Real Estate Steady in April Despite Pandemic
May 11, 2020
The Des Moines Area Association of REALTORS® (DMAAR) reports April sales were slightly up from April of last year with 1,169 sold properties compared to 1,152 solds in April 2019.
The average number of days on market decreased by 10 percent, with 61 days for April 2020 compared to 68 days in April 2019.
April’s median sale price came in 5.9 percent higher at $215,000 while the median sale price in April 2019 was $203,000.
The number of properties declined by 4.4 percent from last April with 3,333 homes on the market.
“April was a solid month considering the major impact of the pandemic. Real estate was allowed by the Governor and the state of Iowa to operate during April under social distancing guidelines. Real estate is a very important part of the Iowa economy and accounted for $28.3 billion in the gross state product in 2019. A new home sale in Iowa impacts the Iowa economy by an estimated $57,889. We are proud of the way Realtors have quickly adapted their business practices to keep their clients and members of the public safe using the guidelines and recommendations of the set forth by the CDC and the Iowa Department of Public Health,” stated Lance Hanson, DMAAR President.
Realtors are still advising buyers and sellers on their options. Realtors are utilizing virtual tours and virtual open houses. These virtual open houses are similar to walk-through video presentations with text or narration for interested buyers, as many sellers are choosing to stop holding traditional open houses and are limiting showings of their home.
“With all of that said, there is still a lot of activity in Iowa. Builders are still building homes and townhomes. Some sellers need to move for a variety of reasons and buyers are taking advantage of the low interest rates. As Iowa slowly opens back up, we hope life for everyone starts to reset to a new normal. The safety of agents and their clients remains the priority with agents using a number of systems to provide a safe environment. Electronic document management, virtual meetings and showings, sanitizing of homes and wearing protective gear are just a few of the norms in place,” added Hanson.
819 properties or 70 percent of sold properties were financed conventionally. Cash purchases amounted to over 9 percent of the sold properties. Over 11 percent of sold homes were financed with an FHA Loan.
Additional Statistics and information about the Des Moines area housing market are available at the DMAAR website, www.dmaar.com.
The Des Moines Area Association of REALTORS® is a professional association that represents more than 2,400 REALTOR® members. The mission of DMAAR is to be the voice of real estate in the Des Moines area. The term REALTOR® is a registered trademark, which identifies real estate professionals who adhere to a strict code of ethics as members of the National Association of REALTORS®.
Sources: National Association of REALTORS®, National Association of Home Builders, U.S. Census, Macroeconomic Advisors, Iowa Association of REALTORS®, Des Moines Area Association of REALTORS®