The city is enjoying improved affordability even as problems grow in other markets
While many housing markets around the United States deal with high home prices and tough competition between buyers, more affordable housing can still be found in Cincinnati, Ohio.
In two recent reports from Redfin, Cincinnati had the largest drop in homebuying premium in the nation, as the gap between what one needs to earn annually to buy a home and rent a home decreased by 8.7% year over year.
The second report noted that Cincinnati was also the second-highest metro area in pending sales increases year over year, with an 8.4% increase.
One southwest Ohio mortgage broker is not surprised by these figures. Carlos Scarpero (pictured top), mortgage broker at Edge Home Finance, said homes in the Cincinnati area were much more affordable than in other parts of the country.
“Here in Ohio, it's a lot different,” Scarpero told Mortgage Professional America. “It's very stable, where a decent-priced house might get two offers at max. And as far as applications, it's just been steady. It's not a huge peak, not a huge valley, it's just a steady number of people, and when they're ready to buy, they're ready to buy.”
Mortgage applications are falling nationwide after the recent market turmoil sparked by the Trump administration's tariff policies.
Scarpero isn’t seeing the same application drop in his home area, which covers Cincinnati and Dayton. And it’s in large part because homes are more affordable.
“People can still buy houses here,” Scarpero said. “There are inventory issues everywhere, but it’s still relatively affordable here.”
Convincing customers that buying is within reach
Scarpero was bothered by a recent local television report that told viewers that they needed to earn $100,000 yearly to buy a home.
“One of the national real estate companies released a report that said you needed $100,000 to buy a house,” Scarpero said. “That’s just not true. They’re basing that on the average house being $425,000. And in some parts of the country, that’s true. But the average house in Cincinnati is like $200,000.”
With a more affordable housing market, Scarpero wants to make sure his clients understand that the entry price to homeownership is much lower than what some national averages might indicate.
Sarah DeFlorio of William Raveis Mortgage urged brokers to prioritize affordability over chasing rates, as market swings disrupt traditional patterns. https://t.co/8RW41W0Ka0
— Mortgage Professional America Magazine (@MPAMagazineUS) April 15, 2025
“You can easily get into a $200,000 house,” he said. “A married couple making $40,000 each, that’s $20 an hour. That’s not a super high-end job. As long as they have good credit and they’re responsible with their bills, they absolutely can own a home.”
Another recent Redfin report noted a double-digit rent increase in Cincinnati year over year, increasing by 12.1%. Scarpero feels many people who are told they can’t own a home are stuck in these rentals as prices increase.
“My fear is that people will not even reach out to the mortgage professional,” he said. “But they will see the story, and they believe they’re going to rent forever. And they don't even ask me if buying is an option. People will be too scared to have that conversation with the mortgage person, whether it's me or somebody else, and renting when they shouldn't be or don't need to be.”
A balanced market in Cincinnati
Scarpero is licensed in 33 states, so he can see what is going on in other markets and how they compare to southwestern Ohio. He has also seen some markets improving year over year.
“I’m working in the Atlanta market as well, and one year ago, you would have 25 offers per house,” Scarpero said. “And now, I’m doing one in Atlanta where they got $10,000 from the seller.”
He noted that he’s had a couple of recent highly competitive deals in Ohio. One saw a seller bid $50,000 over the list price and miss out, and the other saw a potential buyer in Columbus miss out after being the 17th bidder on a home.
“In Columbus, they ended up finding a house that had been on the market for two months, and got it for $650,000,” Scarpero said. “And they were able to negotiate the price down. So, you might not get your first offer, but it’s not crazy either.”
Scarpero stresses the importance of mortgage brokers in a time when news headlines are causing potential buyers to hesitate to enter the market.
“I think Cincinnati is a very balanced market, as is Dayton,” Scarpero said. “If people want to buy a house, they can. You might not get $20,000 in closing costs paid. You might get $5,000 if you are lucky, if the house has been on the market for 30 days. They just have to be patient and go look.”
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