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2022: What to Expect in the Ohio Real Estate Market
December 13, 2021

2022: What to Expect in the Ohio Real Estate Market

by The CE Shop Team

Are You Ready for Ohio’s 2022 Real Estate Market?

Ohio’s housing market has remained resilient over the past year, and its inventory levels and volume indicate that momentum will continue in 2022. Low mortgage rates have steadied, welcoming batches of new buyers eager to own a home in the market. Let’s dive into what real estate agents can expect from the Buckeye State as we head into 2022. 

2022 Ohio Real Estate Outlook: Hot

Ohio’s relatively low cost of living is one of the most attractive qualities the state has to offer. The median home price is $190,984, nearly $200,000 less than the national average. This low cost in tandem with low monthly mortgage rates and low cost of living make Ohio an alluring market for prospective homeowners. And we’re not the only ones who have noticed. According to Realtor.com, early forecasts expect Columbus to be the nation’s fifth hottest housing market in 2022. 

For those interested in renting, we advise taking a deep breath before digesting the following statistics: rental costs across the state increased by 13.3% this year, including a 19.1% increase in Cincinnati rental costs. However, the state’s average rent price remains low at $797 for a one-bedroom apartment and $1,036 for a two-bedroom apartment. 

While renters try not to hyperventilate over rising rent prices, homeowners are sitting comfortably. Home prices have increased over the last year, and the number of homes sold above listing price rose by 3.6 pts. year-over-year (YoY), meaning a whopping 40% of homes sold above listing price. While this figure is impressive, it’s down from its peak of 60% in June 2021. Throughout the country, homeowner equity increased 29.3% on average, and Ohio homeowners specifically gained $27,000 in equity this year. The number of homeowners who are late on their mortgage payments has also remained low; 0.9% of Buckeye mortgages were 30-89 days delinquent as of March 2021. Rounding out this crop of good news, we’re happy to report that only 2.7% Ohio homes have negative equity. 

As is the case with most states, low inventory continues to plague the housing market, which will keep driving up home prices due to homebuyer demand. The Buckeye State in particular has seen a 16.5% decrease in the number of homes for sale year-over-year.

Despite the market’s heat, the state’s population grew 2.3% from 2020 to 2021. In Columbus alone, the population grew by an astonishing 15.1%. Ohio’s population in 2021 is estimated to be 11.75 million. Surprisingly, that means it is the seventh-largest U.S. state in terms of population

Between the booming population and housing affordability, we can expect 2022 to be another strong year for Ohio real estate agents.

Zillow Home Data Ohio
Source: Zillow

2021 - 2022 Ohio Real Estate Market Data

Zillow Home Value Index

$190,984

Home Value Change YoY

+16.4%

One Year Home Values Forecast

+12.6%

Rent Price Change YoY

+13.3%

The Percentage of Homes With Negative Equity

2.7%

Mortgage Delinquency Rate

0.9%

Available Housing Inventory

15,193

Buyer’s or Seller’s Market

Seller’s

Market Insights for Ohio

Ohio's Housing Market Forecast 2022

In October 2021, the Bureau of Labor Statistics reported that Ohio’s unemployment was 5.1%, which is down from 2020’s rate of 5.6%. This decline comes as no surprise, and we expect it to continue in 2022.  After all, Ohio has one of the most robust economies in the country with 27 Fortune 500 companies calling it home. The largest employers include Wal-Mart, Amazon, ExxonMobil, Apple, CVS Health, Berkshire Hathaway, and UnitedHealth Group. 

Ohio consistently ranks as one of the best states for business, as it offers workers a plethora of benefits including a low cost of living, excellent schools, and top-notch recreational opportunities. Manufacturing and financial industries anchor the economy in Ohio, which is the largest producer in the country of plastics, rubber and fabricated metal. So, how does Ohio compare to the rest of the nation?

As remote work continues to be popular, many Americans are realizing that they have the choice to live outside of urban developments and still work for great companies. With its massive strides in home sales and home sale prices, Ohio is a real estate market in high demand as we look ahead to 2022. Buckeye agents will need to be at the top of their game to make the most of this hot market in the new year.

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