Things Looking Up for Indianapolis Real Estate Market

Things were looking up for the Indianapolis real estate market in March, 2010. There was a 14.6-percent increase in the in the number of homes sold, with 719 in March compared to 627 in February.  While home sales were still down 16.1 percent compared to March, 2009 there was nevertheless a clear positive trend.

A 24.2-percent increase in the number of pending sales should help sustain momentum in the coming months, as there were 1,117 pending sales in March versus 899 the previous month. There were 3.4 percent fewer pending sales a year ago this same time.

Buyers in Indianapolis, Indiana continue to benefit from a sizable inventory of homes as the number of listings rose 5.7 percent, going from 7,029 in February to 7,432 in March. There were 1.8 percent fewer Indianapolis homes for sale in March, 2009.

As has been the case for other Central Indiana cities, the time spent on market rose somewhat in March as homes spent an average of 105 days on market compared to 91 days the previous month—an increase of approximately 15 percent.

Since hitting a 14-month low in February of 2009 the sold-list differential for Indianapolis homes continued to rise, peaking at 96 percent last summer before settling in at 94 percent the most recent 3 months. The sold-list differential has averaged 94.9 percent over the most recent 12-month period.

Indianapolis has been, and continues to be, one of the more affordable, large cities in the U.S. One way in which this affordability is sometimes expressed is in terms of cost per-square-foot. The average of $55 per square foot paid by buyers in March matched exactly the 12-month average which, too, was $55.

It may be a cliché but it’s true: The numbers don’t lie.  And what the numbers are telling us is that there has been increased interest in home-buying in Indianapolis—maybe as much as home-selling.