property
First-Home Buyer Activity Levels and Entry Points Hold Firm in Des Moines
Local first-time purchasers drove 18 percent more sales in the second quarter than a year earlier, with entry-level homes averaging $224,000.
How we reported this
First-time buyer transactions in Polk County climbed to 312 in the three months ending June 30, up from 264 in the same period last year, according to figures compiled by the Des Moines Area Association of Realtors.
The increase arrives as mortgage rates hover near 6.4 percent and national headlines about fuel shortages and missile programs raise questions about longer-term economic stability. Local buyers appear focused on locking in property before any further rate moves, with many targeting homes under the $250,000 mark that still sit within daily commutes to downtown offices and the Wells Fargo campus on Locust Street.
Neighborhood Entry Points
Beaverdale continues to draw the largest share of these buyers, where three-bedroom bungalows along Urbandale Avenue have changed hands at a median $229,000 this spring. Sherman Hill has seen similar traffic, with smaller row homes near the Pappajohn Sculpture Park selling between $195,000 and $215,000. Both areas benefit from the city’s existing transit routes and proximity to the Greater Des Moines Partnership’s workforce programs that connect new residents to downtown employers.
The Iowa Finance Authority’s first-time homebuyer loan program recorded 89 closings in Des Moines zip codes during May and June, nearly double the 47 recorded in the same window of 2025. Average days on market for homes priced below $230,000 fell to 19, compared with 31 for properties above that threshold.
Next Steps for Buyers
Agents at the Des Moines Area Association of Realtors advise pre-qualifying through local credit unions before touring, noting that inventory at the entry level remains tighter than in 2024. Prospective buyers can check current listings through the association’s portal and attend the monthly open-house circuit that begins July 12 along Ingersoll Avenue.
Those who act now can still access down-payment assistance capped at $10,000 through the city’s housing trust fund, provided applications are filed before the August 15 deadline.
This article is general information only and is not personal financial or investment advice. Consider your own circumstances and seek licensed professional advice before making financial decisions.