Indiana homebuyers see positive July as mortgage rates trend down
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Thanks to falling mortgage rates and a rising home supply, home sales in Indiana picked back up in July, according to a monthly report from the Indiana Association of Realtors.
Those falling prices resulted in a 7% increase in sales from June to July and a 6% increase compared to July 2023. Last month Hoosiers closed on 7,405 deals, the association reported.
In a news release, IAR President Jennifer Parham said all signs point to a better market for home buyers than recent months have seen.
“Home sales that closed in July represent a burst of buying activity earlier in the summer, with more homes on the market and mortgage rates dropping below 7% in June,” Parham said. “But with rates now at their lowest level in more than a year and prices coming down, there are definitely buyers taking their time and anticipating an even better market to come.”
Recently, the 30-year mortgage fell below 5.75%, which marks the lowest rate point in the past year.
Rates dropped in part due to a widespread, but momentary, panic about the state of the economy. Parham said those events get more coverage, but she cautioned for observers not to overlook the steady rise in housing supply as a factor behind increasing sales in Indiana.
The IAR’s data shows a slight increase new listings in July from June, but that marks six out of the past seven months where the housing supply has risen. Statistically, the association says there are more homes on the market now than at any summer since 2019.
Overall, the inventory of homes for sale increased to 12,900 average daily listings through July. The IAR finds on a given day in July 2024 there were 27% more homes available than July 2023.
Statewide, the median sale price dropped to $264,000 from $273,000 in June.