Indianapolis Market Watch for April 2009

2009 Decreasing home inventory nearing six-month supply

$8,000 tax credit encouraging first-time homebuyers to get off sidelines

INDIANAPOLIS – April housing statistics point to continued opportunities for buyers to take advantage of lower housing prices across Central Indiana, while a decrease in available inventory shows steady progress to a more balanced market between buyers and sellers, according to pended sales statistics compiled by F.C. Tucker Company.

Available homes for sale in the nine-county region dropped 16.9 percent in April 2009 with 15,785 homes on the market, 3,211 fewer homes than in April 2008. Three counties experienced above average inventory declines. Marion County experienced the greatest decrease in inventory at 22.8 percent, followed by Madison County with 20.8 percent and Hancock County with 17.6 percent.

Home sales continue to trail last year’s levels. Madison County posted the only increase in pended home sales over April 2008 at 18.5 percent. In April, 2,272 homes have pended, 10.8 percent less than the same time in 2008. The average sales price is down 11.9 percent from April 2008, decreasing from $140,477 to $123,813.

A recent poll of Tucker sales associates showed 62 percent of their customers were first-time buyers prompted by the $8,000 federal tax credit. The first-time homebuyer’s credit includes no repayment and credit recapture on the sale within three years of purchase.

Active Listings -Inventory

Pended single-family and condominium home sales

Active Listings over Time

Average Sale Price