Time Spent on Carmel Real Estate Market Drops to 15-month in May, 2010

What stood out most about the Carmel real estate market in May, 2010 was how little it stood out from so many other towns and cities in central Indiana in the statistical categories of close sales, pending sales and listings. Starting with the total number of homes sold, there was an increase of 3.3 percent as there were 126 sales in May versus 122 in April. This was a 24.8-percent increase compared to last May’s total of just 101 sales. But while the pipeline may have dried to some extent, with the conversion of pending sales into closed sales, the total number of Carmel homes for sale also shrank from 830 in April to 819 in May—a drop of 1.3 percent. From a supply-and-demand standpoint this is a good thing since it has the effect of easing—if ever so slightly—the downward price pressure that is results when the number of listings out-paces that of homes sold. Compared to May of 2009, however, sales were up 1 percent.

If you were a seller, chances are the time it took to sell your home dropped 19.4 percent, from 77 days in April to just 62 in May. While no one wants to wait just over 2 months to sell a home this is a far cry from the 15-month high of 101 days on market that was set in February, 2010.

The sold-list differential in Carmel, Indiana has averaged 95 percent over the past 12 months. It was exactly that in May, 2010. This is one area of measurement in which the Carmel real estate market has been remarkably stable over the past 15 months, with homes selling for less than 94 percent of list price (93 percent) just once, in January, 2010.

Some other pertinent stats:

  • The average cost per square foot rose 12 percent, from $82 in April to $92 in May. The 12-month average is $90 per square foot.
  • The average ‘sold’ price was up nearly 17 percent in May, at $318,000. The 12-month average is $323,000.
  • The average active price was $475,000.
  • There were 6.5 months of inventory based on closed sales, while there were 9.3 moths based on pending sales.
  • The absorption rate was 15.4 percent based on closed sales and 10.7 based on pending sales.