We continue to see a very mixed picture of the real estate market in Indianapolis and the surrounding counties. The Indianapolis Business Journal reports that February 2012 existing home sales were up 14.7 percent year-to-date. That marks the tenth straight month of year-over-year improvement for the Indianapolis metro area.
Inventory also continues to decrease. Currently, just over 12,000 homes are available in the Indianapolis area, a decrease of 14 percent. So people are buying more houses and fewer are available. You’d expect prices to increase when supply is low but demand is high, right? Not quite. Home prices decreased 3.3 percent. Inventory might be low, but this is still definitely a buyer’s market. But many buyers aren’t taking advantage of low prices and low mortgage rates.
According to another IBJ article, Indianapolis mortgage companies aren’t seeing an influx of customers. With mortgage rates at a record-low 3.13 percent, this is surprising. But given the continued high unemployment rate and uncertainty, many people just aren’t ready to commit to home ownership just now.
Confused about what all this means for you? It means this is a fantastic time to buy. With continued low prices and incredibly low mortgage rates, you’re unlikely to find a better time to buy. You may have to spend some serious time looking for your dream home, though, with that low inventory. If you’re thinking of selling, you may want to consider waiting for a while until prices rebound.
Need more guidance? Call Polaris Real Estate, an experienced Indianapolis real estate firm, and let us help determine the best strategy for you.