Iowa Home Sales, Prices Tumble

In the Iowa housing market, home sales and prices dropped considerably in September from their year-ago levels, according to statistics provided by the Iowa Association of Realtors.

Realtors recorded 3,213 property sales last month, down 5 percent from 3,390 in September 2005. There’s been stagnant demand for home mortgages in the state for over a year now.

The overall median price of a house in Iowa sank to $110,000 in September, down 14 percent from both the August and year-ago medians of $128,300.

Sales in Des Moines, meanwhile, were down 16 percent last month from the same time last year, falling from 1,045 to 882. The city’s median home price during the period held steady at $148,500.

In Cedar Rapids, home sales were off 5 percent from their year-earlier level, declining from 353 to 335, while the median home price gained 1 percent to $132,900.

Sales in the Greater Davenport area dropped 9 percent from a year ago - 205 last month compared with 224 in September 2005 - as the median home price slipped 0.8 percent to $128,600.

It’s safe to assume, at least, that as prices remain low, mortgage loan applications will rise again. Numerous buyers may have been waiting on the sidelines for such an affordable opportunity.