The housing market for November showed some very positive signs for home sellers in November. There was actually a shortgage of homes in a first time buyer price range which led to bidding wars and multiple offers on those homes which were priced right and in good condition. Here are some of the vital statistics:
- 588 Active Listings with avg list price of $525,00
- 90 Sold Homes with avg sales price $331,000
- 88 Pendings
- 200-400K price range 64 sales and 56 pendings or roughly 2/3 of the market!
The first time buyer credit made a huge impact on home sales and prices in the 200-300K price range. To put things in perspective I looked at this price range and compared Novembers numbers to both October 09 and also November 2008. In October 2009 in this price range 31 homes were closed and another 30 pended. The average price per square ft was $105.21. This November we had 35 sell and have pended 23 homes. The average price per square ft rose to $108.64 or $3.43 per square foot more. With the average home in this price range being 2315 sq ft that equals nearly an $8000 jump in sales prices. Compared to November last year the jump is even more staggering. Last year in November there were only 21 homes sold in this price range with an average of $102.72 per foot. This is nearly a 5% jump in home values in that price range for the year!!
The reason for this is simple. Home sales prices are always influenced by supply and demand. The first time buyer tax credit created an increase in demand. This reduced the available supply thereby raising sales prices. This does demonstrate that the "market" is too global. For example the Carmel Real Estate Market as a whole is experiencing a drop in value but the 200-300K "market" in Carmel is doing great.
How do you apply this knowledge? As a seller take advantage of periods of decreased supply. Having your home be on the market in December and January allows you to compete with fewer homes and yes, there are very serious buyers out there right now. Selling your home now will also allow you to move up to the part of the market still experiencing declining values. If you're a buyer, don't wait to buy when everyone else does. In the Indianapolis area we do see an increase in home sales during March, April, and May. Add this to the deadline for the tax credit on April 30 and you get the picture...you will pay more by waiting!
The Borushko Team would love to help you with all of your Carmel housing needs!
Comments (2)Subscribe to CommentsComment