The Quad Cities area, comprising the cities of Davenport and Bettendorf in Iowa and Moline and Rock Island in Illinois, has seen a hot real estate market over the past couple years. Like many places across the country, the Covid-19 pandemic led to increased demand for homes as people sought out more space and relocated. This uptick in demand coincided with low mortgage rates, creating a seller’s market with bidding wars and homes selling above asking price.
As we move into 2023, the Quad Cities housing market is showing some signs of cooling down but remains fairly competitive for buyers. Home prices are still up significantly from 2020, with the median sale price in the Quad Cities area around $190,000 as of October 2023. That’s an increase of over 15% from just two years ago. While we are seeing more homes sitting on the market longer now than in 2021, well-priced homes in good condition are still attracting multiple offers in the first couple weeks.
The inventory of homes for sale has improved slightly, providing buyers with more options. But supply is still lower than historic norms for the Quad Cities real estate market. Some analysts predict that mortgage rates will continue rising in 2023 as the Federal Reserve fights inflation, which could dampen demand and slow price growth as the year goes on. But population and job growth remain strong in the Quad Cities metro area, which should continue to support a healthy housing market.
Key things for buyers to know in the Quad Cities housing market this year:
– Home prices remain high but growth is slowing. Don’t try to time the market perfectly.
– Act quickly on a home you love. Competition is easing but still fierce for best listings.
– Get pre-approved for a mortgage before making offers. Cash offers still have an advantage.
– Be prepared for homes to still sell over asking price, but with smaller gaps than last year.
For sellers, it’s still a good time to list your home for sale and take advantage of low inventory and high prices. But price expectations may need to be tempered, and it’s wise to start with a competitive, market-based asking price. Homes priced right are still selling quickly in the Quad Cities.
The Quad Cities real estate market shifted to be more balanced between buyers and sellers in 2023. But with strong local economic and job growth, it remains a solid market for both home buyers and sellers. Paying close attention to latest data and trends is key.