the 395 homes pending last month. 

Days on the market increased markedly in September at 31.6% from 57 days to 75 days. The median sales price increased 0.8% last month from $246,990 in September 2023 to $245,000. 

The information used to create the IAR September Housing Trends Report was current as of October 17. The information is subject to change due to the dynamic nature of the IAR’s housing statistics system, which is based on data from the local participating MLS (multiple listing service) systems. 

The term REALTOR® is a registered trademark, which identifies real estate professionals who follow a strict Code of Ethics as members of the National Association of REALTORS®.

The Iowa Association of REALTORS® is the state’s largest real estate professional organization representing over 8,200 members and affiliates. The IAR releases a Housing Trends Report each month.

Sources: National Association of REALTORS®, Iowa REALTORS®, Data from Multiple Listing Services in Iowa, and ShowingTime.