Homeowners around the Indianapolis real estate market can’t help but wonder where the values of their homes really stand.
Location, location, location has always been the mantra when it comes to Indianapolis real estate values and to some degree, the same remains true no matter what the market is doing. Certain areas always seem to do better than their competition. For example, recent real estate report showed which areas of Indianapolis‘ Northside were faring better than others.
While location is a factor in how well properties hold value, and therefore sell well, there are other elements that factor into an areas success. With differing statistics being presented about the state of Indianapolis real estate, it’s hard to know what to consider as the truth about where we stand.
Recent numbers have been released that appear to be conflicting. One pending sales report showed that the number of accepted offers for Indianapolis homes for sale was on the rise while another home sales report revealed that numbers dropped in August. As with any kind of data, looking at separate indicators (in this case pendings vs. actual sales) can seem to uncover different conclusions.
REALTORS® are finding that the pipeline of homes has decreased by a month across Central Indiana, from ten months to the current nine months.
Others are reporting that they are seeing more interest from buyers and sellers from increased calls to their offices. It’s felt that word is getting out about a possible upswing, or at least less of a downturn, and people are beginning to be less panicked about real estate transactions.
The August reports are also felt to be old information according to some REALTORS® currently working on the scene. They feel that information is dated as old as three months back and look at more recent information like pendings from the last month for more accurate data. Statistics are showing that the most recent pendings are stable and some individual companies are even showing increases over ten percent.
Other factors are indicative of a positive atmosphere in the market. These include developers beginning to look at land again which is something not frequently seen since the market started going south in 2006. Builders are also showing increased optimism by backing off on price cuts and incentives.
It is unanimously felt that the $8000 First-time Home Buyer Tax Credit is at least partially responsible for any upturn we are witnessing in the market. Proponents of these tax credits are so concerned that this benefit has been such a critical factor in a rise of the real estate market that that they are lobbying in Congress to not only have it extended in time but are also pushing to have the credit raised to $15,000 and be offered to all buyers, not just first-time buyers.
The general feedback so far is to not count on an extension of this tax credit if you are in the market for a new home. So far, it appears it may be a tough sell due to not being backed by the Obama Administration and serious questions about how the credit will be funded.
Therefore, if you are interested in taking advantage of the $8000 credit, the time to move is now since it’s safe to leave yourself up to six weeks to negotiate the steps to close. Eligible homes must be closed by November 30.