Indiana’s supply of houses for sale grows as prices tick down
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Indiana homebuyers have reasons to be encouraged as the supply of houses for sale is at its highest point in nearly five years amid a seasonal dip in prices.
Nearly 8,700 homes were listed for sale in October, up 8% from the year-ago period, so the overall supply of homes for sale increased for the seventh straight month to 15,410 average daily listings, the Indiana Association of Realtors said Tuesday. More homes were for sale on a typical day than during last October in 74 of 92 counties.
The state median sale price fell from $260,000 in September to $258,000 in October, the association said.
“Mortgage rates ticked up last month but are still on the low end of what we’ve lived through the past two years,” association President Jennifer Parham, managing broker of Lighthouse Realty of Northwest Indiana, said in the news release. “Homebuyers have more buying power than they did this summer and more options to choose from.”
The average rate for a 30-year fixed mortgage was 6.12% on Oct. 3, down from 7.49% about the same time last year, according to the St. Louis Fed, though the rate inched back up to 6.79% on Nov. 7.
Buyers in October remained cautious. Homes took 17 days to go under contract, up from 13 days a year earlier, the association said. Sellers on average accepted 96% of their original listing price.
Listing prices also dropped in October, falling below $260,000 the last week of the month for the first time since February.
Home sellers still have reasons for optimism. Nearly 6,700 Indiana homes sold in October, up 5% from last year, and pending sales of 6,669 were up 7%, the association said. And despite the median sale price drop over the past month, the average home price remains above the year-ago level.
“The bottom line for Hoosiers listing a home is that sale prices are still rising – about 5% above 2023 year-to-date – and homes are still selling faster than 2018 or 2019,” Parham said. “But we do see sellers adjusting expectations and buyers able to negotiate better deals even with healthy growth in property values.”