Indiana housing market dips in June
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With mortgage rates still a concern for homebuyers, Indiana’s housing market saw a notable slowdown in June.
The Indiana Association of Realtors reports just under 7,000 houses were sold last month, which is 14% fewer than the number of homes sold in June of last year. The 6,898 houses sold in June of this year also shows a 7% drop from May, when mortgage rates spiked.
There were also about 5% fewer houses listed for sale this June compared to last year.
In a news release, IAR President Jennifer Parham said the downturn in June was linked to high mortgage rates in May, but that there are signs of hope for home sales in the near future.
“June closings were based on contracts mostly negotiated in May, when mortgage rates were well above 7%,” Parham said. “Rates dropped every week in June and we’re seeing growing confidence that the Federal Reserve will cut interest rates for the first time in more than four years in September.”
Despite the 14% year-over-year drop in June, IAR’s data shows that for the first half of 2024, home sales are only 2% behind where they were in 2023, and new listings are up 4%.
Altogether, the current housing market reflects a slight shift towards buyers with more homes on the market at any point since December and houses staying on the market slightly longer—10 days on average in June 2024 compared to six days in June 2023. Parham said sellers are also increasingly dropping their asking prices.
Compared to statewide trends, counties in southern Indiana around Louisville performed better with Clark County seeing a increase in sales from June of last year. IAR data also shows Fort Wayne and Muncie beating statewide trends.
The full June housing report from IAR is here.