Iowa City, IA—52245
Real Estate Data & Market Trends
Key Metrics at a Glance
Home Price Trends — Iowa City, IA
As of Nov '25, the median home price in Iowa City, IA is $312,000, with a year-over-year change of 3.7%. This indicates that home prices in Iowa City, IA are increasing. According to Zillow, the 1-year price projection is 1.4%, suggesting an increase housing market in the next year.
Cost per Home Type
| Home Type | Median Home Value | YoY % Change |
|---|---|---|
All Homes | $312,000 | 3.7% |
| Single Family | $339,000 | 3.4% |
| Condos | $244,000 | 4.3% |
Cost per Home Size
| Home Size | Median Home Value | YoY % Change |
|---|---|---|
1 Bed | $209,000 | 3.5% |
2 Bed | $226,000 | 3.7% |
3 Bed | $295,000 | 3.9% |
4 Bed | $371,000 | 3.1% |
| 5 Bed | $483,966 | 2.9% |
% of Housing Stock
Rental Trends — Iowa City, IA
As of July '25, Rentcast reports the average rent in Iowa City, IA is $1,380, with a year-over-year rent change of 1.5%. Per bedroom, the median rent as of July '25 in Iowa City, IA is studios: $925, 1-bedrooms: $886, 2-bedrooms: $1,150, 3-bedrooms: $1,620, 4-bedrooms: $2,440. The most common rental property sizes in Iowa City, IA are 2-bedroom and 1-bedroom, accounting for 38.7% and 20.6% of the rental stock.
| Type | Median Rent | Average Rent |
|---|---|---|
| Average Rent | $1,150 | $1,380 |
| Studio Rent | $925 | $925 |
| 1 Bed Rent | $899 | $886 |
| 2 Bed Rent | $1,100 | $1,150 |
| 3 Bed Rent | $1,550 | $1,620 |
| 4 Bed Rent | $2,400 | $2,440 |
% of Rental Stock
Property Listings — Iowa City, IA
As of Nov '25, Realtor.com reports that the median days on market for a home in Iowa City, IA is 58. This is a increase of 21.0% from last year, suggesting that homes are sitting on the market longer than last year. The percentage of listed homes with a reduced price is 12.0%, representing a small inventory and little supply pressure on home prices.
| Metric | Zip Code Average | Year over Year % Change |
|---|---|---|
Median Listing Price | $325,000 | -15.0% |
Listing Count | 133 | 33.0% |
| Listings as % of Homes | 0.6% | 33.0% |
Days on Market | 58 | 21.0% |
Demographics — Iowa City, IA
As of the latest ACS Survey released in 2023, Iowa City, IA has a population of 22,800, which has decreased by -9.5% over the past 5 years. Iowa City, IA is a less popular place for families, as children make up 13.0% of the population. The area has a highly educated workforce, with 68.3% of adult residents holding a bachelor’s degree or higher. There are some residents working remotely, with 15.5% reporting working from home.
| Metric | Latest Census | YoY % Change |
|---|---|---|
Population | 22,800 | -9.5% |
% Under 18 | 13.0% | -29.3% |
% Seniors | 18.7% | 73.1% |
% WFH | 15.5% | 187.0% |
% w/ College Degree | 68.3% | 3.0% |
As of the latest ACS Survey released in 2023, Iowa City, IA is a predominantly white area, with 84.1% of the population identifying as white. The white population has shrunk by 0.5% in the last 5 years. The second most common race or ethnicity in Iowa City, IA is hispanic, making up 5.1% of the population. Foreign-born residents account for 7.8% of the population in Iowa City, IA, and this percentage has increased by 27.9% as of the ACS Survey 5 years prior, suggesting more immigrants are calling the area home.
Race and Ethnicity
| Metric | Latest Census | 5-Year % Change |
|---|---|---|
% White | 84.1% | -0.5% |
% Black | 2.7% | -22.9% |
% Hispanic | 5.1% | -1.9% |
% Asian | 4.4% | 18.9% |
% Foreign Born | 7.8% | 27.9% |
Mortgage and Risk — Iowa City, IA
According to HUD data as of 2023, there were 504 mortgage originations in Iowa City, IA, of which 97.0% of loans were conventional mortgages. The average loan-to-value was 49.0%, with 12.0% above 90% LTV (elevated). This implies medium mortgage risk in Iowa City, IA. Investor activity is low, as 2.0% of loans were by investors. 5.0% of loans were cash-out refinances, suggesting few homeowners are tapping equity.
Mortgages
| Metric | Zip Code Average |
|---|---|
Total Loan Originations | 504 |
% Conventional Loans | 97.0% |
% Government Loans | 3.0% |
% Investor Loans | 2.0% |
% Second Loans | 4.0% |
% Cash Out Refinance | 5.0% |
Rentals and Section 8 — Iowa City, IA
As of 2024, the percent of homes in Iowa City, IA under the Section 8 program is 6.9%. This is considered low, suggesting that the neighborhood is sparsely composed of Section 8 homes. Section 8 opportunity is good when HUD pays more than market rent. 1-bedroom and 2-bedroom and 3-bedroom units appear to be good home sizes to consider for Section 8 housing in Iowa City, IA, because HUD payments exceed market rent, while 4-bedroom units do not.
Section 8 Market Size
Total Units under HUD | 300 |
Total Units Section 8 | 272 |
% Rentals under Section 8 | 6.9% |
% Occupied Section 8 | 88.6% |
Section 8 Opportunity
| Home Size | HUD Premium | Market Rent | Max HUD Rent |
|---|---|---|---|
| 1 Bedroom | $141 | $899 | $1,040 |
| 2 Bedroom | $150 | $1,100 | $1,250 |
| 3 Bedroom | $200 | $1,550 | $1,750 |
| 4 Bedroom | -$300 | $2,400 | $2,100 |
Affordability — Iowa City, IA
Home Price to Income Ratio
| Metric | Zip Code Average |
|---|---|
| Home Price to Income Ratio | 3.7 |
| Median Home Price | $312,000 |
| Median Household Income | $75,900 |