US Housing Market Forecasts for 2016:Kansas City Part 2

In an earlier post, we looked at the market forcasts for 2016 for Kansas City from the market reserach conducted by the Wichita State University Center for Real Estate.

You can read the post here:

Today, we will look at another city within Kansas State, called  Wichita.



Wichita is the largest city in the State of Kansaslocated in south-central Kansas on the Arkansas River, Wichita metropolitan area, according to the United States Census, is 641,076.

Wichita housing forecast for 2016

  • Home sales –After a slow first quarter, Wichita home sales are now on pace to increase 4.6 percent this year. This trend should continue in 2016, with sales rising 3.3 percent to 9,970 units.
  • Construction –New home construction in the Wichita area rose last year to just above 1,000 units. This pace of activity should continue in the foreseeable future, with permits rising 4.9 percent in 2016 to 1,065 units.
  • Home prices–Wichita area home prices are beginning to rise in the wake of tight inventories of homes available sale. Wichita home values are expected to rise by 3 percent in 2016.

In the third part of the series, we will review the city of Manhattan.

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  40. Great insight. I’m seeing a lot of potentials in Kansan but then what will be the impact of a possible interest rate increase in 2016 on this housing market.

    1. The speculation is that interest rates might trend upwards slightly in 2016. Historically, an increase in the interest rate does not have as much positive correlation as housing stock inventory. It is expected that government will continue to reflate the economy by approving more contruction permits to maintain stability in prices as the economy is far from full recovery. Given that average price levels in most markets in the Unites States are yet to hit the pre-bubble levels of 2007/2008, its is believed that upwards trend in prices will continue even if interest rates rise in 2016.
      Personally, as long long as the cashflow is positive in any investement in a stable market, other associated benefits of REI will compound the untimate ROI.
      Thank you

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