Cincinnati Housing Market 2022: Prices, Trends & Forecast
The Cincinnati housing market was once overheated, with people grabbing up houses as a real estate boom slammed the nation. Now, that boom appears to be over in at least half of the country, including Cincinnati. However, it’s not quite a buyer’s market, or even a neutral market, just yet. We’ll review Cincinnati prices, trends, and a forecast to help you make the best financial decision possible.
Cincinnati Housing Market Prices
Cincinnati housing prices are going up in most categories.
Single-family homes saw an increase of about 4.5% year over year. According to Redfin, they now have a median price of approximately $230,000.
That’s not the only housing category that saw a price increase. Single-family homes also saw a price hike. The median price for single-family homes is now about $235,000. That’s almost a 6% increase year over year.
Townhouses saw a slightly larger price increase of a little over 9%. The median price of a townhouse on the Cincinnati housing market is now $232,500.
The housing category of condos and co-ops is the only category to see a price decrease in the Cincinnati housing market. They are selling for a median price of $180,000, for a decrease of 15.3% year over year.
Cincinnati Housing Market Trends
Overall, home sales are down in Cincinnati. According to Redfin, only about 650 houses were sold. That’s a decrease of almost 20% year over year. Homes in all housing categories spend 44 medium days on the market, which is a decrease of 2 days year over year.
The majority of homes sold fell into the single-family homes category. Almost 550 homes sold were single-family homes, but that is a decrease in sales year over year. Overall, this category decreased by approximately 16% year over year. Single-family homes spend about 44 days on the market, almost the same time they spent last year.
While townhouses saw a larger price increase, they also saw a significant drop in demand. Approximately 12 of the houses sold on the Cincinnati housing market fell into this category, which is down about 60% year over year. However, townhouses are selling a little bit faster. They spend an average of 40 days on the market, which is a decrease of 9 days year over year.
Condos and co-ops also saw a decrease in sales year over year. About 59 homes sold on the Cincinnati housing market fell into this category. That’s a decrease in sales of approximately 25% year over year. Housing in this category spends an average of 40 days on the market, which decreased by 10 days year over year.
Although fewer homes are selling year over year, the ones that are being sold are selling faster. This is because of drastically rising interest rates. Interested buyers are trying to hurry up and lock in interest rates before they climb higher, according to this article.
Overall, the Cincinnati housing market is considered somewhat competitive. Some homes receive more than one offer, but plenty do not. On average, a little over 20% of homes on the market saw a price drop before selling.
The Cincinnati housing market has seen negative growth year over year. This is partially due to the lack of incoming migration in the area. Less than 1% of people searching for houses on the market searched in the Cincinnati area. The main people that do search for houses in Cincinnati are those that want to leave Detroit. However, almost 30% of people in Cincinnati searching for houses for sale are looking to leave Cincinnati.
Cincinnati Housing Market Forecast
According to Rocket Homes, the Cincinnati housing market is currently a seller’s market, and it’s set to remain that way. Although many houses are selling under list price, the housing inventory has yet to catch up to the overheated market that came with the pandemic.
However, the housing supply will slowly catch up if current trends continue. This is due to the low migration into the city and the rising interest rates. Many stay out of the market to ensure they don’t get high-interest rates. Instead, they are choosing to rent. This housing trend is set to continue, and the housing market will see its impact.
Many homeowners that want to sell their homes will find that they are stuck with them unless they lower the price, hence why we are seeing so many price decreases. This trend will continue as the rest of the year goes on, leading into next year.
Sellers still have a little power at the negotiation table, but buyers do as well due to fewer homes sold. Homeowners who want to make money from their investments need to sell fast. Finding a cash buyer is the perfect way to sell your home fast. Check out this page to find cash buyers in Cincinnati.
Investors are better off waiting to purchase investment properties on the Cincinnati housing market. As the market turns downwards, housing prices will eventually decrease, guaranteeing a more significant return on investment.
Investors already owning property in the Cincinnati housing market must either sell fast or adopt a buy-and-hold strategy to see long-term gains. Now is not a good time in the market for short-term investors. Need to sell your property? We buy houses in the Cincinnati area.
Buyers are encouraged to negotiate. As fewer people buy homes, buyers have more purchase power than they realize. However, it’s important to note that now is not a great time to buy a house unless you have to. Instead, it’s best to wait until interest rates cool off to ensure you get the best deal possible.
The Cincinnati housing market is no longer the overheated market that it once was. Typically, buyers would enjoy being able to buy houses in a market that’s cooling off, but drastic rate hikes and inflation have complicated that situation. Many people find that they don’t have the money to buy a house, slowly turning the Cincinnati housing market into a buyer’s market.