Will 2025 Be the Year for Buyers in Des Moines? A Local Market Forecast

by Peter Jones

Looking ahead to 2025, the Des Moines housing market is expected to continue its steady growth trajectory and increased stability. Let’s explore the key trends shaping the local real estate landscape.

Home Prices and Sales

In 2024, Des Moines experienced a 2.0% increase in median home sale prices, reaching $207,000. This upward trend is anticipated to persist into 2025, with moderate price appreciation reflecting sustained demand in the market. The Des Moines Area Association of REALTORS® reported a slight 0.4% increase in home sales in 2024, totaling 13,293 transactions, indicating a stable and active market.

Housing Inventory and Market Dynamics

The inventory of homes for sale in Des Moines has increased, providing buyers with more options. In December 2024, 978 homes were listed, a 10.9% decrease from the previous month but indicative of a generally increasing trend over the year. This inventory growth contributes to a more balanced market, offering opportunities for both buyers and sellers.

Days on Market and Buyer Competition

Homes in Des Moines are selling at a slightly slower pace compared to the previous year. In November 2024, the average time on the market was 28 days, up from 12 days in November 2023. This shift suggests a cooling from the highly competitive conditions of recent years, allowing buyers more time to make informed decisions.

Rental Market Trends

The rental market in Des Moines remains robust, with steady demand for multifamily units. Real estate investment firms have continued to show interest in the area, contributing to a dynamic rental landscape. This trend will persist into 2025, providing renters with diverse housing options.

Conclusion

The Des Moines housing market is poised for continued stability and moderate growth in 2025. With increasing inventory and steady demand, buyers and sellers can anticipate a balanced and dynamic real estate environment. Staying informed about local market trends will be essential for making strategic decisions in the coming year.