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Market Watch – July 2010 edition

Richard — Wed, 21 Jul 2010 15:35:04 +0000

A review of market activity last month shows it’s continued transitioning into a market that’s more traditional. Without the effects of the federal government stimulus money that induced purchasers to buy now, altering their normal motivation, sales slowed from previous months. This was expected. But still it was surprising that the market was 30% off compared to the same time period in 2009.

While some would see this as negative news, I call it a normal reaction to market influences and a step in the right direction. From my vantage point, I see a stronger and more balanced market. More homes in higher price ranges are selling now which happened far less frequently a year ago. But mainly I hear and see more optimism in the voices and eyes of customers…and the phone rings more often.

For an in-depth analysis of last months market activity, including actual sales numbers, charts, graphs…take a look at my latest Market Watch Newsletter.

The most positive result of slower market activity is that interest rates dropped to astounding levels. Last time I checked, the rate for a 3o yr conventional loans with NO buy-down points was 4.5%. And for 15 yrs it’s 4.0%. The rate for an FHA loan with only a 3.5% down payment to purchase is 4.375%. Those are amazing rates. Very good timing especially when you consider home prices are more affordable than they have been for years. Great circumstances for anyone who wants to purchase a home or refinance.

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Market Watch – June 2010 edition

Richard — Tue, 15 Jun 2010 14:27:28 +0000

The real estate market has always been a reflection of the overall economy and the forces that move it. It seems to go as the perception of the economy goes. In order to make some sense of that, comparing some key numbers adds perspective…like the number of pending sales, average sale price, number of listings on the market, etc. Each one says something different about the market. For an in-depth analysis of last months residential real estate market activity in central Indiana, including actual numbers, charts and graphs, take a look at my latest Market Watch newsletter.

Possibly the best window on the market however is the number of showings occuring. The number of people out looking at homes reflects the “buzz” in the marketplace…which actually does translate into sales in the near future. That number increased dramatically the last few months, induced somewhat by government incentives for first-time and seasoned home buyers. Showings have declined from those levels but still are respectable. For me personally though, the best indicator is the number of phone calls I get from buyers and sellers. When the phone is quiet that says a lot. But lately the phone has been ringing often, and there is an obvious increase in activity from before. People seem to be shaking off the paralysis that gripped parts of the market the last two years…mainly media induced paralysis I still say…and they are moving forward. A reflection of the economy in general? I think so.

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Market Watch – May 2010 edition

Richard — Thu, 13 May 2010 16:51:50 +0000

Just like driving a car, one of the ways to get perspective on where you are now is to look in the rear-view mirror. Market Watch does just that, providing a look back at the previous months activity. To say that April was active is, well, an understatement. Lots of people in the marketplace looking, purchasing, listing, selling. Over 3,000 homes sold in the nine county, central Indiana area that makes up the greater metropolitan Indianapolis market. That’s over a 33% increase compared to this same time period a year ago. Average prices rose as well. For more commentary and in-depth analysis including statistics, charts and graphs, take a look at my latest Market Watch Newsletter.

The pent-up demand for homes that has been building for the last few years, coupled with continuing low interest rates and tax incentives from the government, all contributed to the activity. There is an excitement returning in the market that I haven’t seen for a while. A confidence in what the future will bring. It will be interesting to see if and how that sustains itself now that the tax incentives have expired. Next month’s Market Watch will provide some answers!

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Market Watch – April 2010 edition

Richard — Mon, 12 Apr 2010 23:45:53 +0000

Because market activity in this area is directly affected by the seasons, comparisons to the same time period of prior years is the most accurate way of comparing market activity. As an example, winter months are always slower than spring and summer no matter how the economy has affected things.

This month, the residential market in central Indiana continues to strengthen showing substantial improvement over last year during this same time period. The number of sales and average price increased for eight out of nine counties in the greater metropolitan Indianapolis area. Also, the average sale price of a home sold in central Indiana increased as well, with homes in Marion County increasing over seventeen percent from the March 2009 level.

For more detailed analysis of the local residential real estate market with actual number, charts and graphs, take a look at my latest Market Watch Newsletter. Market Watch is published every month. If you would like a subscription, let me know and we’ll send you a link to each new issue.

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Market Watch – March 2010 edition

Richard — Thu, 11 Mar 2010 19:26:56 +0000

The market in our area showed some impressive gains last month compared to the same month last year in several ways. Over 25% more homes sold in February 2010 than this same period last year. You have to keep in mind too that last month was one of the coldest and snowiest Februaries that we have had in a while, which usually helps to slow activity. The average sale price of a home in the nine county central Indiana area also rose, which indicates that sales of more expensive homes are now being added into the mix, raising the average price. In addition, the number of homes on the market dropped which means the market continues to head toward a more balanced market for both Buyers and Sellers.

For more detailed analysis of the local residential market with actual numbers, charts and graphs, view my latest Market Watch Newsletter.

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Market Watch – February 2010 edition

Richard — Fri, 12 Feb 2010 17:27:20 +0000

This last month saw a continued strengthening of the market in central Indiana. Overall number of sales were down slightly from last year at this time, but the average price of those homes selling were up…with some areas showing dramatic increases. Average sale price has been down in recent years, so this is a positive sign.

