Like much of the rest of the Midwest, many people consider Iowa a flyover state. But don't be so quick to ignore this part of the country. There are plenty of opportunities in both the job market and the real estate market.
Des Moines, the capital of Iowa, in particular, has seen plenty of growth in both of these areas in recent years. This makes it a great place for both first-time homebuyers and real estate investors.
Keep reading to learn more about how the Des Moines real estate market has grown and evolved.
Changes in the Des Moines Real Estate Market
Since the beginning of the 2010s, the Des Moines market has grown and evolved. At the time, the economy was still recovering from the Great Recession, which made buyers wary of making such a huge investment. Still, there were plenty of opportunities, making Des Moines a hotspot for investors.
Over the next few years, development in both downtown and the suburbs caused a real estate boom. People began flocking to the area due to the low cost of housing in Des Moines and the high quality of life. Property values began to climb as homes were flying off the market.
In 2020, Des Moines experienced many of the same challenges caused by the pandemic as the national real estate market. Remote work and a desire for more space caused a surge in sales, often leading to bidding wars and higher prices.
The Market Today
Like much of the rest of the United States, housing inventory in Des Moines is low. Des Moines is currently in a seller's market, but it's trending toward a neutral, more balanced market.
In January 2024, a majority of homes in Des Moines sold under the asking price. A majority of homes also sold in less than 30 days. So, you may be able to get a good deal on a new home right now, but to do so you'll have to act quickly.
Reasons for Optimism
High interest rates have caused home sales to drop over the past few years. However, experts predict that rates will begin to go down at some point this year, which should help home sales rebound.
The good news is that Des Moines is still a more affordable area than much of the rest of the country. Because of this, now is a great time to be a real estate investor in Des Moines, especially if you plan to flip your investment. You can find a property at a reasonable price and by the time you're ready to sell, lower interest rates might give you a bigger pool of interested buyers.
Invest in Property in Des Moines Today
The real estate market in Des Moines has gone through many changes over the past decade, but one thing remains the same-affordability. As long as housing in Des Moines stays affordable, it will be a great place to invest in property.
Whether you plan to flip a house or invest in rental properties, PMI Central Iowa is here to help. We can find you the perfect investment property and manage it for you once you've made the purchase.
Get in touch today to discuss your investment goals.
