Increases
are
most
pronounced
among
lower
priced
properties.
Those
in
the
bottom
fourth
of
the
market
have
seen
prices
jump
57%
over
the
past
three
years
—
now
coming
in
at
an
average
of
$79,000.
That’s
slightly
down
from
$86,400
in
February,
according
to
Altos.

Local
observations
from
Realtor
Tyler
Tresize
of
LPG
Realty
back
up
those
findings.

“It’s
definitely
price-line
specific,”
he
told
HousingWire.
“The
properties
that
are
$200,000
to
$500,000
aren’t
seeing
a
flurry
of
investors.
It’s
the
entry-level
houses
—
definitely
the
ones
under
$100,000
—
where
there’s
a
decent
amount
of
competition.

“Toledo,
Ohio,
is,
to
my
knowledge,
one
of
the
only
places
where
you
can
still
buy
something
for
$60,000
and
rent
it
out
for
$1,000.
I
don’t
think
there
are
many
places
—
not
only
in
the
U.S.
but
in
the
world
—
where
you
can
get
that
kind
of
return.”

Properties
ranking
in
the
third
price
tier
of
Toledo’s
market
are
now
priced
on
average
at
185,500,
a
27%
increase
from
late-April
2022,
Altos
data
shows.

Investor
activity
in
Toledo
housing
market

In
the
Toledo
housing
market,
investor
interest
has
more
than
doubled
over
the
past
six
years.
In
February
2024,
investors
purchased
30%
of
all
single-family
homes
sold
in
the
area,
up
from
15%
in
2018,
according
to

Cotality.

When
asked
about
Toledo’s
market
boom
leading
to
conflict
between
investors
and

buyers
who
plan
to
occupy
a
property,
as
well
as
housing
affordability
concerns,
Tresize
said
a
number
of
factors
come
into
play.

“The
bigger
issue
for

renters
right
now
is
that
Lucas
County
just
reassessed
a
lot
of
the

property
taxes,”
he
said.
“So
when
it
comes
to
setting
rent,
it’s
purely
based
on
cash
flow.
Rents
are
going
up
because
the
cost
of
ownership
is
going
up
due
to
the
tax
reassessment.

“The
mayor
is
doing
a
lot
to
keep
and
bring
jobs
to
Toledo.
The
downtown
area
is
scaling
up
to
encourage
people
to
own
and
buy
places.
So
I
think
there
are
a
lot
of
factors
keeping
people
here,
honestly.”

National
and
international
investors
—
including
hedge
funds
and
buyers
from

New
York,

San
Francisco,

Canada
and
Italy
—
now
account
for
a
significant
portion
of
business
for
some
Toledo
agents,

the
Wall
Street
Journal
(WSJ)
said.

Impact
on
buyers
and
sellers

Local
residents
Leah
and
Nell
Zimmerman,
lifelong
Toledoans,
told
WSJ
they
were
outbid
on
their
home
purchase
five
times
before
finally
having
an
offer
accepted
on
their
sixth
try.

Sellers,
on
the
other
hand,
are
benefiting.

“We
have
a
lot
of
manufacturing
here.
There’s
a
GM
plant,
a
Jeep
plant,
and
tons
of
other
manufacturing,”
Tresize
said.
“There
are
jobs
here,
and
when
kids
graduate
from
the
University
of
Toledo
and
look
at
other
cities,
the
cost
of
living
is
so
high.
I
think
that’s
making
people
stay.”

He
added
that
use
of
debt
service
coverage
ratio
loans
has
made
it
easier
for
investors
to
get
purchase
financing.

“I
don’t
think
this
is
a
short-term
bubble.
I
think
this
is
just
the
new
way
of
life.
So
investments
are
going
to
keep
happening
—
especially
in
this
area.”