Corridor, Iowa home prices, sales increase in May

The housing market in the Corridor and Iowa continued its steady recovery as home prices and sales rose in May.

Cedar Rapids home sales were up about 24 percent in May over last year. The Cedar Rapids Area Association of Realtors reports that 523 homes were sold last month with an average sale price of $184,233 compared with 421 sold with an average sale price of $159,017 in May 2012.

Similar trends were seen in the Iowa City-Coralville area, according to the Iowa City Area Association of Realtors. A total of  672 homes were sold last month with an average sale price of $236,081, compared with 625 sold in May 2012 with an average sale price of $206,867.

Across the state, home sales also continued to climb. Sales rose 10.4 percent - with about 369 more homes sold in May than in the same months a year ago, according to the Iowa Association of Realtors.

The average sale price rose 6.9 percent to $161,962 last month from $151,531 recorded in May 2012. Iowa's statewide inventory of homes on the market was down 11.2 percent from the same month last year.

“The combination of the substantial jump in sales, increased prices and pending sales, and the slight upward tick in inventory from last month gives us reason to believe the market should stay busy for the next few months," said Don Marple, president of the Iowa Association of Realtors, in a news release. "We anticipate steady market movement throughout the summer.”