The Akron housing market is a relatively affordable market with a median home price of $120,214 in September 2023. Home prices have increased by 6.7% from the previous year, but the market is still considered to be buyer-friendly.
Akron Housing Market Trends in 2023
There are a few key trends that are driving the Akron housing market in 2023:
- Low inventory: There is a limited supply of homes on the market in Akron, which is driving up prices.
- High demand: Demand for homes in Akron is high, due to factors such as the city’s growing economy and its affordability.
- Rising interest rates: Interest rates are rising, which is making it more expensive to borrow money to buy a home.
Overall, the Akron housing market is expected to remain competitive in 2023. Buyers should be prepared to act quickly and be willing to negotiate on price.
Low Inventory in Akron
One of the significant factors impacting the Akron housing market in 2023 is the low inventory. According to Redfin, there were 1,510 homes for sale in Akron in September 2023, down from 1,835 homes in September 2022.
High Demand in Akron
The high demand for homes in Akron is driven by several factors. Akron is home to a number of Fortune 500 companies, including FirstEnergy, Goodyear Tire & Rubber, and PPG Industries. The city also has a relatively low cost of living, which makes it attractive to buyers from other parts of the country.
Rising Interest Rates
The rising interest rates are a noteworthy trend in the Akron housing market. The Federal Reserve has raised interest rates several times in 2023 in an effort to combat inflation. This has led to higher mortgage rates, which is making it more difficult for some buyers to afford a home.
Tips for Buyers in the Akron Housing Market
- Get pre-approved for a mortgage before you start shopping for a home. This will give you an idea of how much you can afford to borrow and make you a more competitive buyer.
- Work with a real estate agent who is familiar with the Akron housing market. A good agent can help you find homes that meet your needs and budget, and they can negotiate on your behalf.
- Be prepared to act quickly. Homes in Akron are selling fast, so you need to be ready to put in an offer as soon as you find a home you like.
Akron Housing Market Predictions
Zillow, a trusted source for real estate data and predictions, offers valuable insights into the Akron housing market as of September 30, 2023. These predictions are essential for those interested in the Akron real estate market, whether as buyers, sellers, or investors. Here are the key statistics and predictions provided by Zillow:
Average Home Value
The average home value in Akron is $115,161, which represents a 4.0% increase over the past year. This growth in home value indicates a strengthening market and may be of interest to potential sellers and investors.
Speed of Home Sales
One remarkable aspect of the Akron housing market is the speed at which homes are going pending. On average, homes in Akron are going pending in around 7 days. This rapid pace suggests high demand and a competitive market, making it important for buyers to act swiftly.
Median Sale to List Ratio
As of August 31, 2023, the median sale to list ratio is 1.007. This figure indicates that homes in Akron are generally selling very close to their list prices, demonstrating a strong seller’s market.
Sales Over List Price
As of August 31, 2023, 51.8% of home sales in Akron are happening over the list price. This highlights the competitive nature of the market and the willingness of buyers to pay a premium for homes in the area.
Sales Under List Price
Conversely, 35.1% of home sales in Akron are occurring under the list price as of August 31, 2023. This indicates that while many homes sell above the list price, there are still opportunities for buyers to find deals below the asking price.
Median Days to Pending
As of September 30, 2023, the median number of days it takes for a home in Akron to go pending is 7 days. This rapid pace underscores the highly competitive nature of the Akron housing market.
Akron MSA Housing Market Predictions
For those interested in the broader Akron Metropolitan Statistical Area (MSA) housing market, Zillow provides the following predictions:
The Akron MSA Housing Market Predictions indicate that from September 30, 2023, to October 31, 2023, there is a predicted increase of 0.4%. By December 31, 2023, this increase is expected to grow to 0.6%, and by September 30, 2024, a further increase of 1.4% is predicted. These figures suggest moderate growth in the housing market over the specified time frames.
Is Akron an Expensive Place to Live?
