Home prices and market activity again outpace the year prior; sustained recovery dependent on real employment and wage growth

(INDIANAPOLIS, IN)

The Indiana Real Estate Markets Report today released by the state’s REALTORS® shows that statewide, when comparing September 2012 to September 2011, the following occurred:

• The number of closed home sales increased 7.5 percent to 5,550,

• The median sale price of those homes increased 4.3 percent to $120,000,

• The average sale price increased 2.1 percent to $141,454,

• The number of pending home sales increased 8.6 percent to 4,991,

• The number of new listings decreased 3.4 percent to 8,399, and

• The percent of original list price received increased 1.2 percent to 90.9 percent.

The good news made last month is part of a trend that proves local residential real estate markets across the state continue to strengthen from the worst of the recession. September 2012 marks the following consecutive year-over-year gains in home prices and market activity:

• The number of closed home sales has increased year-over-year for 15 consecutive months,

• The median sale price of homes has increased for 10 consecutive months,

• The average sale price has increased for nine consecutive months,

• The number of pending home sales has increased for 12 consecutive months, and

• Sellers received a greater share of their original list price for the seventh consecutive month.

"Now that the traditional buying and selling season is past, we can clearly see the strength within the residential real estate market statewide," said Karl Berron, Chief Executive Officer of the Indiana Association of REALTORS®.

"Sustained recovery will not happen without real employment and wage growth. Consumers must be confident in both the greater economy and their family finances before signing on the dotted line," continued Berron. "While REALTORS® are confident looking ahead to 2013, we also acknowledge cheap borrowing costs and the fact homes here have historically held value have been the glue binding things together."

Anyone looking to buy or invest should start with the sortable county tables of this report and then talk to a local REALTOR® who can give the most insight into what’s happening in a neighborhood, city or school district.