The Iowa housing market in February 2025 presents a complex landscape with varying trends across different metrics. The Median Sales Price for homes in Iowa stands at $227,600, reflecting a modest year-over-year increase of 0.3%. This slight rise indicates a relatively stable pricing environment, despite broader economic fluctuations.

Conversely, the Median List Price has surged to $261,300, marking a significant year-over-year increase of 8.6%. This disparity between sales and list prices suggests that sellers are optimistic about the market's potential, although buyers may not be matching this enthusiasm at the same rate.

The median Price Per Square Foot has increased by 3.9% year-over-year, reaching $154. Meanwhile, the Median List Price per square foot has risen by 5.5% to $168. These figures indicate a steady appreciation in property values, albeit at a slower pace than list prices.

In terms of sales activity, 2,016 homes were sold in February, representing a 4.2% increase from the previous year. However, Pending Sales have decreased by 11.1%, totaling 2,724. This decline in Pending Sales could signal a potential slowdown in future transactions.

New Listings have also decreased by 14.1% year-over-year, with 2,729 properties entering the market. Despite this reduction, inventory levels have increased by 11.3%, reaching 7,346 homes. The Months of Supply have risen by 20% to 3.6 months, indicating a more balanced market compared to the previous year.

The Median Days on Market have increased by 9% to 64 days, suggesting that homes are taking longer to sell. The average sale to list ratio has slightly decreased by 0.2%, now at 96.9%, while the sold above list ratio has dropped by 3.1% to 16.4%. These metrics imply that buyers are negotiating more aggressively, and fewer homes are selling above the asking price.

Price Drops have become more common, with a 3.9% increase year-over-year, affecting 23.8% of listings. Additionally, the percentage of homes going off the market within two weeks has decreased by 4.5%, now at 35.2%. These trends suggest that sellers may need to adjust their expectations and pricing strategies to align with current market conditions.