Although the cost of buying and renting has increased, interest rates have come down, making the Cleveland metropolitan area both a buyer’s and a seller’s market.
CLEVELAND – The cost of buying a home has increased almost everywhere over the past year, and Cleveland is no exception – nearly 10 percent year over year.
Akron-Cleveland Realtors’ Association’s Mark Vittardi says the average price for a single-family home in Cuyahoga County is $ 142,000, compared to the average price of $ 129,000 last year. Add to that a dubious distinction when it comes to the number of new builds in the city – Cleveland ranks last in a recent survey by ApartmentsList.com.
The Cleveland housing market has two problems: the cost of buying and renting is rising, and more homes are being needed than are being built.
“We have a lot of buyers. They are competing for stocks that are simply not there,” says Vittardi.
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One of the side effects of social distancing, working from home, and homeschooling is the footprint that has increased the demand for housing. However, due to another COVID-19 side effect – labor shortages – fewer houses have been built. Many truck drivers lost their jobs or switched careers at the height of COVID-19, leading to more wood and building materials.
Cleveland ranks last among the 100 largest metropolitan areas in the country in terms of housing growth. In addition, the record-low interest rates prompted more homebuyers – not even from the region – to apply for mortgages here.
“Part of what makes Cleveland alluring is its relatively historically low prices, but we’re seeing that change quickly. Cleveland is now a place where both locals and out-of-town shoppers are getting smaller and smaller Houses compete. ” says Rob Wornack of ApartmentsList.com.
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Although housing supply doesn’t quite meet demand, people are still buying.
Cuyahoga County Tax Records show that the number of suburban homes sold from January to May this year was over 27 percent higher than in the same months last year.
“Compared to other parts of the country, Cleveland remains a relatively affordable city,” says Warnock.
“As silly as it sounds, it’s good for both the buyer and the seller right now,” says Vittardi.
Editor’s note: The video in the player above is from a story posted on April 26, 2021.
