Are Columbus Home Prices Near the Bottom?

After witnessing declines in Ohio home prices in recent years, it’s no surprise that first-time home buyers in Columbus are very cautious about entering the market. While we’ve had good economic news and we’ve seen the start of housing recovery, many home buyers want assurance that the worst is behind us.

We’ll be the first to tell you that there is no crystal ball for Columbus home prices. And by the time the media reports that housing prices have hit bottom, home prices will already be higher! To help clarify things, we’re going to share market information that will be helpful to you.

Columbus Board of REALTORS® Reports Fewer Foreclosures, Faster Market Activity

According to the Columbus Board of REALTORS®, the number of distressed properties on the market. including foreclosures and short sales, declined by 37.5% in the past year. Distressed property activity is down by 50% since 2010.

Columbus homes are also spending fewer days on market. In the fourth quarter of 2012, homes for sale averaged 83 days on market. During the same period a year ago, homes averaged 101 days on market.

Meanwhile, home prices in 2012 rose above 2011 levels. The year-over-year gains are being driven by shrinking housing supply, increased buyer demand and fewer foreclosures.

Central Ohio Foreclosure Prices Inching Higher

RealtyTrac reports that Central Ohio foreclosure sale prices increased by 7% during the third quarter of 2012. Throughout Ohio, foreclosure sale prices have increased by about 4%.

Overall, Ohio home sales activity was up by 13% during 2012, with sale prices rising as foreclosure inventory declined.

However, industry analysts expect that more foreclosures could hit the market in the first and second quarter of 2013, as banks release long-held foreclosure inventory. Depending on the absorption rate and volume, this could influence home values in the upcoming months.

Get Professional Guidance for Columbus Home Buying

All real estate is hyper-local. Some areas of Columbus have more foreclosures in the pipeline than others, so there will be variety in home values neighborhood by neighborhood. Looking at the big picture, Columbus is adding jobs and returning to a stronger economy. In turn, this will help prevent new mortgage defaults, which mean fewer foreclosures and healthier home prices.

Let us help you with your home ownership goals! As your Exclusive Buyer’s Brokerage, we focus on helping Columbus home buyers! We will provide you with the latest home sales data and the expert guidance you need for home buying success. Please download our free e-book for immediate access to home buying tips and strategies!

Contact us for help with all of your home buying questions!

Andrew Show
Broker, CEBA, CEBA-M, CNE, CSP, ABR-M, e-PRO, GREEN
Buyer’s Resource Realty Services
Serving Metro Columbus, Ohio with Exclusive Buyer’s Agents
7100 North High Street, Suite 204, Worthington, Ohio 43085
614-888-4110 | 888-888-4110 Toll Free | 614-839-4110 Fax