Indiana Housing Recovery is Gaining Momentum
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The central Indiana real estate market is building momentum. We continue to see growing signs that the local housing market is continuing to recover and building momentum.
How do we know? During the second quarter, we saw year-over-year listing inventories continue to decline. Nine out of the eleven counties represented showed a decline in listing inventory levels year-over-year. This continued decline in inventories is a prerequisite for the developing recovery. Hancock, Johnson and Marion Counties lead the decline in inventories. Marion County, as the largest county for inventory, saw a nearly 12.8% decline.
The momentum is also reflected in the pending homes for sale numbers. Pending sales during the second quarter of 2012 were up 9.2% year-over-year with Hancock, Madison and Hamilton Counties leading the way. In addition, Marion County experienced an 8.7% growth in pended sales.
On a positive note for current homeowners who are trying to sell or considering selling their home, the average residential sales price for closed sales in central Indiana showed strong improvement with a 6% increase year-over-year. Morgan County led the recovery in sales price with a 29.5% surge. Marion County, the largest in the survey, experienced solid 4.9% increase. These increases in average sales price are strong indicators the bubble of bank-owned and distressed properties has worked its way through the system and we are returning to a more balanced market. But don’t misunderstand, there is a surplus of distressed property still working its way through the market.
These quarterly results have been published in the latest edition of Carpenter Reports. See the full report here.
At Carpenter, we continue to be optimistic about the future of housing in central Indiana. We do anticipate some volatility going through the upcoming national elections and the implementation of increased taxes at the end of the year, but do not believe it will derail the building momentum in the housing recovery.
We hope you find the quarterly edition of Carpenter Reports and the data it provides useful in your understanding of the central Indiana housing market.
Posted by: 
David Caveness