I’ve noticed that some home owners have mistakenly assumed that a lower average price indicates that the value of their own home has gone down too. That’s not necessarily true. A lower average sale price simply means that fewer expensive homes were sold and therefore not included and averaged into the other sales figures. Homes in the lower price ranges made up most of the sales. So last month’s figures show that more expensive homes are selling now too. What that means to me is that Buyers and Sellers of more expensive homes are beginning to feel more comfortable in the market again. For more detailed analysis of the local residential market with actual numbers, charts and graphs, view my latest Market Watch Newsletter.

The Market Watch Newsletter is published once every month and can be viewed on this website using the link provided. Or, just send a request to be added to our subscription list and we will email a link to each issue.

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Market Watch – January 2010 edition

Richard — Wed, 13 Jan 2010 23:12:33 +0000

When I see others I haven’t seen in a while and get into conversations, eventually they’ll ask me how the market is doing now. I suppose it comes with the territory of being a real estate broker. But I’m happy to do so really, because at least I know they’re getting the truth as opposed to some hyped-up or cynical, over-produced news story out there. The truth is, the market continues to show improvement and stabilize. That’s the perspective that’s evident if you look back at sales figures for 2009. Sales activity for residential homes picked up, especially noticeable in the second half of the year, as momentum increased from July through October, and about level in the last couple months of the year compared to 2008. For real numbers, in-depth analysis, charts and graphs, take a look at my Market Watch Newsletter for this month.

It’s possible that Federal Tax Credits for first-time buyers helped to stimulate some of those sales. But demand always seems to break through eventually on it’s own. Despite economic news that has had people hunkered down for the last couple years, I think they just get tired of not having the home they wanted, or moving to the place they wanted to move to. So someone pulls the trigger and buys someone else’s home…one sale leads to another…and another…and so forth. One thing different from last year, in addition to the first-time buyer credit, there is also now a tax credit for current homeowners who purchase another home. One stipulation is the sale has to be under contract before the end of April this year in order to qualify. The difference is they don’t have to just be first-time buyers. This may help to get momentum going a bit in the first quarter. I don’t think these tax credits make someone buy a home that doesn’t want one, but it may motivate them to act earlier than they would have. If you have any questions about the tax credits or the market, feel free to contact me.

It’s always interesting in January because it’s a new year. It feels like the slate is clean and a new day. It will be fun to see how 2010 progresses. Just a hunch, but I think everyone will be pleasantly surprised.

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Market Watch – December 2009 edition

Richard — Fri, 11 Dec 2009 02:26:42 +0000

The central Indiana residential real estate market has some positive sales figures to report for last month vs. the same time last year. Also the actual number of homes on the market declined as available inventory continues it’s trend in that direction. The market, which has been tipped generally in the Buyers favor for quite some time, continues to move closer toward a more balanced position which is good news for Sellers. For more in-depth analysis, real numbers and graphs, take a look at my latest MarketWatch Newsletter for this month.

Buyers are taking advantage of good prices and interest rates which remain at near historic lows. A tax credit for up to $8,000 for First-time Buyers is helping to fuel a portion of those sales. If you are not a first-time buyer, you are not left out this time. Current homeowners who want to sell their present home and buy another one may also be able to take advantage of an incentive of up to $6,500. If you have been thinking about a move in the near future, that’s something to consider as well. For more details about the latest tax credit program, here’s some more information from the IRS website…or contact me and I would be happy to discuss any questions you may have.

If you would like a copy of MarketWatch emailed to you every month, just send a request and your address will be added to our Newsletter subscription mailing list. Subscriptions may be started or stopped at any time.

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Market Watch – November 2009 edition

Richard — Tue, 10 Nov 2009 20:37:42 +0000

The market in Central Indiana has a couple interesting things happening to report this month, both of which are positive news for home owners. Inventory continues to decline vs the number of buyers. This means that the ratio of homes on the market per the number of buyers purchasing is becoming smaller, resulting in more competition for homes on the market.

Also, it should be noted that the F. C. Tucker Company, with whom I am associated, had it’s second best October in company history for the number of listed homes sold and number of buyers represented…just barely missing the record set in October 2003. This shows the gathering strength of the market and is a strong indicator of just what is happening now in central Indiana.

For more in-depth analysis, charts and graphs, with real market statistics, take a look at my latest Market Watch Newsletter for this month.

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Market Watch – October 2009 edition

Richard — Tue, 13 Oct 2009 20:17:07 +0000

Understanding where you have been is a good way of helping to determine where you are going. The real estate activity for the month of September shows continued gains in the number of sales as well as a decrease in the number of homes on the market. Both of these seem to point toward confirmation that the market is strengthening and also is becoming a more balanced market for Sellers and Buyers. Buyers have had a distinct advantage. But in recent months and continuing now, less inventory on the market per the number of Buyers means the market is continuing toward one in which Buyers and Sellers have an equal footing…especially true in middle to lower price ranges.

For more in-depth analysis, charts and graphs with real market statistics, please take a look at my latest Market Watch Newsletter for this month.

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