October home sales hit 10-year high in Cedar Rapids

Single-family home sales in the Cedar Rapids area climbed 8 percent last month, while sales in the Iowa City area dipped

2.9 percent from the same month last year.

The 422-single-family homes sold in Cedar Rapids was the highest number for October in at least 10 years, said Kevin Platz, association executive for the Cedar Rapids Area Association of Realtors.

Uncertainty over the renewal of the first-time homebuyer tax credit was one factor that may have led to more closings.

“I am uncertain how much this affected the final numbers but it certainly had an effect,” Platz said.

Real estate sales in the Iowa City market dipped to 168 from 173 in October 2008, according to the Iowa City Area Association of Realtors. The average number of days homes remained on the market was down from 105 to 81, however. The average selling price was up 2.6 percent, to $183,279.

Jeff Dill, president of the Iowa City association, said the Iowa City market remains solid compared to the rest of the nation.

“I think we've been pretty consistent,” Dill said, adding the new homebuyer tax credit approved by Congress should make 2010 an even better year than 2009 in the Iowa City market.

Statewide, Realtors sold 2,822 homes, up 0.2 percent from October 2008. The average price of a home decreased 4.4 percent from a year ago, to $136,560. Homes remained on the market for an average 99 days, the same as October 2008.

Iowa Association of Realtors President Carey Jensen said October sales may have been down slightly as buyers waited to see what would happen with the first-time homebuyers tax credit.