• by The VRET Team

The Ultimate Guide to the Oklahoma Real Estate Market

The housing market in the last year has seen some of the most drastic changes in the nation’s history. Plunging interest rates led to a rush on available houses as investors tried to seize the opportunity. Bidding wars broke out, and real estate markets in Oklahoma and around the country boomed.

If you’ve been thinking about buying a new house in Oklahoma, there’s never been a better time. Read on to learn more about the Oklahoma real estate market and what you can expect in different areas of the state.

Overview of the Market

Before we dive into all the specifics of the Oklahoma real estate market, let’s get a general idea of what the market there is like. There are more than 1,480,000 homes in Oklahoma and nearly 15 percent of them are sitting vacant. The cost of living in Oklahoma is relatively low, about 84 percent of the overall United States average. 

Like everywhere else, Oklahoma experienced a real estate market boom earlier this year as mortgage interest rates hit a historic low. In general, houses in Oklahoma are selling for list price, rather than above or below. Right now, it’s a seller’s market there, meaning more people want to buy houses than there are houses available to buy.

Homeownership Rate

The majority of Oklahomans own their own homes, with the homeownership rate coming in around 64 percent. The other 36 percent of Oklahomans rent, and the average market rent is a little more than $1,000 a month.

If you plan to invest in real estate in Oklahoma, knowing the homeownership rate can help you to decide on the best way to spend your money. Higher homeownership rates and a relatively high vacancy rate can make flipping a good prospect for you. However, there is also plenty of money to be made as a landlord in certain parts of the state. 

Median Home Price

In Oklahoma, the median home price is nearly $147,000, as of this writing. The largest sale price range was $118,000 to $235,5000, with a little more than 37 percent of sales falling into this group. Another 25 percent fell in the $59,000 to $118,000 range, with those two ranges accounting for more than half of the market.

A surprising number of homes sold for less than $59,000, with those sales accounting for about 13 percent of the total. Another 13 percent was represented by homes in the $236,000 to $353,000 range. Just 5 percent of homes sold for between $353,000 and $471,000, and another 5 percent of homes made up the entire range above $471,000.

Types of Homes

The vast majority of homes in Oklahoma are single-family homes – this sector accounts for nearly 73 percent of the home inventory in the state. The next-largest category, apartment complexes, account for just 11 percent of the inventory. Mobile homes represent another 9 percent, and 4.5 percent of residences are small apartment buildings. 

Almost half of all homes in Oklahoma were built between 1970 and 1999. Another almost 27 percent were built between 1940 and 1969, and about 20 percent were built sometime after 2000. Only 7 percent of homes were built in 1939 or before.

Home Size

Whether you’re buying a home or investing in real estate, it’s a good idea to know the average size of most homes in the area. If you’re buying and you’re looking for more or fewer bedrooms, you may have a harder time finding what you need and may need to adjust your negotiation strategy. If you’re getting into real estate investing, you should plan to buy a house that fits with the local market demands.

In Oklahoma, nearly half of homes have three bedrooms, and about a quarter have two bedrooms. Roughly 14 percent have four bedrooms, and only two percent of houses have five bedrooms or more. A little less than 9 percent of homes have one bedroom and, surprisingly, 2 percent of Oklahoma residences have no designated bedroom. 

Home Size

Oklahoma crime rates are relatively high, ranking at the twelfth-most dangerous state in the country. The violent crime rate sits around 466 per 100,000 people and there were 287 murders in 2020. The imprisonment rate is the second-highest in the country, and the poverty rate is the eighth-highest, at more than 15 percent.

The good news is that crime rates are dropping in Oklahoma, with 2020 rates 2.5 percent lower than 2019 and 2019 rates 2.8 percent lower than 2018. Rape is down 5 percent from the previous year, and robbery is down 1.4 percent. Burglary and larceny rates both dropped about 6 percent, trends that have continued for two years now. 

Schools

Oklahoma schools have experienced tremendous growth for more than the last two decades. Teacher salaries are on the rise, with teachers making about $54,000 during the 2020-21 school year. In the last five years alone, Oklahoma public schools have expanded from 680,000 students to more than 720,000.

Oklahoma also has the highest student-to-administrator ratio in the region. The state’s schools are also getting more diverse, with English-learning student populations growing by 45 percent since 1998. However, Oklahoma schools do tend to be somewhat underfunded; in fact, Oklahoma has the lowest per-student spending of any of the states that it shares a border with. 

Job Opportunities

Like everywhere else in the country, the Oklahoma job market was hit hard during the worst of the pandemic. The state lost more than 157,000 jobs in April 2020 alone, although it gained about 75,000 of those back the following two months. However, in the following year and a half, the state has recovered well, with unemployment rates dropping back to 2.7 percent by October 2021.

