The housing market is one of the largest and most important sectors of the U.S. economy. To understand the trends within the market one must analyze activity both month-over-month and year-over-year. In this Market Insights Report, MIBOR REALTOR® Association (MIBOR) provides a market analysis of the 16 central Indiana counties within the MIBOR service area by creating a single, timely, reliable source of data.
In this report, MIBOR has separated townhouse/condo inventory and properties for lease from the aggregated totals. This decision was made to add clarity to the data as the single-family residential segment is typically the focus. However, as our research shows, walkable neighborhoods with mixed use property types is becoming a consumer preference and a good investment for municipalities. Given this information, we have added a section to the report to address condos and “condo lifestyle” as it is defined within our data.
To create a comprehensive view of the market, MIBOR has scheduled the data pull to happen on the 5th day of the month for the prior month. After review, the completed reports are posted by the second Friday of the month at www.mibor.com/marketinsights.
After analysis of the September 2021 data, this is what our experts are saying:
“September home prices in Indianapolis continue to hover near record highs, with a median price of $254,062, an increase of 12.9% from last September and 0.4% more than last month,” said Shelley Specchio, MIBOR CEO. “And, although inventory remains tight with 2,646 active listings, we are seeing an increase from where we were this spring and summer. These numbers, along with low interest rates, make this a great time to buy or sell and a REALTOR® is your best asset.
”Dr. Elliot Eisenberg, an internationally acclaimed economist and public speaker says, “nationally, the housing market continues to do very well and is unquestionably strong. We may be seeing some slight signs of slowing as inventories finally begin to rise just a bit, but this is more indicative of a market that is settling into a normal, healthy pattern instead of the frenetic pace we saw in the last half of 2020 and the first quarter of 2021. Year-over-year comparisons are going to suffer by sheer virtue of the fact that we were in such an overheated market last year, but prices will remain strong, although I anticipate closer to single-digit price appreciation going forward. As covid continues to improve, consumer spending is going to continue to shift from goods to services and interest in housing will slow, but as single-family residential housing continues to become a full-fledged investment asset class, capital and Wall Street money will continue to pour in, ensuring that the housing market remains solid. With all this massive money, I don’t see annualized price appreciation declining much below 10%.”
Year over Year data for September:
• Median sales price increased 12.9 percent to $254,062
• Average days on market decreased 24.0 percent to 19
• Current active listings decreased 17.4 percent to 2,646