The Central Ohio residential real estate market in December 2024 remains dynamic, shaped by several key trends:
- Inventory and Demand:
We continue to see a booming seller market. This is primarily due to a combination of two factors. It is the simple law of supply and demand. First, supply remains low as many homeowners choose to keep their homes rather than lose the low interest rates they locked into a few years ago. Second, demand continues to increase as our population grows, fueled by the expanding central Ohio job market continues to grow. - Price Trends:
Average home prices in Columbus and surrounding areas have increased approximately 6.5% year-over-year. This growth is double the historical averages, reflecting ongoing demand despite higher mortgage rates. Sellers are benefiting from elevated prices, but affordability remains a challenge for buyers navigating limited options. - Interest Rates and Affordability:
Elevated interest rates, a result of the Federal Reserve’s recent hikes, are impacting affordability, especially for first-time buyers. However, many buyers view home ownership as a more stable alternative to rising rental costs, given long-term wealth-building advantages. - Regional Insights:
While Columbus remains a strong market, other areas in Ohio exhibit varying dynamics. For example, Mansfield and Cincinnati show healthy price appreciation, whereas some regions, like Greater Portsmouth, have experienced a slight cooling in sales volume and pricing
For buyers, patience and strategic planning are essential. Partnering with an experienced local agent can provide critical insights and strategies to navigate this competitive market. For sellers, pricing strategically and understanding buyer affordability constraints are key to maximizing returns. For investors, the market shows no signs of slowing in the foreseeable future, and rents continue to grow faster than home prices.
Kyle Alfriend has been investing in real estate for over 35 years, assisting over 3,000 clients in buying, selling, or investing in real estate.
For more tips on buying, selling, or investing, or for a personal consultation, contact Kyle Alfriend, (614) 395-1776, or info@AlfriendGroup.com. Or go to our website, AlfriendGroup.com