Market Watch - February 2018
February brings a slight 0.7 percent decrease in Central Indiana home sales
Sales prices continue to grow while pended sales decline for the first time in two years
INDIANAPOLIS – Monthly real estate stats from F.C. Tucker Company indicate that the housing market is taking a slight dip. February 2018 pended sales decreased 0.7 percent compared to February 2017 while the average year-to-date home price for the 15-county Central Indiana region increased 5.3 percent to $193,890.
As the number of homes for sale continues to dwindle, fewer buyers purchased homes for the first time in two years. Pended sales went from 2,497 Central Indiana homes purchased in February 2017 to 2,480 in February 2018, a small decrease of 17 homes. Specifically:
Morgan County showed the most growth in homes sold with a 20 percent increase in February 2018 compared to February 2017, bouncing back after last month’s 27.9 percent decrease.
Jennings County pended sales, in contrast, decreased a significant 40.9 percent compared to February 2017.
Despite fewer pended sales, on average homes sold much faster and for more money in February, signaling that it’s still a seller’s market.
Of the 15 counties F.C. Tucker tracks, only Boone County showed a decrease in average year-to-date home prices at 5.1 percent.
Hamilton County continues to rank highest in average home prices at $304,235. Madison County experienced the highest price increase from February 2017 to February 2018 at 19.2 percent.
Homes sold only 47 days on average, a noteworthy 31 days and 39.7 percent faster than in January and February last year. Jennings County’s homes are the fastest-selling in the market at 56 days with Marion County close behind at only 57 days.
Listings continue to drop, hitting a decrease of 22.9 percent. In February 2018, inventory stood at 5,779 homes, a decrease of 1,721 compared to 7,500 homes in February 2017.
Brown County’s inventory dropped the most at 35.8 percent, representing 48 fewer listings compared to February 2017.
While no counties experienced an increase in inventory, Putnam County reduced the least at 7.3 percent.
“The continued decrease of listings hinted at an eventual decrease in pended sales in Central Indiana,” said Jim Litten, CEO of F.C. Tucker Company. “The National Association of REALTORS® reports pending home sales are decreasing around the country, but home sales should bounce back thanks to job and wage growth.”
Of the pended home sales in the region last month, one was priced $2,000,000 or higher; 17 were priced $1,000,000 to $1,999,999; 97 were priced $500,000 to $999,999; 314 were priced $300,000 to $499,999; 525 were priced $200,000 to $299,999; 1,047 were priced $100,000 to $199,999; and 479 were priced at $99,999 or less.
All statistics were compiled by F.C. Tucker Company from a report drawn from BLC® statistics on March 15, 2018. Because of delayed processing through other agencies or boards, these numbers are subject to change.
“Active Listings – Inventory” is a snapshot frozen in time at the end of the stated month. Active listings include “Active with Contingency Status” filings, which includes homes listed as Pending First Right of Refusal and/or Backup Pendings due to Contract, Financing, Inspection or Other.
“Pending” means the sales contract has been signed, but the transaction has not closed. According to the NAR, pending sales typically are finalized within a month or two of signing.
For this report, F.C. Tucker tracks the following counties: Bartholomew, Boone, Brown, Decatur, Hamilton, Hancock, Hendricks, Jennings, Johnson, Madison, Marion, Montgomery, Morgan, Putnam and Shelby.