Your Roadmap to Real Estate Success in
Ankeny, IA

Author:
Rentastic Media
Aug 15, 2023
Ankeny, Iowa

Why Invest in
Ankeny?

Ankeny, Iowa, is one of the fastest-growing suburbs in the Midwest, presenting real estate investors with a unique opportunity to capitalize on a robust market characterized by strong economic growth, family-friendly amenities, and increasing housing demand. Strategically located between Des Moines and Ames, Ankeny attracts both young professionals and families, driving up the demand for residential and multi-family housing. With a high quality of life, low crime rates, and excellent schools, Ankeny is an ideal place for long-term real estate investment.

Captivating Real Estate Potential in Ankeny

Overall

Median Home Price

$800,000

Projected annual sales

$8,057

-18.42%
from last year

Borrowing coastal

7%

The combination of a growing population and continued urban development makes Ankeny a promising destination for real estate investment. Property values have seen steady appreciation, while the city’s commitment to infrastructure and community planning bodes well for future growth. Let’s dive into some of the top neighborhoods and strategies for investing in Ankeny.
Regional
Prairie Trail
Northwest Ankeny
South Ankeny
East Ankeny
Median Sold Price
$375,000
Price MTM Change
+1.3%
Price YTY Change
+5.5%
Median Sold Price
$350,000
Price MTM Change
+1.5%
Price YTY Change
+6.0%
Median Sold Price
$310,000
Price MTM Change
+1.2%
Price YTY Change
+4.8%
Median Sold Price
$295,000

The California Market Is Volatile But Is Still Attractive

In conclusion, while the California housing market presents challenges, it also offers potential opportunities for investors who approach it with careful consideration and strategic planning. Despite the current hurdles, such as declining sales and limited housing supply, the strong demand and market competition indicate resilience and potential for growth. By staying informed, conducting thorough research, and seeking guidance from professionals, investors can navigate the market dynamics and position themselves for success. With its diverse regions and evolving market conditions, California continues to be an attractive destination for real estate investment. By adapting to the changing landscape and taking a long-term perspective, investors can find promising prospects and contribute to the vibrant housing market in the Golden State.

Forecast and Analysis of Ankeny Real Estate Market

Ankeny real estate market continues to show strong growth, driven by population increases, economic expansion, and new developments. Below is an in-depth look at the key trends influencing the market:

Home Prices and Appreciation:

As of recent data, the median home value in Ankeny stands at approximately $362,591. The area's appreciation rates have been moderate. Over the past year, Ankeny experienced a 5.99% appreciation rate, which is in line with the national average but lower compared to other cities within Iowa. This suggests steady but not explosive growth in property values, making it a balanced market for potential investors.

Population and Employment Trends:

Ankeny continues to benefit from a robust population growth, driven by job opportunities and a desirable community for families. New job creation remains a key indicator of a healthy rental market, as more people moving into the area typically increase demand for housing, both for purchasing and renting. Additionally, the city has diverse employment sectors, which minimizes the risk associated with economic downturns tied to specific industries.

Rent and Investment Potential:

Ankeny's rental market shows promising indicators, such as steady gross rental rates. The area is considered favorable for long-term real estate strategies, especially for investors employing methods like BRRRR (Buy, Rehab, Rent, Refinance, Repeat). Factors like school quality, the area's appeal to relocating families, and moderate property taxes further enhance Ankeny's attractiveness as a market for rental investments.

Market Risks and Considerations:

Key concerns for real estate investors include potential fluctuations in property taxes and maintenance costs, which could impact returns. Additionally, monitoring shifts in local income rates and the unemployment rate will be crucial for sustaining tenant demand and maintaining occupancy levels.

