According to the Zillow Home Value Index, home prices in dozens of Iowa towns are rising at a pace that local incomes can’t match. In these 25 markets, recent growth rates far exceed the long-term norm—often a red flag that outside investors are driving the action. When property speculation heats up, it’s usually working families and first-time buyers who lose ground. These are the places where affordability is eroding fast, and where communities risk becoming investment portfolios instead of places to live.
25. Oakville – Investor Feeding Frenzy Factor -117.70% (July 2025)
- Historical annual growth rate (2012–2022): -4.50%
- Recent annual growth rate (2022–2025): 0.80%
- Investor Feeding Frenzy Factor: -117.70%
- Current 2025 price: $162,717.86
Oakville represents a unique case where homes were actually losing value for a decade before recent stabilization brought modest gains. The town’s housing market had been declining at nearly 5% annually, making it one of Iowa’s most affordable options. This dramatic reversal from negative to positive growth suggests renewed interest in the community, though prices remain well below state averages.
Oakville – Recovery From Decade-Long Decline
Located in Louisa County along the Iowa River, Oakville is a small community of fewer than 500 residents that has struggled economically for years. The town’s housing market reflects broader challenges facing rural Iowa communities, where population loss and limited economic opportunities have kept property values suppressed. Manufacturing and agricultural jobs remain the primary employment sources, though many residents commute to larger nearby towns for work.
The recent price stabilization coincides with increased interest in rural properties and remote work opportunities that emerged during the pandemic. With median home values around $162,000, Oakville offers some of Iowa’s most affordable housing, attracting buyers priced out of larger markets. The town’s proximity to the Iowa River provides recreational opportunities, while its small-town character appeals to those seeking a quieter lifestyle.
24. Ruthven – Investor Feeding Frenzy Factor 0.51% (July 2025)
- Historical annual growth rate (2012–2022): 4.63%
- Recent annual growth rate (2022–2025): 4.65%
- Investor Feeding Frenzy Factor: 0.51%
- Current 2025 price: $184,660.55
Ruthven demonstrates remarkable price stability, with recent growth rates nearly identical to its historical average. This consistency suggests a healthy housing market without speculative pressures. At $184,661, median home prices remain affordable while showing steady appreciation that benefits long-term homeowners without creating barriers for new buyers.
Ruthven – Steady Growth in Northwest Iowa
This Palo Alto County community of approximately 800 residents sits in Iowa’s northwest lake region, providing access to recreational opportunities at nearby lakes and parks. Ruthven’s economy centers on agriculture and related services, with several grain elevators and farming operations providing local employment. The town maintains essential services including a medical clinic, school system, and volunteer fire department.
Housing demand remains steady due to the area’s agricultural economy and recreational attractions. The town’s location provides easy access to Spirit Lake and other recreational destinations while maintaining small-town affordability. Local employers include agricultural businesses and service providers, creating stable demand for housing without the volatility seen in more urbanized areas.
23. Manly – Investor Feeding Frenzy Factor 0.67% (July 2025)
- Historical annual growth rate (2012–2022): 5.08%
- Recent annual growth rate (2022–2025): 5.11%
- Investor Feeding Frenzy Factor: 0.67%
- Current 2025 price: $149,846.94
Manly maintains consistent growth patterns with minimal deviation from historical trends. The slight acceleration in recent years reflects steady demand in a stable market. With median prices under $150,000, the community offers exceptional affordability while demonstrating reliable appreciation for homeowners.
Manly – Agricultural Hub With Stable Housing
Located in Worth County near the Minnesota border, Manly serves as a center for the region’s agricultural economy. The community of roughly 1,300 residents benefits from its position along major transportation routes, making it attractive for agricultural businesses and related industries. The town hosts several manufacturing facilities and grain operations that provide local employment opportunities…