ADDRESS

8915 S Keystone Ave Ste C
Indianapolis, IN 46227

PHONE

317-657-8059

Central Indiana needs more homes listed for sale!

More homes need listed for sale in Indianapolis!

So I occasionally (ok almost constantly when not working with a client or doing marketing work) go over the MIBOR (Metropolitan Indianapolis Board of Realtors) sales data, both to better understand the current market and to glean marketing strategies. While going over the most recent report (June 2016), I noticed that this years trend of a “house for sale shortage” had not just continued… it has gotten dramatically worse.

To demonstrate what I am talking about I am going to show you two line graphs from that report. They are historic new listings and historic closed sales.

historical new listings Greater Indianapolis areahistoric closed sales greater Indianapolis area

While these graphs are not enough info to really dig into the data, there is a clear trend that you can see when comparing them side by side. From the pre collapse peak in 2007 to the bottom in late 2011, the two match up rather nicely. Less homes came on to market because less homes sold….and their prices were bottoming as well. In early 2012, sales started to recover and this is where the two charts part ways.

While new listings coming on market has peaked around 4500 for the last four years, closed sales have moved steadily up (with a hiccup in 2014). The result of this is that we currently have a 20 year low for number of homes available for sale in central Indiana. There are and have been for about 8 months about 11,000 homes for sale. To put that in perspective lets take a look at another chart.Historic inventory of homes available greater IndianapolisWhile the 50,000 homes that were available in 2006, would be classified as an unnecessary glut of homes, you can see that our market has an equilibrium somewhere between having 15,000 and 20,000 homes on market. This gives an absorption rate that averages out to about 6 months. At that absorption rate, prices increase moderately and finding the right home for about any buyer is no problem.

However, at the current inventory level of 11,000 we have about a 4 month supply of houses. At that absorption rate prices are shooting up (average sales price is up 5% in June of this year), and it is more than a little difficult to find the right home for most buyers.

So what does that mean to you? Well for one, if you are thinking of selling your home and other conditions are right for you…quite bluntly you need to call Realtor Robb at 317-657-8059 and get your house listed for sale!

There has not been a better opportunity to sell a home in a decade. The buyers are ravenous and their aren’t enough choices out there for them.

You can also set that listing appointment by emailing Robb@yourrealtylink.com or using my handy web form.

* indicates required field

Share this:
Follow me here!