Market Wrap-Up in Los Angeles :

  • The Los Angeles housing market has experienced mixed trends, with some regions showing price increases while others have seen decreases.
  • Home sales have declined across most regions, indicating a slowdown in the market.
  • The Central Coast region experienced a decrease in median sold price and sales, while the Central Valley saw a slight increase in prices and a decrease in sales.
  • Far North region witnessed an increase in median sold price, but a decline in sales.
  • The San Francisco Bay Area reported a slight increase in prices and sales.
  • Southern Los Angeles saw a moderate increase in prices but a decline in sales.
  • The California Association of Realtors (C.A.R.) revised its housing market forecast, projecting a decline in home sales and median prices compared to the previous year.
  • Factors contributing to the market conditions include mortgage rates, inventory levels, buyer demand, and economic conditions.
  • The forecast indicates a challenging market environment, but there are positive signs of stability and potential growth in certain areas.
  • It is important for potential investors to carefully analyze market trends, consider regional variations, and seek guidance from real estate professionals before making investment decisions.
Mortgage calculator creative image

Strategies for Conquering the Ankeny Real Estate Market

Successfully navigating Ankeny real estate market requires strategic planning and market insights. Here are effective strategies to maximize your investment returns:

Monitor City Development Plans

Ankeny is consistently undergoing infrastructure improvements, including road expansions, retail developments, and new parks. Staying informed about city development plans is crucial for identifying emerging opportunities. Properties in neighborhoods scheduled for revitalization or new projects like The District at Prairie Trail could see substantial value increases. Investors should track local government meetings and proposals to stay ahead of growth areas.
magnifying glass on a chart and laptop
A man pointing to a graph chart

Focus on First-Time Homebuyer Markets

Many of Ankeny’s residents are first-time homebuyers, driven by the city’s affordable home prices compared to Des Moines. Properties priced in the $250,000–$350,000 range can attract buyers who are entering the market and are looking for starter homes. These homes tend to appreciate steadily, as Ankeny is an attractive location for buyers seeking both affordability and proximity to the Des Moines metropolitan area.

Stay Informed About Zoning Changes

Ankeny’s zoning regulations can have a significant impact on the potential for development and the value of your property. Stay up-to-date on zoning changes, particularly for areas near commercial zones or designated growth corridors. If you purchase land or a property that is in an upzoned area, it could mean higher future returns through residential or commercial development.
couple talking to a consultant
Woman in front of board of sticky notes planning

Focus on New Construction and Suburban Development

Ankeny has witnessed rapid suburban expansion, with a growing number of new homes being built in developments like Prairie Trail and Sundown Hills. Investors can benefit by targeting properties in these neighborhoods, where demand continues to outstrip supply. New constructions often attract buyers seeking modern amenities and larger spaces, making them ideal for long-term investment. Additionally, these areas tend to offer better ROI as local schools, parks, and amenities continue to improve, boosting overall demand for real estate

Invest in Family-Oriented Neighborhoods

Ankeny is known for its excellent school systems and family-friendly environment, making it an attractive place for homebuyers. Investing in neighborhoods near schools like Northview Middle School or Ankeny High School can ensure a consistent flow of potential tenants or buyers, especially in properties with multiple bedrooms or outdoor space. Young families are particularly attracted to these areas, seeking proximity to quality education and safe, community-oriented environments.
cashbag next to mini house next to coin bank
Man in suit playing jenga with house on top

Take Advantage of Short-Term Rental Opportunities

Although Ankeny is not a traditional tourist destination, its proximity to Des Moines makes it appealing for short-term rental investors targeting visitors to the nearby state capital. You can capitalize on this by investing in single-family homes or properties near major roadways, particularly those near I-35 or S. Ankeny Blvd. These homes can be marketed to travelers, contractors, or visiting professionals, yielding competitive rental rates while avoiding the higher competition in Des Moines itself.

Be Strategic with Property Upgrades

Home renovations in Ankeny should align with buyer or renter preferences, which often center around updated kitchens, bathrooms, and energy-efficient features. Investing in properties that require moderate updates can be a cost-effective way to increase their value. Focusing on eco-friendly upgrades (like solar panels or energy-efficient appliances) can make your property more appealing to a growing base of environmentally-conscious buyers and renters.
Coins stacking in an upward trend shape next to mini house

Other Investment Opportunities in Iowa

When it comes to real estate investment opportunities in Iowa, Ankeny is not the only city worth considering. Here are a few reasons why you might want to explore investment in Des Moines, Cedar Rapids, or Davenport:

Des Moines

Des Moines, Iowa, offers an increasingly attractive landscape for real estate investors seeking strong returns, diverse opportunities, and a favorable business environment. Known for its solid economic foundation, affordable living, and growing population, Des Moines provides a range of possibilities for both residential and commercial investments. With its blend of urban charm, low cost of living, and robust job market, the city’s real estate market is gaining momentum, positioning it as a top choice for savvy investors.

