The Indianapolis real estate market showed some very encouraging signs based on the latest set of figures obtained for the month of March, 2012. For example, while there was a 2.2-percent increase in the total number of Indianapolis homes for sale in March versus the previous month, what’s noteworthy is the fact that this represents a 16.6-percent decrease versus this same time 1 year ago. Put simply, the market suffers from a serious surplus of inventory, and until this changes, prices will continue to favor the buyer. This is why a 16.3-percent decrease in total listings is a good thing.
Another very encouraging sign comes in the form of a 28.3-percent increase in the total number of homes sold, from 632 in February to 811 in March to be exact. What’s more, this represents a 6.6-percent increase versus last March’s total of 761. In another comparison, the average number of closings that took place per month, from January through March of this year, rose 14.1 percent compared to this same period 1 year ago. By almost any measure, sales had picked up significantly for the Indianapolis market in March.
One of the best indicators of the near-term market is that of total pending sales. Fortunately, there was a nice, 19.6-percent increase in the number of transactions designated as “pending” in March versus the previous month, or 1,015 versus 849 respectively. Like our previous stat, the most meaningful measure lies in our 1-year comparison. Versus March of 2011, the latest figure represents a 2.8-percent increase in total pending sales—not huge, but significant nonetheless. Viewed another way, there were, on average, 867 pending sales per month moving along the sales pipeline from January through March of this year, or 13 percent more, versus this same period last year.
Some Other Pertinent Stats for the Indy Market:
- Homes in Indianapolis spent an average of 99 days on the market in March. This is unchanged not only from the previous month’s average, but also that of March, 2011, both of which averaged 99 days exactly. The12-month average time on market in Indy is 98 days.
- Indianapolis sellers realized 95 percent of their final asking price. While this is 1 percent improved versus the previous month, it is unchanged versus March of 2011.
- The absorption rate based on closed sales was 14.1 percent. This is roughly 3-percent improved versus the previous month and 1 year ago.
- The absorption rate based on pending sales was 17.7 percent.
- There were 7.1 months of inventory based on closed sales and just 5.6 months of inventory based on pending sales.
- March’s average ‘sold’ price of $112,000 was up nearly 11 percent versus 1 year ago. The 12-month average ‘sold’ price is $116,000.
- The average active price of $154,000 was up slightly compared to both the previous month’s average of $49,000, and last March’s average of $151,000. The 12-month average is $152,000.
- The average price per square foot was $56. This matches exactly the 12-month average.
- The median price was $93,000.