The Oklahoma job market is dominated by office and administrative support positions, as well as sales jobs and food service jobs. Transportation, healthcare, education, and production also make up large sectors of the job market in the state. The median income in the state is around $30,000 a year.

Attractions

Oklahoma has a number of fantastic attractions that new residents will be sure to want to check out. The longest stretch of the famous Route 66 cuts through Oklahoma and runs through both Tulsa and Oklahoma City. The Philbrook Museum of Art in Tulsa features art from Africa, Asia, Europe, and the United States.

In Oklahoma City, residents can visit The Science Museum of Oklahoma, as well as the historic University of Oklahoma. The Oklahoma City Zoo is a great outing for the family, as are the National Cowboy Museum and the Myriad Botanical Gardens. In Tulsa, you can visit the Oklahoma Aquarium and the Gilcrease Museum.

Oklahoma City Trends

Oklahoma City is the state’s capital and the largest city in the state. Median home values here are a little higher, sitting around $240,000 as of this writing. Homes generally tend to go for around $135 a square foot, and in general, homes sell for around the list price in the market right now. 

As of October 2021, Oklahoma City was a seller’s market, meaning that there are more people looking to buy than there are homes available. Homes usually spend around forty-four days on the market, and there are currently around 3,400 homes on the Oklahoma City market. Valencia, Downtown, and Surrey Hills are currently the hot neighborhoods in the city, followed by Quail Creek and Gatewood UCD.

Tulsa Trends

Tulsa is the second-largest city in the state, home to about 402,000 people as of 2019. Homes here are a little more affordable, with the average home price sitting around $200,000 and per-square-foot price at $119. Like Oklahoma City, homes in Tulsa are selling for roughly the asking price as of this writing.

Homes stay on the market a little longer in Tulsa right now, with the average coming in around fifty-six days. However, it is still a seller’s market, and there are a little more than 1,500 homes for sale right now. Brookside is the city’s hottest selling area, with about 100 homes currently for sale, although South Peoria follows closely with 74 available homes.

Norman Trends

Norman sits just to the southeast of Oklahoma City and is home to the prestigious University of Oklahoma. Because of the university’s presence, Norman market prices tend to be a little higher, with median home prices coming in around $254,000. Homes generally list for around $134 per square foot, and they often sell for the asking price, if not a little lower.

The real estate market in Norman is a little more limited, with just 663 homes on the market as of this writing. Homes stay on the market for around fifty-four days, as buyers are a little more selective here. Hall Park is far and away the hottest neighborhood right now, with twenty-eight homes for sale, followed by University, with just eight homes on the market.

Enid Trends

Enid, Oklahoma, sits northwest of Oklahoma City and west of Tulsa and is home to about 50,000 people. There are four primary neighborhoods in Enid – Indian Hills, Waverly Historic District, Kenwood Historic District, and Downtown Enid. Because Enid is a little more remote, prices there tend to be somewhat lower, a little lower than $155,000 on average. 

Enid is a bit of a seller’s market right now, but homes generally sell for a little under listing price, around $140,000. There are around 300 homes for sale in the city as of this writing, with the most homes available in Indian Hills. Waverly Historic District is the second-most active neighborhood right now, and most homes stay on the market for about fifty-six days. 

Midwest City Trends 

Midwest City is a suburb on the eastern side of Oklahoma City and is home to about 57,000 people. Midwest City is a great option for professionals who work in Oklahoma City but who don’t want to pay the real estate prices there. In fact, listing prices for houses in Midwest City are much lower, averaging around $152,000. 

Midwest City homes are selling for roughly listing price right now, and there are more people looking to buy a home than there are homes available. Most houses spend about forty-nine days on the market, and there are five neighborhoods buyers can choose from. As of this writing, there are about 200 homes on the Midwest City market, with Ranchets and Quail Ridge being the most popular neighborhoods.

Current Market Trends 

If you’ve been thinking about buying a house in Oklahoma, now is the time to do so. Home prices are still relatively low after the housing market changes brought on by the pandemic. Interest rates are also still quite low, making homeownership more affordable for young professionals than ever before.

In fact, according to some studies, Oklahoma City has the most affordable housing market in the entire country right now when you compare average income and average housing cost. However, homes in OKC are moving very quickly, so don’t hesitate when you find a house you like. Experts expect home values to continue to rise in the coming months, making real estate a fantastic investment right now. 

Learn More About Oklahoma Real Estate

The Oklahoma real estate market is one of the most affordable in the nation and is thriving. There are plenty of job opportunities and some of the best attractions in the Midwest. Whether you’re looking in Oklahoma City, Tulsa, Norman, or elsewhere, you can find the house you want for a price you can afford.

If you’d like to learn more about Oklahoma real estate, check out the rest of our site at The Virtual Real Estate Team. We help investors to grow their wealth in Oklahoma City so you can grow your nest egg and retire on your own terms. Schedule an appointment with us today and start achieving financial security with a proven plan for financial wellness.