How is the Tulsa housing market doing? In this article, we will delve into the current prices, trends, and forecasts for 2023. Tulsa, Oklahoma, is a city brimming with opportunities and a vibrant real estate scene. Whether you're a prospective buyer, seller, or simply interested in understanding the dynamics of the market, this comprehensive overview will provide valuable insights into the housing landscape of Tulsa.
Tulsa, OK's housing market is experiencing significant growth with rising median listing home prices. The seller's market conditions indicate strong demand and limited supply, making it an opportune time for sellers.
Tulsa Housing Market Trends: A Seller's Market
The following housing market trends are based on single-family, condo, and townhome properties listed for sale on Realtor.com. Land, multi-unit, and other property types are excluded. Tulsa, OK is a vibrant city with a thriving housing market. Let's dive into the latest data and insights to get a comprehensive view of what's happening in the Tulsa housing market.
Here is an overview of the housing market in Tulsa, OK based on data from August 2023.
Median Home Prices
In August 2023, the median listing home price in Tulsa, OK stood at $285,000, reflecting a significant 14.5% year-over-year increase. Additionally, the median listing home price per square foot was $145, while the median home sold price was $220,300.
Sale-to-List Price Ratio
The sale-to-list price ratio was 100% in August 2023, indicating that homes in Tulsa, OK, were typically sold for approximately the asking price on average during this month.
Market Dynamics
Tulsa, OK experienced a seller's market in August 2023, suggesting that there were more buyers than available homes. The median days on market were 35 days, signifying that homes typically sold within this timeframe. This trend in the median days on market has seen a slight increase both compared to the previous month and the previous year.
Neighborhood Insights
Tulsa comprises a total of 122 neighborhoods, each with its own unique housing dynamics. The Maple Ridge Historic District emerged as the most expensive neighborhood with a median listing home price of $985,000. On the other hand, Charles Page represented the most affordable neighborhood, boasting a median listing home price of $119,500.
These insights shed light on the housing market trends in Tulsa, OK, providing valuable information for both prospective buyers and sellers navigating this dynamic real estate landscape.
Are Home Prices Dropping?
As of the latest data available from August 2023, there is no indication of a drop in home prices in Tulsa, OK. In fact, the data shows a 14.5% year-over-year increase in the median listing home price, which suggests a positive trend in home prices in the area.
The median listing home price in Tulsa stood at $285,000, a figure that reflects the ongoing appreciation in the housing market. Additionally, the median home sold price was $220,300, further reinforcing the stability and strength of the market.
It's important to note that real estate markets can experience fluctuations over time due to various factors, including economic conditions, supply and demand dynamics, and interest rates. However, the data available for August 2023 does not show any immediate signs of a drop in home prices in Tulsa.
Tulsa Housing Market Forecast 2023-2024
Anticipating the future trends of the Tulsa housing market is crucial for both prospective buyers and sellers. Let's explore the latest data and forecasts to gain insights into the housing market's trajectory in Tulsa, Oklahoma.
Current Market Data
As of July 31, 2023, Zillow provides the following key data points for the Tulsa housing market:
- Average Home Value: The average home value in Tulsa stands at $195,024, reflecting a significant 5.2% year-over-year increase. This signals healthy growth in home values.
- Days to Pending: Homes in Tulsa typically go pending within a swift timeframe, averaging around 7 days. This indicates a market with high demand and quick property turnover.
- Median Sale to List Ratio (June 30, 2023): The median sale price compared to the list price shows a competitive market with a ratio of 1.000.
- Percent of Sales Over List Price (June 30, 2023): A significant portion of sales (36.3%) is happening above the list price, underlining robust demand.
- Percent of Sales Under List Price (June 30, 2023): Approximately 39.8% of sales are occurring under the list price, indicating opportunities for buyers.
Tulsa MSA Housing Market Forecast
Looking beyond the immediate future, let's examine the housing market forecast for the Tulsa Metropolitan Statistical Area (MSA), which encompasses the broader Tulsa region. Here's the forecast data:
- Base Date: July 31, 2023
- August 31, 2023: 0.4% growth
- October 31, 2023: 1.3% growth
- July 31, 2024: 6.8% growth
This forecast provides valuable insights into the expected growth in the Tulsa MSA housing market. While there may be short-term fluctuations, the forecast indicates overall positive growth over the specified time frames.
Are Home Prices Dropping in Tulsa?
