Tight Inventory Keeps Indiana a Seller's Market
INDIANAPOLIS - As the spring housing market heats up in Indiana, real estate insiders say one theme continues to be omnipresent. It's a seller's market. Realtors say tight inventory and low mortgage rates are pushing prices up and have home buyers scrambling to find options. "In some areas, we have sixty percent of the total houses we had in 2010 and you have more buyers than in 2010," said Greg Cooper, a manager/broker at Berkshire Hathaway Home Services in Indianapolis. "We have increased demand, limited supply and it's a feeding frenzy in some areas."
The Indiana Realtors Association says the available inventory of home statewide dipped by 10.6 percent in February to 32,353, its lowest level in years.
The IAR, which will release March numbers Tuesday, says the residential market has been trending up in Indiana in 2016. In February, pending home sales increased 16.4 percent and closed home sales increased 9.9 percent, compared to the same month a year earlier.
But tight inventory continues to be the big story.
In an interview on Inside INdiana Business Television, Cooper said market conditions should give home buyers an extra reason to be cautious before making a purchase. "If you are going to pay a premium for a house, and in many cases you are, this is not a 22-month investment," said Cooper. "You need to consider and be sure you are going to stay in that place for some time to recognize your dollars."