December Market Update for Northeast Ohio!

Cleveland Real Estate Market Update: December 2024

As the winter chill settles over Cleveland, so does the seasonal dip in the real estate market. Prices have fallen for four consecutive months since June 2024, but what does that mean for Cleveland’s housing market? Let’s break it all down.

Hi, I’m Mike Ferrante with Century 21 HomeStar and the 21 Mike Team. Whether you’re a homeowner, investor, or simply curious about Northeast Ohio’s real estate trends, this update is for you. We’ll analyze active listings, sales numbers, pricing, and market trends to help you navigate the current landscape.

Cleveland Real Estate by the Numbers

Inventory: Still Tight

Let’s start with active residential listings. As of November 2024, there were 2,489 active listings in Cuyahoga County, down from 2,532 in October. This decline aligns with typical seasonal trends, as fewer homes are listed during the winter months.

To put this in perspective:

November 2023: Only 2,212 active listings—a slight improvement year-over-year.
November 2019: 4,121 active listings—we’re still operating at less than half the inventory needed for a balanced market.

Tight inventory continues to define Cleveland’s real estate market. Despite the slowdown, demand remains high relative to supply.

Sales: Declining Activity

The number of sales continues to fall:

November 2024: 1,073 sales
October 2024: 1,155 sales
November 2023: 1,191 sales
November 2019: 1,262 sales

That’s a nearly 20% drop in sales over the past five years, reflective of both rising interest rates and limited inventory. For real estate agents, this means fewer transactions overall, but for buyers and sellers, it signals a highly competitive market.

Pricing and Market Trends

Median Days on Market

While sales are down, homes are still moving quickly:

November 2024: Median days to sell was 22 days, slightly longer than October’s 20 days but consistent with recent Novembers.
November 2019: Median days to sell was 48 days—more than double the current market time.

Back in 2019, listing agreements of six to 12 months were common. Today, buyers snap up properties in weeks, underscoring the strength of Cleveland’s seller-friendly market.

Median Sale Price

Pricing remains resilient despite seasonal slowdowns:

November 2024: Median sale price held steady at $205,000, the same as October.
November 2023: Median sale price was $195,000—a year-over-year increase of about 5%.
November 2019: Median sale price was just over $136,000—a stunning 50% gain in five years.

Even as other metrics fluctuate, Cleveland’s home prices demonstrate long-term stability and appreciation.

What Does This Mean for Cleveland’s Real Estate Market?

While it’s true that prices have dipped since June 2024, this trend is entirely normal for Cleveland’s winter market. The seasonal slowdown brings:

Fewer listings
Fewer transactions
Slightly longer market times

The Big Picture: No Crash in Sight

Despite fewer sales and price dips, the Cleveland real estate market remains robust:

Equity Cushion: Many homeowners have significant equity in their homes, which shields the market from dramatic price drops.
Strong Demand: Market time remains short, signaling sustained demand even during the slow season.
Stable Prices: Cleveland’s steady price appreciation over the past five years reflects its enduring value.

Looking Ahead to 2025

Here’s what to watch for in the months ahead:

Seasonal Trends Continue: Expect prices to remain soft through January and February, with activity picking up in March as the spring market approaches.
Interest Rates: A drop in interest rates could ignite a surge in demand, creating opportunities for buyers and sellers alike.
Inventory: While inventory remains a challenge, any increase in listings would help balance the market.

How Can We Help?

The 21 Mike Team is your one-stop shop for buying and selling real estate in Cleveland and throughout Ohio. Whether you’re planning to sell, buy, or invest, we’re here to guide you through every step of the process.

Let’s make 2025 your best year in real estate yet!

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