Northeast Ohio

Real Estate

March 7, 2025

Happy Friday

Hope you're doing well and had a great week!

Thank you for checking out this email. If you have any questions, please don't hesitate to reach out.

-Pat

Market Indicators

One of the best things about being in business with Keller Williams is the unmatched data available at my fingertips. Information which helps me understand the market, what's coming, what history tells us is likely to repeat itself. This allows me to be be the best possible fiduciary to all of my clients. My job is to protect the equity of homeowner's and to help buyers win in this competitive market.

With that in mind, this is some of the newest statistics released from my brokerage that will be useful to anyone who has ever owned home, renters, or anyone who is considering buying or selling in the next 9 months.

Annual Home Appreciation

Going back to 1990, the data clearly shows different economic eras across the United States. A huge spike in values began in 2020 (due to Covid) and that massive growth ended in 2022. 2023 offered a slow increase in values (.9%) which was the 6th lowest gain in the last 35 years. 4.5% gains in 2024 was healthy and in line with a more normalized market. The projected growth of 2.5% in 2025 is a modest gain. The data indicates the market in 2025 will be similar to that of the previous year.

Average Mortgage Rates

Buyers are becoming accustomed to rates in the 6%-7% range. I personally spoke with an influx of would be sellers who decided to hold off on making any moves in the last 3 3 years. Rates in the 3%-4% range were a strong enough incentive to not make any moves. As time has passed, more and more buyers expect the current rates (which are historically where they have been since 1972). The bottom line is people often buy because of life changes (marriage, promotion, relocation, downsizing, etc.) so rates are less of a deciding factor in buying or selling.

Price Reductions

A price reduction is becoming more and more prevalent in today's selling environment. It is vital for seller's to understand the market and not overprice their home. This is the biggest pitfall I see throughout the area. The good news for buyers is when a "stale" home has been sitting with no offers for an extended period, they have more leverage with price and terms. For sellers, overpricing your home simply makes your competition more attractive and invites lowball offers. It's very important to see your home through the eyes of a potential buyer and market your home accordingly.

If you have any questions about this, please let me know. Referrals are the lifeline of my business and I'd be honored to connect with anyone you know thinking about selling or buying in 2025. Thank you in advance!

-Pat

Highest Property Value Increases Cities in Northeast Ohio

Since January of 2018, there have been significant changes in home values in Greater Cleveland. As you'll see in the link, the numbers have increased dramatically. The article ranks to top 30 communities based on home sales and the numbers are very interesting.

The number one city is awarded to Hunting Valley. Here are the stats:

- 1-year price change: +$132,298 (+9.7%)

- 5-year price change: +$443,485 (+42.1%)

- Typical home value: $1,497,631

Click below for the full list of the top 30 communities:

[Top Cities NEOhio]

Pat Barmann

pat@barmannhomes.com

KWOhio.com

216.990.5719