Cedar Rapids

Cedar Rapids, located in the heart of Iowa, offers real estate investors a unique combination of affordability, steady economic growth, and a focus on revitalization. Known for its strong manufacturing base, diverse economy, and proximity to major metropolitan areas like Iowa City and Des Moines, Cedar Rapids presents a promising market for both seasoned investors and newcomers. The city is also undergoing significant redevelopment efforts in key areas, making it an attractive location for residential, commercial, and multi-family real estate investments.

Davenport

Davenport, Iowa, is an evolving city that offers real estate investors opportunities in both residential and commercial markets. As one of the Quad Cities, Davenport has seen a resurgence in growth, bolstered by a dynamic local economy, revitalized urban spaces, and a well-positioned location along the Mississippi River. With its relatively low cost of living, a strong job market, and growing infrastructure, Davenport provides great potential for savvy investors looking for steady growth and income.

Rentastic Verdict

Ankeny, Iowa, is more than a suburb; it’s a thriving community with immense potential for real estate investors. The city’s consistent population growth, coupled with its strategic development plans, ensures a strong foundation for future appreciation and rental income. As demand for quality housing continues to rise, investors who tap into Ankeny’s market now are likely to see significant long-term rewards.
Moreover, Ankeny’s investment in family-oriented amenities and sustainable urban growth creates a stable and attractive environment for both homeowners and renters. The community’s commitment to enhancing quality of life while expanding economic opportunities positions it as a standout market in the Midwest. Whether you are interested in new construction, long-term rentals, or mixed-use properties, Ankeny offers diverse investment options to match your strategy.
By staying informed, engaging with local development, and strategically selecting neighborhoods, investors can confidently navigate Ankeny’s dynamic market. With a focus on family appeal, economic vitality, and urban development, the city provides a fertile landscape for sustainable and profitable real estate investments.

Empowering Investors in the Iowa Real Estate Market

Rentastic provides a comprehensive suite of tools designed to empower investors in navigating the dynamic Iowa real estate market. These tools offer unique functionalities that cater to the specific needs of investors, enabling them to make informed decisions and maximize their investment potential.

Rent Estimator

The Rent Estimator tool equips investors with valuable insights into the rental market. By analyzing market data and property-specific factors, it accurately estimates the potential rental income of a property. This tool enables investors to set competitive rental rates, project cash flows, and evaluate the profitability of their investments.
Learn More
Rentastic Rent Estimator
Deal Analyzer preview

Deal Analyzer

With the Deal Analyzer tool, investors can perform comprehensive financial analyses of potential real estate deals in Iowa. By inputting essential financial information such as purchase price, rental income, expenses, and financing details, investors gain a deeper understanding of the investment's profitability. This tool assists in identifying lucrative opportunities and mitigating risks by providing reliable calculations and insights.
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Mortgage Calculator

Rentastic’s Mortgage Calculator offers investors the ability to estimate monthly mortgage payments based on loan parameters, interest rates, and loan terms. This tool helps investors evaluate different financing options, determine affordability, and understand the impact of financing on their investment’s cash flow. By making informed decisions about mortgage options, investors can optimize their financial strategies.
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Expense Tracking

Successful real estate investing requires efficient expense management, and Rentastic’s Expense Tracking tool simplifies this process. It allows investors to track and monitor property-related expenses, such as maintenance, repairs, insurance, and property management fees. By maintaining accurate records and gaining visibility into their expenses, investors can effectively budget, analyze profitability, and make informed financial decisions.
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Rentastic's suite of tools combines data-driven insights and user-friendly interfaces to empower investors in the Iowa real estate market. These tools provide a competitive edge by enabling investors to accurately estimate rental income, analyze deal profitability, evaluate financing options, and manage expenses. By leveraging Rentastic's tools, investors can confidently navigate the Iowa market, identify lucrative investment opportunities, and optimize their returns.
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