Overland Park Housing Market in 2025: A Comprehensive Guide

The Overland Park housing market continues to evolve in 2025, making it essential for buyers, sellers, and investors to stay informed. With a mix of suburban charm and growing economic opportunities, Overland Park has become a hot spot for real estate in the Kansas City metro area. Whether you’re considering buying a home, investing in property, or simply curious about market conditions, this guide covers everything you need to know.

Overland Park Real Estate Trends in 2024

Overland Park has experienced steady growth in its real estate market over the past few years, and this trend is expected to continue into 2025. The city remains a desirable location due to its excellent schools, low crime rates, and abundant parks and amenities. As of early 2024, home prices in Overland Park have shown a moderate increase compared to the previous year. This upward trend is driven by strong demand and limited housing inventory.

Average Home Prices in Overland Park

The average home price in Overland Park currently hovers around $450,000. Prices vary depending on the neighborhood, property type, and proximity to amenities. For instance, homes in established neighborhoods like Shawnee Mission or Blue Valley tend to command higher prices due to their proximity to top-rated schools.

Housing Inventory in Overland Park

One of the key challenges in the Overland Park housing market is the low housing inventory. With fewer homes available, competition among buyers remains high, leading to bidding wars and rising property values. In 2024, new construction homes in Overland Park are helping to ease this demand slightly, but inventory remains tight overall.

Property Values in Overland Park: What to Expect

Property values in Overland Park have consistently appreciated over the years. According to local market reports, homeowners in the area have seen an average annual appreciation rate of 5-7%. This makes Overland Park a solid investment for those looking to build long-term equity.

Home Appreciation in Overland Park

Home appreciation rates in Overland Park are expected to remain stable in 2025. Factors contributing to this steady growth include:

• Strong job market in the Kansas City metro area
• High quality of life and community amenities
• Continued demand for family-friendly neighborhoods

Overland Park Real Estate Forecast for 2025

The Overland Park real estate forecast for 2025 shows a balanced market with gradual growth. While home prices are expected to rise modestly, the rate of increase is anticipated to slow compared to the past two years. This is largely due to higher mortgage rates, which may deter some buyers.

Key Forecast Insights

• Home Prices: Expected to rise by 3-4% over the next 12 months
• Housing Demand: Remains high, particularly among families and young professionals
• New Construction: Increasing to meet demand, especially in the southern parts of Overland Park

Cost of Living in Overland Park

The cost of living in Overland Park is higher than the national average but remains affordable compared to major metropolitan areas. Housing costs account for the largest portion of living expenses in the area. However, residents benefit from high-quality public services, excellent schools, and a strong sense of community.

Overland Park Neighborhoods: Where to Buy

Overland Park offers a diverse range of neighborhoods to suit various lifestyles and budgets. Here are some of the top neighborhoods to consider:

1. Downtown Overland Park

Known for its charming shops and farmers’ market, Downtown Overland Park is ideal for those seeking a walkable community with a small-town feel.

2. Blue Valley

A top choice for families due to its highly rated school district, Blue Valley offers a mix of older homes and new construction.

3. Southern Overland Park

This area is seeing rapid growth in new construction, making it a great option for those looking for modern homes and amenities.

Overland Park Real Estate Investments

Real estate investments in Overland Park can be lucrative due to the city’s steady appreciation rates and strong rental demand. Investors should focus on properties near schools and employment hubs to maximize returns.

Why Invest in Overland Park?

• Strong Property Values: Consistent appreciation over the years
• Rental Demand: High demand for rental properties, especially among young professionals
• Community Growth: Ongoing development projects are expected to boost property values further

New Construction Homes in Overland Park

New construction homes are becoming increasingly popular in Overland Park, and this trend is expected to continue in 2025. Many builders are focusing on modern, energy-efficient designs to meet the preferences of today’s buyers.

Benefits of Buying New Construction

• Customization Options: Choose finishes and layouts to suit your needs
• Energy Efficiency: Modern homes are built with energy-saving features
• Low Maintenance: Enjoy peace of mind with new appliances and warranties

Overland Park Housing Market Affordability

Housing affordability remains a concern for many buyers, particularly first-time homebuyers. While Overland Park offers a high quality of life, rising home prices and interest rates can make it challenging to enter the market.

Tips for First-Time Homebuyers

• Get Pre-Approved: Work with a local lender to understand your budget
• Explore Different Neighborhoods: Some areas may offer more affordable options
• Consider New Construction: Builders may offer incentives to attract buyers

Housing Demand in Overland Park

The Overland Park housing market demand remains robust, driven by population growth and economic opportunities. The city continues to attract families, retirees, and professionals seeking a suburban lifestyle with urban conveniences.

Conclusion

Are you considering buying a home in Overland Park? The Metropolitan Mortgage Corporation is here to help. We provide expert advice and personalized mortgage solutions to make your homebuying journey seamless. Contact us today to get pre-approved and take the first step toward owning your dream home in Overland Park.