Statewide, when comparing November 2011 to November 2010:

• The number of closed home sales increased 14.2% to 4,411; and
• The number of pending home sales increased 10.4% to 3,959.

“We’re close to being able to say that 2011 was better than the last two years,” said Karl Berron, Chief Executive Officer. “Local housing markets may not be making progress as quickly as we’d like, but they’re making progress and that’s good news for everyone.”

With regard to the slight dip in prices, Berron said REALTORS® were not concerned because year-to-date, the median sale price of homes in Indiana is actually up when compared to 2010 and 2009, and so is the average sale price.

“Home prices here in Indiana have historically held their ground,” said Berron. “It’s one of the reasons we enjoy a homeownership rate of more than seventy percent, and is certainly a positive for would-be home owners who are now shopping with some of the lowest mortgage interest rates in current memory."y

“This may have allowed the bubble to inflate further, which caused millions of owner-occupants to pay more if they wanted to buy a home for their family,” some researchers have noted.

Investors defaulted in large numbers after home values began to drop in 2006. They accounted for more than 25 percent of seriously delinquent mortgage balances nationwide, and more than a third in Arizona, California, Florida, and Nevada from 2007 to 2009. 

As you hear news like this, please keep in mind that some reports tell us that about half of all homes across the U.S. do not have a mortgage - they are owned free and clear.

West Virginia led all states with an 8.6 percent rise in home prices, followed by Wyoming at 3.6 percent, and North Dakota at 3.5 percent. The CoreLogic Home Price Index tracks price changes in repeat sales of homes.

CoreLogic August Home Price Index (year-over-year change)

Source: CoreLogic August Home Price Index. 

Average Sales Price increased 2.2 percent for the three months ending in July and 2.7 percent for July only.  New Listings in the Indianapolis region decreased 19.1 percent to 3,320 for July only and 9.6 percent for the three months ending in July.  The most encouraging signs were in Pending Sales and Closed Sales.

Pending Sales were up 8.0 percent in July and 20.9 percent for the three-month period ending in July.  Closed Sales dipped slightly by 1.1 percent for the same three-month period but posted an impressive 27.9 percent for the month of July.  Recent economic news, budget deal squabbles and the credit downgrade have many questioning the health of the market and specifically the role of mortgage rates. Rightfully so.  While the future is not definite, it appears these events – particularly the downgrade – have done far more damage to the psychology of home buyers and sellers than to mortgage rates themselves. Near-record lows remain, providing an incentive all their own.

Marion County saw a 13-percent rise in June sales agreements from a year ago. Hamilton County deals rose 23 percent. Madison County saw a 33-percent increase.

Year-to-date sales prices are up 0.5 percent in 2010, from $147,257 to $148,030.

Nationally, the interest rate dropped to 4.88 percent on a 30-year fixed conventional mortgage.

Indiana's 2010 GDP growth outpaced all neighboring states, including Michigan, which is regarding the new figures as positive news. The Detroit Free Press reports Michigan's 2.9 percent increase during the past year is being consiered by economists as a clear sign the state's deep recession is over.

Even though Indiana's economic expansion is among the national pacesetters, there is still work to do as the recovery takes hold.

The state's unemployment rate is hovering around 8 percent, although it has dropped below the national mark for the first time since June 2003.

AVOID CHANGING JOBS:

A job change may result in your loan being denied, particularly if you are taking a lower-paying position or moving into a different field. Don’t think you’re safe because you’ve received approval earlier in the process, as the lender may call your employer to re-verify your employment just prior to funding the loan.

AVOID SWITCHING BANKS OR MOVING YOUR MONEY TO ANOTHER INSTITUTION:

After the lender has verified your funds at one or more institutions, the money should remain there until needed for the purchase.

AVOID PAYING OFF EXISTING ACCOUNTS UNLESS YOUR LENDER REQUESTS IT:

If your Loan Officer advises you to pay off certain bills in order to qualify for the loan, follow that advice. Otherwise, leave your accounts as they are until your escrow closes.

AVOID MAKING ANY LARGE PURCHASES:

A major purchase that requires a withdrawal from your verified funds or increases your debt can result in your not qualifying for the loan. A lender may check your credit or re-verify funds at the last minute, so avoid purchases that could impact your loan approval.

The results of this year’s REAL Trends 500 and the RISMedia Power Broker Report are telling: RE/MAX averaged over 14 transaction sides per agent in both reports – more than double the competition. In the REAL Trends 500 survey, RE/MAX holds 21 of the 25 spots on the survey's new list of Top 25 brokerages by Transaction Sides Per Agent.

What's more, the Power Broker Report shows that RE/MAX agents averaged $2.9 million in sales volume – 62 percent more than all other agents in the rankings.

REALTORS® have advised consumers for awhile now to review housing data in the long-term until the impact of the tax credit recedes. While the impact won't be as great after April, those who took advantage of the credit had until September 30, 2010, to close their transaction. This means that October 2012 is the soonest a true year-over-year comparison can be made.

Until then, pay most attention to the historical graphs for each indicator or measure of the statewide housing market - you will see stability. Add that to continued low, but rising, interest rates, and qualified buyers couldn't ask for a much better time.

Stability won't turn into growth without consumer confidence, so we're watching jobs numbers and unemployment claims closely, both of which are headed in the right direction. We're also watching - and advocating for changes to the mortgage industry that will ensure access to adequate mortgage capital for qualified buyers.

Do not miss your county's 45 day deadline.  Check with your Counties appropriate countdown clock immediately. 

If you have a home to sell in our Central Indiana area, please send me an email or call me.  I would love to talk with you about the market and provide my market analysis for your home.  I list and sell a lot of homes NOT on water so they can then purchase a home on water.  On average, my listings sell within 50 days!

This is for all types of properties.  If you have a home on water or NOT on water - I use the same extensive marketing efforts. 

Once we list your home we spend about 8 hours focused on marketing materials, flyers, postcards AND an intensive marketing effort on the internet.  We submit your listing information on MANY internet websites.  We hire a professional photographer for most of our listing pictures and we also create Virtual Tours for all our listings. 

Research tells us that about 87% of the buyers start their search on the internet and we work hard to make sure your home is noticed so it will sell more quickly!