Based on the available data and the forecast, home prices in Tulsa are not dropping. The average home value has experienced a significant 5.2% year-over-year increase, indicating a healthy upward trend. Additionally, a substantial portion of sales is happening above the list price, emphasizing strong demand in the market.
While real estate market conditions can vary, the data and forecast for Tulsa suggest that the housing market is currently experiencing growth rather than a decline in home prices.
It's important for individuals interested in buying or selling homes in Tulsa to stay informed about market trends and forecasts, as these insights can guide decision-making and help seize opportunities in the dynamic Tulsa housing market.
Factors contributing to this positive forecast may include a robust local economy, population growth, and a relatively affordable cost of living compared to other regions. However, it's essential to keep in mind that real estate markets are subject to various factors and can be influenced by national and global economic conditions, interest rates, and other unforeseen events.
Should You Invest In Tulsa Real Estate Market?
If you're considering investing in real estate, Tulsa could be a good option to explore. Here are some of the top reasons why investing in Tulsa real estate could be a wise choice, as well as potential drawbacks to keep in mind.
Top Reasons to Invest in Tulsa Real Estate:
- Strong Market Growth: Over the past year, the Tulsa housing market has shown impressive growth, with the average home value increasing by 5.2% to reach $195,024. The current median sale to list ratio indicates a strong seller's market, and the median days to pending is relatively fast, indicating a high demand for homes.
- Affordable Prices: Compared to other major cities, Tulsa offers affordable real estate prices, making it an attractive option for investors seeking high rental yield and positive cash flow.
- Diverse Economy: Tulsa's economy is diverse, with a mix of industries that includes energy, healthcare, and aerospace. This diversity helps to create a stable job market, which can lead to increased demand for housing and potential appreciation in property values.
- Favorable Rental Market: Tulsa's rental market is strong, with a high demand for rental properties and relatively low vacancy rates. This creates an opportunity for investors to generate passive income through rental properties. The massive student market in Tulsa can be a good investment opportunity due to the presence of multiple colleges and universities in the area, including the University of Tulsa, Oral Roberts University, Oklahoma State University, and Spartan School of Aeronautics. With a diverse student population, investing in real estate aimed at students can create a stable portfolio, as returns and overall property values are not tied to the popularity of just one school.
- Tax Benefits: Oklahoma offers several tax incentives for real estate investors, including low property taxes and exemptions for certain types of properties.
Potential Drawbacks to Keep in Mind:
- Weather Conditions: Tulsa is located in “Tornado Alley,” which means it is prone to severe weather conditions, including tornadoes and hail storms. This can lead to damage to properties and increased insurance costs.
- Dependent on Oil Industry: While Tulsa's economy is diverse, it is still heavily dependent on the oil industry, which can be volatile and subject to fluctuations in global oil prices.
- Limited Appreciation Potential: While Tulsa's real estate market is growing, it may not appreciate as quickly as markets in larger cities with stronger job growth and population growth.
- Limited Investment Options: While there are opportunities to invest in residential properties, the options for commercial real estate investment may be more limited in Tulsa.
Overall, investing in Tulsa real estate could be a good option for investors seeking affordable prices, strong rental demand, and a stable job market. However, investors should carefully consider the potential drawbacks and risks associated with investing in the region, including severe weather conditions and dependence on the oil industry.
Buying an investment property is different from buying an owner-occupied home. Whether you are a beginner or a seasoned pro you probably realize the most important factor that will determine your success as a Real Estate Investor in Tulsa, OK is your ability to find great real estate investments in that area.
According to real estate experts, buying in a market with increasing prices, low interest, and low availability requires a different approach than buying in a cooler market.
We strive to set the standard for our industry and inspire others by raising the bar on providing exceptional real estate investment opportunities in the U.S. growth markets. We can help you succeed by minimizing risk and maximizing profitability.
The information contained in this article was pulled from third-party sites mentioned under references. Although the information is believed to be reliable, Norada Real Estate Investments makes no representations, warranties, or guarantees, either express or implied, as to whether the information presented is accurate, reliable, or current. All information presented should be independently verified through the references given below. As a general policy, Norada Real Estate Investments makes no claims or assertions about the future housing market conditions across the US.
Sources:
- https://www.zillow.com/home-values/20859/tulsa-ok/
- https://www.redfin.com/city/35765/OK/Tulsa/housing-market
- https://www.realtor.com/realestateandhomes-search/Tulsa_OK/overview
