Kokomo, IN Housing Market

Market Overview

Kokomo, Indiana posts a PropertyIQ Score of 52 out of 100, positioning it as a moderate market. The top score drivers include a 12-month home value momentum reading of 8.84%, a 3-month home value momentum reading of 0.23%, median days on market of 43 days, and a 30.0% share of listings with a price cut. These indicators point to a market with some positive longer-term momentum but much cooler recent movement and active seller adjustments. The median home value is $195,008, and there are 242 homes for sale.

Against statewide benchmarks, Kokomo is more affordable by home price but softer on several economic measures. The median home value is about $65,000 below the Indiana average of $260,095. The rent index is $1,085, slightly above the state average of $1,062. The unemployment rate is 4.7%, well above the state average of 3.3%, and median household income is $64,027, below the state average of $71,957. The year-over-year median home value is essentially flat at -$1, while population growth data is not available. Overall, lower home prices and competitive rents provide support, but higher unemployment and cooling price momentum keep the market moderate.

Key Trends

Cooling home value momentum is the clearest trend. The 12-month home value momentum reading of 8.84% is positive, but the 3-month reading of 0.23% is nearly flat. The year-over-year median home value change of -$1 reinforces that price movement has stalled in the near term.

Buyer-favorable conditions are also evident. With 242 homes for sale and a median days-on-market of 43 days, homes are not moving at a rapid pace. In addition, 30.0% of listings have experienced a price cut, which suggests sellers are adjusting to attract offers and buyers have meaningful negotiating power.

Affordability remains a relative strength. Kokomo’s median home value of $195,008 is far below the state average of $260,095. Although median household income of $64,027 is also below the state average of $71,957, the local price-to-income ratio is roughly 3.0 compared with about 3.6 statewide, making homeownership more attainable for local households.

Rental market conditions look comparatively stable. Kokomo’s rent index of $1,085 is slightly above the Indiana average of $1,062. That is notable because home values are lower than the state average, which may support investor interest. The main offsetting factor is unemployment at 4.7% versus 3.3% statewide, which could pressure tenant stability and local demand. Population growth data is unavailable, so demographic direction cannot be measured.

Who Is This Market For

This market is likely suited to first-time buyers and value-oriented owner-occupants. The median home value of $195,008 is significantly below Indiana’s $260,095 average, and the lower price-to-income ratio supports entry-level affordability. With a median days-on-market of 43 days and a 30.0% price-cut share, buyers may also have room to negotiate.

Kokomo may also appeal to buy-and-hold investors focused on rental income. The rent index of $1,085 is above the state average of $1,062, while purchase prices are much lower than the state median. That combination can create a comparatively favorable rent-to-price setup. However, with 3-month home value momentum at 0.23% and year-over-year median home value at -$1, this is not a market for investors seeking rapid appreciation. Move-up buyers may also face softer resale conditions because of the high share of listings with price cuts.

Outlook

The data points to a moderate and largely flat near-term path. The 12-month home value momentum reading of 8.84% shows some longer-term strength, but the 3-month reading of 0.23% and the year-over-year median home value change of -$1 suggest that price growth has stalled. With 242 homes for sale, 43 days on market, and a 30.0% share of listings with price cuts, sellers will likely continue to face competition. The rent index of $1,085, above the state average of $1,062, may keep rental demand relatively steady. However, unemployment of 4.7% versus 3.3% statewide and median household income of $64,027 versus $71,957 statewide limit upside. Because population growth data is not available, future demand trends remain uncertain. Based strictly on the provided numbers, Kokomo appears positioned for steady but unspectacular performance.