While Akron has seen an increase in home values, it remains a relatively affordable place to live compared to many other cities in the United States. The average home value of $115,161 as of September 30, 2023, reflects affordability in the housing market. However, it’s essential to consider other factors, such as the cost of living, when determining the overall affordability of living in Akron.
Keep in mind that the affordability of living in Akron can vary depending on individual circumstances, including housing preferences and personal financial situations.
Investing in the Akron Real Estate Market: Factors to Consider
Investing in the real estate market is a significant decision that requires a thorough analysis of various factors. When it comes to the Akron real estate market, several data and statistics play a crucial role in understanding its investment potential. Let’s examine these factors and their potential impact on the Akron real estate market:
1. Population Growth Trends
The population growth trends in Akron are a key consideration for real estate investors. As of the latest available data, understanding whether the population is growing, stable, or declining is crucial. Population growth can drive demand for housing, impacting property values and rental income.
In Akron, it’s important to note that population trends have been relatively stable in recent years. While not experiencing explosive growth, a stable population can provide a reliable and steady demand for housing, making it a suitable choice for long-term real estate investors.
2. Local Economy
The local economy plays a vital role in the health of the real estate market. A strong and diverse economy often attracts businesses and residents, positively affecting the housing market. In Akron, there are several noteworthy factors to consider:
- Employment Opportunities: Akron’s economy benefits from the presence of major companies, including FirstEnergy, Goodyear Tire & Rubber, and PPG Industries. The stability of these companies can provide a reliable source of jobs for residents.
- Diversification: A diverse economy with a mix of industries can enhance the resilience of the real estate market. Akron’s economic diversification includes manufacturing, healthcare, and education sectors.
These economic factors suggest that Akron’s economy can have a positive impact on the real estate market, as it attracts both homeowners and renters due to job opportunities and stability.
3. Jobs and Employment
The availability of jobs and employment rates in Akron directly affect the housing market. Investors should consider the following job-related factors:
- Unemployment Rate: A low unemployment rate typically indicates a healthy job market and can stimulate housing demand.
- Job Diversity: A mix of job sectors can create a diverse tenant pool, reducing the risk associated with economic downturns in specific industries.
Overall, Akron’s job market has remained relatively stable, with a mix of employment opportunities across multiple sectors, further supporting the real estate market’s health.
4. Rental Market
For investors interested in rental properties, the rental market’s condition is a critical factor. Data and statistics related to the rental market include:
- Rental Demand: Analyzing rental demand in Akron is essential. Factors such as a growing job market and a stable population can increase the demand for rental properties.
- Rental Rates: Understanding rental rates and their trends can help investors determine potential rental income. Akron’s rental rates should be compared to property acquisition costs for profitability assessments.
Additionally, it’s worth considering local regulations and landlord-tenant laws that may impact the rental market in Akron. Staying informed about these regulations is crucial for property management.
5. Property Taxes and Investment Incentives
Property taxes can significantly impact the return on investment for real estate properties. Investigate Akron’s property tax rates and any potential incentives or tax breaks for real estate investors. Lower property taxes or investment incentives can improve your investment’s overall profitability.
6. Infrastructure and Development
Investment in infrastructure and development projects, such as transportation, schools, and public amenities, can influence property values. Areas with planned improvements may experience increased demand and appreciation in property values.
7. Market Sentiment
Local market sentiment and investor confidence can impact real estate prices. Monitoring the perception of Akron’s real estate market among professionals and the community can provide insight into future trends.
Investing in the Akron real estate market can be a favorable option, especially for those looking for stable and potentially profitable opportunities. The city’s stable population, diverse economy, and job opportunities make it an attractive choice. However, as with any real estate investment, thorough research, due diligence, and consideration of all the factors mentioned above are essential to make informed and successful investment decisions.
References:
- https://www.zillow.com/akron-oh/home-values
- https://www.redfin.com/city/244/OH/Akron/housing-market
- https://www.realtor.com/realestateandhomes-search/Akron_OH/overview