The ebb and flow of real estate markets in the Midwest since the onset of the pandemic has been a rollercoaster ride, with inventory levels, pending home sales, and median prices all experiencing significant fluctuations. Let’s take a closer look at how these key indicators have evolved over time.
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Inventory Shifts
Inventory in Midwest markets took a hit with the onset of the pandemic, leading to a significant decrease in available homes. However, starting in 2022, there was a noticeable uptick in inventory levels. Indianapolis, in particular, saw a remarkable surge in inventory, reaching a peak year-over-year growth of 91.3% in March 2023. Other Midwest metros like Detroit, Cleveland, Madison, and Milwaukee also experienced strong growth in inventory during the same period. -
Pending Home Sales
New pending home sales faced a significant downturn at the start of 2023, with most cities experiencing a decline of approximately 25%. Minneapolis stood out as an outlier with a staggering year-over-year drop of 71.1% in January 2023. However, as the year progressed, sales declines started to ease, with year-over-year gains being observed in 2024. Milwaukee, in particular, saw a substantial 50.7% annual rise. - Median Price Trends
Median prices in the Midwest have shown a consistent upward trend since the pandemic began. Cleveland and Detroit witnessed the largest annual price increases, with Cleveland at 15% and Detroit at 13.9%. However, some cities like Madison, Cincinnati, and Indianapolis saw a slight decline in median prices year over year, showcasing some variability in the market.
In conclusion, the real estate landscape in the Midwest has been a blend of highs and lows since the COVID-19 outbreak, with inventory, pending sales, and median prices all experiencing fluctuation. Agents operating in these markets need to stay informed about these trends to navigate the evolving real estate landscape effectively.
