What will be the drivers of the Ohio real estate market in 2019? Will it be rising mortgage rates or strong demand? If you're thinking about selling, is now the time, or should you wait? Will buyers be priced out of the market? Find out what you need to know.
Housing market trends fluctuate over time. These fluctuations are based on many factors; unemployment, job growth, and the population's age. For example; a spike in births leads to increased demand for single-family, first-time homes, whereas an aging population typically wants to downsize.
It's important to keep tabs on both the local and national housing markets. Even if you're not planning on moving anytime soon, increased home values could impact your property taxes. Or, a rise in unemployment in your area could lead to lower home prices, and you could find a fabulous deal on your dream home.
2019 Real Estate Market Forecast for Ohio
According to Zillow, Ohio has a hot housing market. Home values rose 7% last year and will rise another 5% in 2019. Homes spend a little under three months on the market before selling. Growth is being seen throughout all the major metropolitan areas. Columbus prices rose 8.3% in 2018, and are expected to rise another 5.9% in 2019, Dayton home values rose 19.9% in 2018 and predicted growth is 9.4% in 2018, and Cincinnati saw gains of 10.9% with another 7.6% expected.
While it's been a seller's market in Ohio for the past few years, there are signs it's starting to balance out. There is more inventory on the market now, which is driving prices lower. Unemployment is higher than the national average, at 4.6%, and some industries are starting to show weakness. Unemployment has risen year over year in the construction, education, and hospitality industries.
Mortgage rates are expected to climb in 2019. Typically, this puts a damper on demand, but experts predict that certain market segments will remain strong. Older Millennials moving on from their first homes are predicted to make up over 45% of mortgages in 2019. It will be an excellent time to sell if your home is above the first-time homebuyer price range, but if you're a Millennial buyer, you should expect some strong competition.
When Is the Best Time to Sell a House in Ohio in 2019?
If you want to sell your home before housing prices drop, or before the market shifts away from being in your favor, you want to shoot to sell sometime around May.
On average, sellers in Cincinnati get $1,400 more for their home during the second half of May than during other months. Cleveland owners have better luck if they sell during the month's first two weeks, realizing a premium of $1,900. In Columbus, selling in the first half of June yields a $2,900 price gain over other months.
Keep in mind that, to sell during those weeks, you should have any minor repairs done before those weeks, and your home should be cleaned and stage. Plan on listing and starting showings a few weeks before you want to sell, as it can take a few weeks to get an offer, and if you have a deadline to sell always keep in mind the timeline to close on a house.
Small differences like this are why you should always consult with an experienced local realtor about the best timing for your market.
When Is the Best Time to Buy a House in Ohio in 2019?
Fall is an ideal time to buy a home in Ohio. You'll face less competition, and have a lower risk of getting into a bidding war. Many other home buyers have either already purchased or left the market and decided to wait another year.
As the weather cools down, fewer buyers want to view homes and walk around a backyard. Houses don't show as well with leaves or snow on the ground, either. This works to a buyer's advantage if you can wait until fall to buy.
Sellers in Ohio get, on average, between $600 to $3,800 less for their homes between September and November. If you're a buyer, that's great news. Any seller with a home left on the market in the fall will be more open to price negotiations and likely more motivated to sell.
If you're buying or selling, or both, first you'll want to partner with an experienced, local real estate agent for guidance and support throughout the process. Their years of experience will help you time the market for the best results.
If you're selling, they can perform a Comparative Market Analysis and price your home so that it's guaranteed to sell. If you're buying, their negotiation skills give you the best possible chance of coming away with an optimal outcome. Either way, you want an expert on your side when you enter the housing market.
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