Montgomery Ohio Real Estate Update: Home prices up!

Submitted for a Cincy Magazine Article

The Montgomery Housing Report 2013: By Derek Tye, Realtor with The Tye Group, RE/MAX United Associates

see additional information at www.HomesOfMontgomery.com

Montgomery, Ohio has been a premier residential community with housing prices exceeding both the national and the Greater Cincinnati averages for many years.  This year the Ohio housing market has seen a huge increase in average sale prices.  Montgomery has also seen its fair share of that price trend but continues to double the Hamilton County sale price average.  Why would a home buyer spend twice the price to live in Montgomery?  Let’s look at the reasons.

As an overall trend home buyers today are looking at maximizing value by looking for  the best location (proximity to work, shopping, and parks), the highest quality schools, and a home large enough to fit their needs.  Fortunately for Montgomery, home buyers can find all three qualities here. 

Location: Most neighborhoods in Montgomery are in walking distance to a park and have a sidewalk close by that leads to historic downtown Montgomery or one of the other shopping or dining areas.  Also, there are six parks, a nature preserve and a community pool.  During the summer there is a parade, Bastille Day, movie nights at the pool, a weekly farmers’ market and many city sponsored events at the parks.

High quality schools: The Sycamore Community School District continues to earn the the highest rating from the Ohio Department of Education year after year, Excellence with Distinction.  In addition to excellent public schools there are several private schools in and around Montgomery that are highly regarded for their quality and reputation.

Home and yard size: Most homes in Montgomery are three to four bedrooms with two car garages and full basements with generous yards and mature shade trees. Although homes cost more per square foot here than those found in some other areas, Montgomery buyers quote “LOCATION” and “SCHOOLS” as the top reasons to move here. 

*statistics taken from the Multiple Listing Service of Greater Cincinnati, single family home sales in Hamilton County and Montgomery.

In the last 12 months the average sale price for single family homes sold in Montgomery has increased about 13% to $378,449.  This compares to homes sold in Hamilton County averaging $177,379.  Hamilton County as a whole benefited from a positive real estate market for sellers and increased in average sale price 11.5% from $159,025 a year ago.  The average days on market for homes sold in Montgomery was about the same as those sold in Hamilton county at large at around 90 days.  This compares to a longer average last year of about 120 days.  So it took about a month less on average to sell a home and sale prices were up.  Not a bad year to be a seller!

As home shoppers look for single family homes in Montgomery many shoppers find that since the average sale price is higher in comparison to other communities in the area they have to compromise somewhat on size and amenities.  That is where some local home builders and remodeling companies have stepped in to give customers what they really want;  a great location with the latest features.

We are still seeing many homes purchased in Montgomery that have been lived in by the same family for 30 years. In some cases these homes have not been updated to the latest kitchens, baths and finished basements.  Many homes sold in Montgomery are over 30 years old and do not appeal to the wants of the younger home buyers looking for open layouts, larger ceilings and modern kitchens.  

Since most Montgomery buyers purchase with location in mind as a priority over updates these homes usually are purchased first and then the new homeowners have the houses remodeled or torn down and a new home built in its place.  This tear down trend saw an increase in the last year.  In 2012, 14 homes were torn down according to the City of Montgomery’s 2012 Housing Report.  There have been 135 tear downs between 2001 through 2012.  These homes are usually smaller and older than the average in Montgomery and tend to be close to the downtown area.  According to the local builders this trend will continue as long as there are homeowners willing to sell their homes at reasonable prices.

In summary, the housing market is strong here and will continue to be strong as long as home buyers understand the outstanding value in this community.